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California First-Time Homebuyer Guide

Everything you need to know about buying your first home in California — from property taxes and insurance costs to down payment assistance programs that can save you thousands.

Key homebuying statistics for California

Property Tax Rate

0.62%

Below national avg (1.10%)

Avg. Annual Insurance

$1,200

Below national avg ($1,700)

Closing Cost Estimate

2.00%

Below national avg (3.00%)

Data last verified: February 2026. Found incorrect data? Email us .

What These Numbers Mean for You

On a $350,000 home in California:

Annual property taxes

~$2,170

~$181/month

Annual homeowner's insurance

~$1,200

~$100/month

Estimated closing costs

~$7,000

Due at closing

These are estimates. Actual costs depend on your specific property, lender, and county. Use our calculators below for personalized estimates.

Buying a Home in California

California offers unique opportunities and challenges for first-time homebuyers. Understanding local costs is essential before you start house hunting, because property taxes, insurance, and closing costs vary significantly from state to state and can add hundreds of dollars to your monthly payment.

Good news: California's property tax rate of 0.62% is below the national average of 1.10%, which means lower monthly costs compared to many other states. On the insurance side, California homeowners enjoy below-average premiums at $1,200/year.

As a first-time buyer, you likely qualify for one or more down payment assistance programs specific to California. These programs can significantly reduce the upfront cash you need to purchase a home. Check the programs listed below and reach out to a local HUD-approved housing counselor for personalized guidance.

California Down Payment Assistance Programs

CalHFA MyHome Assistance Program

Deferred-payment junior loan up to 3.5% of purchase price for down payment assistance.

CalHFA Zero Interest Program (ZIP)

Zero-interest, deferred-payment loan up to 3% of the first mortgage to help with closing costs.

Program details and eligibility requirements change. Visit each program's website for the most current information.

Try Our Calculators with California Data

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