Governor Newsom signs SB 417 (Photo: Governor Gavin Newsom)
California voters will decide this November whether to approve an $11.25 billion housing bond designed to expand affordable housing, preserve existing homes, and increase homeownership opportunities across the state, including additional support for Veterans.
Governor Gavin Newsom signed SB 417 on June 25, placing the Veterans and Affordable Housing Bond Act of 2026 on the statewide ballot this fall. If approved, the bond would invest $10 billion in affordable housing and homeownership programs, while another $1.25 billion would support the CalVet Home Loan Program.
Related article: IMPORTANT LEGISLATIVE UPDATE (June 2026)
The proposal comes as housing affordability remains one of California’s biggest challenges. The Governor’s office said only 17 percent of California households can afford to buy a median-priced single-family home, while more than half of renters are rent-burdened and spend over 30 percent of their income on housing.
For Veterans, the CalVet funding could be one of the measure’s biggest benefits. The program helps eligible Veterans purchase owner-occupied homes in California and can often work with the federal VA loan benefit to provide up to 100 percent financing with no monthly private mortgage insurance. State officials say the additional funding would expand the program’s ability to help Veterans and Military Families become homeowners.
Most of the bond would go toward affordable housing programs already used throughout California. The largest share, $5.1 billion, would support the state’s Multifamily Housing Program, which helps build, rehabilitate, and preserve affordable rental housing. Another $1.15 billion would help create supportive housing for people experiencing or at risk of homelessness, including $150 million specifically for youth housing.
The proposal also includes $600 million for the CalHome Program, which helps local agencies and nonprofit organizations provide first-time homebuyer assistance, home rehabilitation, and homebuyer education. Another $500 million would go toward home purchase assistance for qualifying buyers.
Several other housing needs are included in the proposal. Funding would support farmworker housing, tribal housing, affordable student housing at University of California and California State University campuses, and infrastructure improvements needed to prepare communities for new housing. The measure also includes support for interim and supportive housing, lower-income households, and moderate-income first-time homebuyers.
The bond would also invest in preserving affordable housing that already exists. Rather than focusing only on new construction, part of the funding would help repair older affordable housing developments and keep them available for future residents.
According to the Governor’s office, the bond could help more than 40,000 Californians purchase homes through down payment assistance, affordable mortgage financing, and other homeownership programs. The state also says affordable housing supported by the bond would generally remain affordable for at least 55 years.
The Governor’s office also said the bond would support tens of thousands of construction jobs as new housing is built across California.
If approved by voters, the Veterans and Affordable Housing Bond Act of 2026 would become one of California’s largest housing investments in recent years, with funding directed toward expanding housing opportunities, preserving affordable homes, supporting working families, and helping more Veterans achieve homeownership.
Author: Rikki Almanza
Rikki is a Web Content Coordinator for the American Legion, Department of California. With a deep-rooted family connection to the military, Rikki is committed to using her skills and knowledge to provide valuable assistance and resources to servicemembers and veterans.
