LOS ANGELES — For many Californians, the 2025 Los Angeles firestorms were more than a news headline; they were a life-altering disaster that turned homes into ash and financial stability into uncertainty. On February 12, 2026, Governor Gavin Newsom offered these families a significant reason for hope.
Standing in a state still recovering from climate-driven destruction, the Governor announced a major expansion of the CalAssist Mortgage Fund. The program, which previously offered a modest three months of support, will now provide up to $100,000 in mortgage relief grants—a four-fold increase that aims to keep survivors in their communities while they navigate the long road to rebuilding.
Bridging the Gap to Recovery
The core of the announcement is a dramatic shift in how much help a family can receive. Under the old rules, the program was capped at $20,000. Now, eligible homeowners can receive a full 12 months of mortgage payments, paid directly to their mortgage lenders. Crucially, these funds are grants, not loans, meaning they never have to be repaid.
“This expansion is about lifting weight off families who have lost so much,” said Rebecca Franklin, Chief Deputy Director of the California Housing Finance Agency (CalHFA). “The timing here is critical. Many families affected by the LA fires have been on forbearance for a year now and haven’t made a mortgage payment since the fires started. By offering a full year of mortgage assistance… we’re making it clear that this support is real.”
For residents like Aurora Barboza Flores of Altadena, who lost her home in the fires, the news felt like a heavy weight being lifted.
“It’s a huge relief,” Flores said. “If you ask any Altadena resident who’s rebuilding… the cost is really our biggest stressor. It’s what we carry on our shoulders, what we go to sleep with, what we wake up with. That this decision was made at the state level tells us there is a conscious effort to help us rebuild.”
Help for the Middle Class
In addition to increasing the dollar amount, the state is making the fund available to more people. Historically, disaster relief programs often focus strictly on low-income households. However, the high cost of living in California means that even middle-income families can be one disaster away from foreclosure.
The new rules significantly raise income eligibility. In Los Angeles County, for example, households with a combined annual income of up to $281,400 can now qualify for the relief. This represents a $70,000 increase from previous limits, ensuring that the “missing middle”—families who earn too much for traditional welfare but not enough to weather a total loss—are not left behind
Governor Newsom emphasized that California is stepping up because it has to. The Governor has been vocal about his frustration with the federal government, urging Congress and the President to approve disaster supplemental funding that has remained stalled in Washington, D.C.
“This disaster was unprecedented and demanded flexibility and real-time action,” Governor Newsom stated during the announcement. “We’ve been on the ground, listening and adjusting to meet people’s evolving needs. That’s why we’re expanding this program—to close the gap between relief and long-term recovery.”
A Stronger Safety Net
The mortgage relief is part of a broader “California for All” strategy that includes several other protections for survivors. Beyond the cash grants, the state has:
Negotiated with Lenders: More than 160 banks and credit unions have committed to offering an additional 90-day forbearance period without reporting late payments to credit bureaus.
Fast-Tracked Permitting: Executive orders have been signed to cut the “red tape” that often slows down rebuilding for years.
Targeted Speculators: New rules protect fire victims from predatory “land speculators” who try to buy destroyed properties for pennies on the dollar.
How to Apply
The state is urging survivors to act quickly, as funds are limited and distributed on a first-come, first-served basis. Homeowners whose primary residence was destroyed or severely damaged by a qualified California disaster between January 1, 2023, and January 8, 2025, are encouraged to apply.
The application process is free and can be completed entirely online. Families who previously received the original three months of assistance are also eligible to apply for the additional nine months of support to bring them to a full year.
As climate change makes wildfires more frequent and more intense, the CalAssist expansion represents a new model for state-led disaster response. By focusing on keeping families in their homes and protecting the middle class, California is attempting to build a more resilient future—one mortgage payment at a time.
For more information or to start an application, residents can visit CalAssistMortgageFund.org or call 800-501-0019.
