Sacramento is the heart of where I work and live. Whether you're a first-time buyer in Natomas, a move-up buyer in Land Park or East Sacramento, an investor scaling rentals in Oak Park or South Sac, or a self-employed business owner in Midtown, the strategy that fits is rarely a one-size-fits-all rate quote.
Sacramento County's effective property tax rate is approximately 1.10%, significantly lower than national calculators assume. Median home prices have remained relatively stable through the recent rate cycle, with continued demand from Bay Area transplants and local move-up buyers. Sacramento HCD operates one of the most active first-time buyer DPA programs in California, and CalHFA programs perform very well in this market.
Natomas, Land Park, East Sacramento, Curtis Park, Oak Park, Pocket-Greenhaven, North Natomas, South Sacramento, Tahoe Park, Midtown, Downtown, College Greens
FHA + CalHFA MyHome stacks are extremely popular in Sacramento for first-time buyers under $600K. Conventional 5% down with seller credits works well for move-up buyers. VA loans get aggressive offer leverage in competitive Sacramento neighborhoods. DSCR investment loans are increasingly used in Oak Park and South Sac for cash-flow-positive rentals.
Run the tools, see what fits, then talk it through with a real advisor.
I help clients across the greater Sacramento region and Northern California, including communities within roughly 2 hours of my Sacramento office:
Sacramento, Elk Grove, Folsom, Carmichael, Citrus Heights, Rancho Cordova, Antelope, North Highlands, Fair Oaks, Orangevale, Arden-Arcade, Land Park, Natomas, West Sacramento, Galt, Wilton, Herald, Walnut Grove.
Roseville, Rocklin, Lincoln, Granite Bay, Loomis, Newcastle, Auburn, Foresthill, Colfax.
El Dorado Hills, Cameron Park, Shingle Springs, Placerville, Diamond Springs, Pollock Pines, Camino, South Lake Tahoe.
Davis, Woodland, West Sacramento, Winters, Esparto, Dunnigan, Knights Landing.
Vacaville, Fairfield, Vallejo, Suisun City, Benicia, Dixon, Rio Vista.
Yuba City, Marysville, Live Oak, Wheatland, Olivehurst, Linda.
Napa, Yountville, St. Helena, Calistoga, American Canyon, Santa Rosa, Petaluma, Sonoma, Healdsburg, Rohnert Park, Windsor.
Stockton, Lodi, Manteca, Tracy, Lathrop, Ripon, Escalon, Modesto, Turlock, Ceres, Oakdale, Patterson.
Jackson, Sutter Creek, Plymouth, Ione, Pioneer, Angels Camp, San Andreas, Murphys, Arnold.
Chico, Oroville, Paradise, Magalia, Grass Valley, Nevada City, Truckee, Quincy.
Concord, Walnut Creek, Pleasant Hill, Martinez, Antioch, Brentwood, Pittsburg, Hercules, Pinole, Berkeley, Oakland, San Leandro, Fremont, Hayward, Pleasanton, Dublin, Livermore, San Rafael, Novato, Mill Valley, San Anselmo.
Don't see your city? I'm licensed in all 49 states through PRMG. Reach out and I'll let you know immediately whether I can help with your scenario.
Every loan program and tool listed here is available for Sacramento, California buyers. Pick what fits your situation.
Certified Mortgage Advisor and Branch Manager at PRMG Mortgage (NMLS #75243). 28 years in mortgage lending. Specializes in FHA, VA, conventional, DPA, jumbo, Non-QM, renovation, and construction financing for buyers and investors in Sacramento, New Jersey, and nationwide. PRMG is licensed in 49 states, excluding New York. Three-time Gold Award winner for Highly Reviewed Mortgage Team in Sacramento (2023, 2024, 2025). NMLS #225375.
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Sources consulted: HUD.gov, VA Home Loans, CalHFA, GSFA, NJHMFA, Freddie Mac DPA One, Down Payment Resource, NMLS Consumer Access.
All program references on this page are based on publicly available agency guidelines as of the last-reviewed date. Program availability and guidelines may change. PRMG must be approved for a program before originating it. Final eligibility depends on credit, income, assets, property, occupancy, and underwriting.
Anonymized examples. Ranges, not promises. Subject to underwriting.
A first-time buyer couple targeting a $475,000 townhouse in Natomas may use FHA financing with CalHFA MyHome silent second covering most of the 3.5% down payment, plus a negotiated seller credit to reduce closing costs. Estimated cash-to-close: low single-digit thousands plus reserves. Exact numbers depend on credit, income, and current program guidelines.
Anonymized example. Individual results vary based on credit, income, property, occupancy, market conditions, and program guidelines.
A move-up family in Folsom selling a starter home and buying at $750,000 may use a conventional loan with a 2-1 buydown funded by seller credits to reduce the effective first and second year payment. The savings can ease the transition while household budget adjusts.
Anonymized example. Individual results vary based on credit, income, property, occupancy, market conditions, and program guidelines.
