California Passes Revolutionary Bill to Support Undocumented Immigrants in Home Buying

Written by Kathrine Frich

Sep.03 - 2024 12:56 PM CET

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Photo: Shutterstock
Photo: Shutterstock
California would become the first state in the U.S. to allow undocumented immigrants to access state-backed home loans.

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The California Assembly has approved a groundbreaking bill aimed at assisting undocumented immigrants with purchasing their first homes, in a move that has sparked intense debate.

The Home Purchase Assistance Program

According to SE the bill, AB 1840, was passed by a narrow margin in the state Senate and is now awaiting the signature of Governor Gavin Newsom, who has until the end of September to decide its fate.

If signed into law, California would become the first state in the U.S. to allow undocumented immigrants to access state-backed home loan assistance through the “California Dream for All” program, which is being rebranded as the Home Purchase Assistance Program.

This legislation, authored by Assembly member Joaquin Arambula, would enable undocumented residents to participate in a lottery system that offers 20% of a home’s purchase price, up to $150,000, as assistance.

Draws Sharp Criticism

Arambula defended the bill by emphasizing its goal of providing opportunities to hardworking individuals who aspire to own homes and create a legacy for their families. “This includes undocumented immigrants who have lived here for decades and paid taxes,” he stated.

However, the proposal has drawn sharp criticism from Republican lawmakers, who argue it is a misuse of taxpayer funds.

State Senator Brian Dahle expressed concerns about California's growing budget deficit, stating that “Democratic legislators are so out of touch with everyday Californians that they are literally taking money from law-abiding citizens and giving it as a free gift to those who broke federal law to enter the country.”

Since its launch in 2023, the original California Dream for All program has already benefited approximately 1,700 individuals. The passage of AB 1840 marks a significant step in California's ongoing discussions about immigration and housing policy.