The ballot measure proposed a California down payment loan program of up to $25B, funded by bonds and repaid through loan income, not taxes.
It said borrowers had to buy a newly built or never-sold home in California, contribute at least 3% down, and could borrow up to 17%.
The measure did not require first-time buyer status, but income could not exceed 200% of local median, with county-based caps and sales-price limits.
Support came from labor groups, a Real Estate trade group, and a state political party; opponents said the measure would subsidize costly construction.
Other terms still needed details, including the second mortgage rate; the policy center said it likely would exceed conventional 30-yr mortgage rates near 7%.

The state law created a 60-day ministerial approval path for subdivisions with up to 10 homes on eligible infill sites when requirements were met.
For qualifying projects, approvals bypassed environmental review and public hearings. In multifamily zones, new small lots needed at least 600 sq-ft each.
City standards capped avg. floor space at 1.75K net habitable sq-ft. For the 10-unit cap, multifamily zones excluded ADUs and JADUs.
For the 10-unit cap, single-family zones excluded only JADUs. Los Angeles had pioneered small-lot housing earlier through a local ordinance encouraging compact ownership.
The law aimed to expand homeownership opportunities, but whether these projects functioned as starter homes remained open. Later changes opened vacant single-family lots to redevelopment.

California ranked second in the state comparison, with median home equity at $550K and median household net worth at $273.8K after debts and non-housing assets.
The gap shows how California homeowners can be equity-rich yet less cash-rich, as high housing costs translated into home values that outweighed broader balance sheets.
High home equity can meaningfully boost net worth, but when most wealth sits inside the house, household financial flexibility may become more limited.
For California owners, knowing how much wealth is tied to property can support smarter choices around refinancing, downsizing, or broader financial diversification.
California's standout equity levels highlighted both market strength and concentration risk, giving homeowners a useful snapshot of how property shapes overall household wealth.

Housing reform is top of mind for many in our industry, and I’m always following these developments with care for my Bay Area clients. Recently, leaders from banking, homebuilding, and government came together to emphasize the need for broader reforms, pointing out that recent federal laws haven’t addressed all the obstacles people face when trying to buy a home. One banking executive shared that the income needed for a middle-income home has doubled in the past five years to $124,000—a reality that puts ownership out of reach for so many hardworking families. Out of 390 metro areas, 169 simply don’t have enough homes to meet demand. Builders and advocates are also raising concerns about federal sourcing rules and compliance costs, which can add as much as $131,000 to the cost of building a new home. Local politics, complex regulations, and the timing of projects all play a part in how quickly new communities can be developed. In my experience guiding buyers and sellers across the Bay Area, I see firsthand how these factors impact real people’s ability to find the right home. My commitment is to help you navigate this challenging landscape with patience, reliable advice, and a focus on your unique needs.

As we look ahead, California’s housing market appears to be settling into a more consistent rhythm. Home prices are projected to rise steadily by about 3% to 4% each year through 2028—offering a welcome sense of predictability for buyers and sellers alike. With active listings climbing to around 156,300 homes, there’s more selection and less pressure to rush decisions, as inventory is expected to keep building through 2027.

Yet, affordability remains a significant challenge—only about 18% of California households currently qualify for a typical mortgage, down from 31%. That’s why entry-level homes continue to draw fierce competition. Most properties are selling close to 100% of their asking price, and 30-year fixed rates are hovering near 6%, a range that’s likely to persist.

In larger urban centers like Los Angeles County, it may take until after 2028 to regain previous sales momentum, but across California, these trends suggest a market that rewards patience and careful planning. As someone who believes in perseverance and keeping clients’ goals front and center, I see these conditions as a reminder that finding the right home is a journey—one that benefits from steady guidance and a thoughtful approach.