If you're thinking about buying your first home in San Diego, this guide covers the programs, neighborhoods, and real-world numbers you need to know — written by a California-licensed broker who places loans across San Diego County every month.
The San Diego market at a glance
Military borrowers drive heavy VA volume. La Jolla and Rancho Santa Fe are super jumbo markets. Short-term rental DSCR is common near the coast.
Neighborhoods to know
First-time buyers in San Diego regularly close in:
- La Jolla
- Pacific Beach
- North Park
- South Park
- Point Loma
- Hillcrest
- Mission Valley
- Carmel Valley
Common ZIP codes: 92037, 92101, 92102, 92103, 92104, 92106, 92107, 92108, 92109, 92110, 92111, 92130.
Programs that work best in San Diego
Based on the San Diego market dynamics, these loan programs tend to fit most first-time buyer scenarios here:
- VA 30-Year Fixed — Zero-down financing for eligible active-duty servicemembers, veterans, and surviving spouses....
- VA IRRRL (Streamline) — Interest Rate Reduction Refinance Loan — VA's streamline refi, no appraisal or income docs in most cases....
- Super Jumbo ($3M+) — Portfolio jumbo for high-net-worth borrowers. Loan amounts $3M–$10M+....
- Prime Jumbo — Full-doc jumbo financing above conforming limits, typically with best pricing for strong borrowers....
- Short-Term Rental DSCR (Airbnb) — DSCR loan using projected short-term rental income (AirDNA or 12-month Airbnb/VRBO history)....
How much you need to close
In San Diego, plan for three separate cash pots:
- Down payment — from 0% (VA) to 20% (jumbo). FHA 3.5% is the most common for first-time buyers.
- Closing costs — 2–5% of the loan amount typically. On a San Diego purchase around the county median, plan for $10,000–$25,000 depending on loan size. Seller credits (negotiated as part of your offer) can cover 3–6% depending on the program.
- Reserves — 2–6 months of PITI (housing payment) in the bank after close. Proves to the lender you won't default if you lose income briefly.
The step-by-step process
- Scenario call (15 min). Income, credit, timeline. Which program fits. What the payment looks like.
- Pre-approval (24–72 hours). Credit pulled, documents reviewed, conditional commitment letter issued.
- House hunting (varies). Your buyer's agent shows properties. Pre-approval letter goes with every offer.
- Contract + escrow (30 days typical). Appraisal, inspections, loan docs, signing.
- Funding + close. Wire goes out. Deed records. Keys in your hand.
Frequently asked questions — San Diego
- What are the best first-time home buyer programs in San Diego?
- First-time buyers in San Diego, San Diego County typically qualify for FHA (3.5% down, 580+ FICO), conventional HomeReady/Home Possible (3% down, 620+ FICO for households under 80% AMI), and CalHFA down payment assistance (MyHome or Dream For All for first-generation buyers). Military borrowers drive heavy VA volume. La Jolla and Rancho Santa Fe are super jumbo markets. Short-term rental DSCR is common near the coast.
- How much down payment do we need to buy in San Diego?
- Minimum down payment in San Diego depends on the loan program: VA (0%), FHA (3.5%), HomeReady/Home Possible (3%), standard conventional (5%), jumbo (10–20%). For high-cost areas in San Diego County, CalHFA Dream For All can cover up to 20% down payment as a shared-appreciation second lien.
- Which neighborhoods in San Diego work best for first-time buyers?
- San Diego neighborhoods we see first-time buyers closing in include La Jolla, Pacific Beach, North Park, South Park, Point Loma. Common ZIPs: 92037, 92101, 92102, 92103. Market context: Military borrowers drive heavy VA volume. La Jolla and Rancho Santa Fe are super jumbo markets. Short-term rental DSCR is common near the coast.
- How do we get started buying our first home in San Diego?
- Start with a 15-minute scenario call — we'll ask about your income, credit, cash available, and timeline, then tell you the price range you qualify for and which program fits. Call or text (626) 833-7449.
Next step
Call or text (626) 833-7449. 15 minutes, five questions, a real answer about what's possible for your San Diego purchase.