Proposition 37: 17% Second Mortgage

There’s an innovative proposal on the table—Proposition 37—that could reshape how some Californians approach homeownership. If approved, this measure would introduce a state-backed second mortgage for buyers of select new homes, requiring at least a 3% down payment from the buyer. The program could provide up to 17% of the purchase price to help buyers combine their savings with state assistance, reaching that crucial 20% threshold while the primary mortgage covers the balance. The state may issue up to $25B in revenue bonds, with homeowners’ repayments intended to support investors and program costs. This initiative recognizes a real challenge I often see: many families, especially Latino households, can manage monthly payments but find that saving enough upfront remains a hurdle. On November 3, 2026, California voters will decide if this approach deserves a statewide rollout. As someone who prioritizes honest guidance and clear information, I’ll be watching this closely—and I’m always here to help you make informed decisions in an evolving market.