A real estate investor adding a 4-unit Arden-Arcade property to their portfolio may use a DSCR loan that qualifies on property cash flow rather than personal income. Down payment typically 20-25%. Reserves and credit standards apply.
Anonymized example. Individual results vary based on credit, income, property, occupancy, market conditions, and program guidelines.
A self-employed graphic designer with strong deposits but limited tax-return income may qualify for a 12- or 24-month bank statement loan. Pricing is typically higher than W-2 conventional but the structure fits when tax returns understate true cash flow.
Anonymized example. Individual results vary based on credit, income, property, occupancy, market conditions, and program guidelines.
A veteran with full VA entitlement and no active VA loan may purchase an Elk Grove home with $0 down and a negotiated seller credit toward closing costs. Funding fee (typically 2.15% first use) usually financed into the loan.
Anonymized example. Individual results vary based on credit, income, property, occupancy, market conditions, and program guidelines.
CalHFA FHA (640+ credit) or CalHFA Conventional (680+ credit) first mortgage, paired with SHRA 2nd (CalHome or PLHA) for down payment and closing-cost assistance. Income limit approximately 80 percent AMI. Best for first-time Sacramento buyers planning to layer SHRA assistance.
Statewide grant or repayable second. Higher income limits (often up to ~$200K). Not restricted to first-time buyers. Best for dual-income households in Roseville, Rocklin, Granite Bay.
Sacramento Housing & Redevelopment Agency administers three first-time buyer programs: PLHA (Permanent Local Housing Allocation) down payment and mortgage assistance for low-income buyers in City and County of Sacramento; CalHome down payment and mortgage assistance for homes in eligible areas; and the Mortgage Credit Certificate (MCC) federal tax credit program (currently suspended due to funding depletion, per SHRA). PRMG is an SHRA-approved lender.
Multi-state DPA program for FHA loans only, typically up to 5 percent of the loan amount, structured as a forgivable or repayable second. Works for FHA buyers in both Sacramento AND New Jersey (plus other states). PRMG is approved for NHF. Income limits and program guidelines apply. Subject to current funding availability.
Roseville, Lincoln, Rocklin, Auburn buyers. County-level deferred-payment assistance with Placer-specific income guidelines.
Multi-state FHA-paired DPA. Forgivable or repayable second options. Often used when CalHFA income limits exceeded.
Sacramento property tax base rate is 1% of assessed value (Proposition 13 limited), plus voter-approved bonds and Mello-Roos in newer developments. Newer master-planned communities like North Natomas, Folsom Ranch, and parts of Elk Grove often carry 1.2-1.7% effective tax rates due to Mello-Roos. HOA dues vary widely from $0 (single-family older neighborhoods) to $300-500/month (newer condos and master-planned community amenities).
When you model your monthly payment, principal-and-interest is only part of the picture. Taxes, insurance, HOA, Mello-Roos, and (for FHA) mortgage insurance often add 20-40% on top of P&I. This is why an early advisor conversation matters.
Downtown, Midtown, East Sacramento, Land Park, Curtis Park, Pocket-Greenhaven, Natomas, Tahoe Park, Oak Park, South Land Park, College-Glen, Arden-Arcade, North Highlands.
Elk Grove, Citrus Heights, Carmichael, Fair Oaks, Rancho Cordova, Orangevale, Antelope, Galt, Wilton, Florin.
Roseville (East, West, central), Rocklin, Lincoln, Auburn, Granite Bay, Loomis, Newcastle.
Davis, Woodland, West Sacramento, Winters.
El Dorado Hills, Cameron Park, Folsom (both county sides), Placerville.
Credit scoring varies by loan type. FHA guideline minimum is 580 for 3.5% down (lender overlays may push this higher). Conventional eligibility is driven by AUS findings (Desktop Underwriter or Loan Product Advisor) rather than a fixed minimum, though pricing improves at 680 and 740. The VA itself does not set a minimum credit score; eligibility depends on AUS findings, lender overlays, and overall borrower profile. DSCR investor loans often start in the 660-680 range. Final eligibility is subject to AUS and underwriting.
FHA: 3.5% (may pair with DPA to reduce out-of-pocket). VA: $0 down with full entitlement. Conventional first-time buyer: as low as 3% may qualify. DPA may cover most or all of the down payment depending on the program. Out-of-pocket cash-to-close estimates vary by purchase price, program, and seller credits.
For 2026 the FHFA baseline conforming loan limit for one-unit properties is approximately $806,500 in most U.S. counties including Sacramento County. Loans above this are high-balance or jumbo. Always confirm the current limit at the FHFA website as it updates annually.
VA loans are already $0 down with full entitlement so DPA is typically not needed for down payment. However DPA can sometimes be layered for closing costs. For most VA-eligible Sacramento buyers the better lever is a strong seller-credit negotiation rather than DPA stacking.
Purchase closings typically run 21-35 days depending on program, appraisal availability, contingency periods, and underwriting. FHA and VA may run slightly longer than conventional due to appraisal requirements. DSCR investor loans often close in 21-28 days. Closing timelines depend on multiple parties.
