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CalHFA ADU Grant Phase 2 is working! How to apply

We are finally rolling out Phase 2 of the CalHFA ADU Grant which provides homeowners with funds to cover the soft costs of ADU development. Please note this is ONLY for homeowners (not rental properties) with net income within the 2022 Income Limits for the grant.

No exceptions, don't ask, don't make it weird.

The first step in the loan process because we are required to use loan documentation to verify much in the grant application, and you MUST have construction financing underway or completed. When you have the loan underway, you can also get started on the grant application with HPP Cares, the nonprofit HUD Counseling Agency who administers the grant funds. In that portal, you will initially need to initially upload any documents you have available:



Final construction budget

All receipts for soft costs

Bank statement where the construction funds are – or a loan estimate if you are in process.

At this point, we will ask CalHFA to reserve your grant funds. Once your loan is complete and you add your construction funds to the escrow account with HPP Cares, then the grant funds will be placed in the escrow account and payments will be made. Please understand that HPP Cares is overwhelmed and there may be some glitches. Your grace and feedback are greatly appreciated while we get you that grant money!

As always, please let us know if we can answer any questions.

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