FHLBank San Francisco Makes $12.5 Million Available for Downpayment Assistance Grants

Program Overview

On April 11, 2023, the Federal Home Loan Bank of San Francisco (FHLBank San Francisco) announced that $12.5 million in Workforce Initiative Subsidy for Homeownership (WISH) grant funding was being made available through its member financial institutions. The 2023 allocation is designed to help low- and moderate-income first-time homebuyers across Arizona, California, and Nevada overcome one of the most persistent barriers to homeownership: the upfront cash needed for a downpayment.

"Saving for an initial downpayment is one of the greatest barriers to entry for first-time homebuyers," said Teresa Bryce Bazemore, President and CEO of FHLBank San Francisco, in the announcement.

How the WISH Grants Work

WISH is a matching grant program. For every $1 a qualifying homebuyer contributes toward the purchase of their home, the program provides $4 in matching funds, up to a maximum grant of $29,172 per household in 2023. The funds can be applied to the downpayment and closing costs on an eligible first-time home purchase.

Key parameters of the 2023 program:

• Total funding announced: $12.5 million
• Matching ratio: 4-to-1
• Maximum grant per homebuyer: $29,172
• Participating member institutions: 41 banks and credit unions headquartered in Arizona, California, and Nevada
• States covered: Arizona, California, Nevada

Who Qualifies

WISH is targeted at first-time homebuyers whose household income is at or below 80% of the HUD area median income (AMI) for the area where they are buying. Before receiving a grant, homebuyers must complete a homebuyer counseling program through an approved counseling provider. The grant is accessed by applying with one of FHLBank San Francisco's participating member financial institutions rather than directly with the Bank.

Member Institution Role

Because FHLBank San Francisco works through its member lenders rather than directly with consumers, borrowers in Arizona, California, and Nevada who want to use WISH funds need to work with a participating bank or credit union. In 2023, 41 member institutions signed up to deliver the program.

"WISH is a game-changing program for low-to-moderate income homeowners and entire communities across Arizona, California, and Nevada," said Simone Lagomarsino, President and CEO of Luther Burbank Savings, one of the participating institutions.

Program History and Track Record

The WISH Program was launched in 2000. As of the April 2023 announcement, FHLBank San Francisco reported that WISH had distributed more than $141 million in matching downpayment assistance grants and helped more than 9,500 low- and moderate-income families become homeowners across its three-state district.

How This Round Fits Into the Broader FHLBank SF Programs

FHLBank San Francisco operates several related homeownership programs. The 2023 $12.5 million WISH allocation specifically targets first-time buyers at or below 80% AMI. Separately, the Bank also piloted a Middle-Income Downpayment Assistance Program in 2023 (funded at $10 million that first year) aimed at households earning between just over 80% and up to 140% AMI — a different program from WISH and distinct from the 2025 Middle-Income round announced in August 2025. Borrowers checking eligibility should confirm with their lender which program fits their income level.

What to Do Next

Prospective homebuyers in Arizona, California, or Nevada who believe they may qualify should:

1. Contact an FHLBank San Francisco member financial institution participating in WISH to start the application process.
2. Complete an approved homebuyer counseling program before closing.
3. Confirm income eligibility against the current HUD 80% AMI limit for their county.
4. Ask the lender how the 4-to-1 matching contribution from the homebuyer will be documented.

Because grants are distributed on a first-come, first-served basis through individual member institutions until the $12.5 million allocation is exhausted, prospective applicants are encouraged to reach out early in their homebuying process.