Mello-Roos is a special tax used to fund infrastructure in newer California developments (schools, roads, fire stations). It is added to the property tax bill and can add several hundred dollars per month in places like Folsom Ranch, North Natomas, parts of Elk Grove, and newer Roseville/Rocklin communities. Always confirm Mello-Roos liability before writing an offer.
Three additional anonymized examples covering scenarios national online lenders rarely model correctly. Ranges, not promises. Subject to underwriting.
A Roseville move-up buyer in contract on a $720,000 West Roseville new build assumed a standard 1% property tax. The Mello-Roos special assessment for the new development brought the effective rate to roughly 1.6%, adding $360/month to the escrow payment vs. the original budget. Repricing the offer with a 2-1 buydown funded by a builder seller credit helped restore Year-1 affordability while underwriting confirmed the higher escrow. The lesson: always pull the property tax bill BEFORE writing an offer in a newer Sacramento-area subdivision.
Anonymized example. Individual results vary based on credit, income, property, occupancy, market conditions, and program guidelines.
A Land Park first-time buyer fell in love with a $385,000 condo whose HOA hadn't pursued FHA project approval. Rather than abandon the deal, the buyer pivoted to a conventional 3% down loan paired with single-premium MI to keep the monthly payment in target range. Cash-to-close came in modestly higher than an FHA path would have, but eligibility was confirmed in days rather than waiting on a spot-approval timeline. Both paths exist; the right choice depends on the condo project, lender overlays, and how long the buyer can wait on a contingency.
Anonymized example. Individual results vary based on credit, income, property, occupancy, market conditions, and program guidelines.
A Rancho Cordova homeowner with strong equity wanted to finance an Accessory Dwelling Unit (ADU) build in the backyard for rental income. Options modeled: a cash-out refinance to extract equity for the build, a HELOC with construction-draw functionality, or a Fannie Mae HomeStyle renovation refinance that wraps the ADU into the primary mortgage. The right structure depends on the homeowner's current rate, target monthly payment, expected ADU rent, and timeline. Eligibility is subject to credit, equity position, appraisal, and program guidelines.
Anonymized example. Individual results vary based on credit, income, property, occupancy, market conditions, and program guidelines.
Sacramento closing costs typically range from 2% to 4% of the purchase price for buyers, depending on loan program, taxes and impounds, title and escrow fees, and lender fees. On a $475,000 home that often translates to roughly $10,000 to $19,000 before any seller credits or DPA reduces the buyer's cash-to-close. Numbers are estimates. Actual closing costs depend on the specific transaction, lender, and current rates.
Conventional private mortgage insurance (PMI) can typically be removed once you reach 20% equity in your home, either through paydown or appreciation. The borrower can request removal at 20% equity based on original value, and PMI is automatically terminated at 22% equity. An appraisal may be required to substantiate appreciation. FHA mortgage insurance is treated differently: for most FHA loans originated since 2013, MIP is for the life of the loan and removed only through refinance into a conventional loan once 20% equity is reached.
Yes, if the condo project is on the FHA-approved list, or if it passes single-unit (spot) approval. Many Sacramento condo projects in Midtown, Downtown, and East Sacramento are approved. Others, particularly smaller or older buildings, are not. Always verify FHA condo status BEFORE writing an offer. The FHA Condo Approval Search at HUD.gov shows current approved projects. When FHA is not viable, conventional 3-5% down with single-premium or monthly MI is the common alternative.
Yes, through several paths. Existing homeowners can use cash-out refinance to extract equity for the build, a HELOC with construction-draw functionality, or a Fannie Mae HomeStyle renovation refinance that wraps the ADU cost into the primary mortgage. New purchases can sometimes finance an ADU through HomeStyle from the start. Eligibility depends on equity position, credit, projected ADU value-add via appraisal, and program guidelines. Sacramento has been ADU-friendly in zoning, but each project still requires standard mortgage underwriting.
California Proposition 13 limits the base property tax to 1% of assessed value at purchase, increasing no more than 2% per year while you own the home. Voter-approved bonds add on top. In newer developments, North Natomas, Folsom Ranch, parts of Elk Grove, West Roseville, parts of Rocklin, Mello-Roos special assessments fund infrastructure (schools, fire stations, roads). These can add 0.2% to 0.8% to the effective rate. Always confirm a property's Mello-Roos status BEFORE writing an offer. The escrow payment for a $500K home in a Mello-Roos area can be $200-400/month higher than the same-price home in an older neighborhood without Mello-Roos.
SHRA (Sacramento Housing and Redevelopment Agency) administers PLHA, CalHome, and the Mortgage Credit Certificate (MCC) program (currently suspended due to funding depletion). To use these programs, the buyer must work with an SHRA-approved lender. PRMG Mortgage is on the SHRA approved lender list (Ken Clark Jr., 1800 27th Street, Suite 100, Sacramento). For buyers eligible for CalHome or PLHA assistance, that approval matters because not every Sacramento lender can originate those programs.