Nonprofit developers organized under IRS Code 501 (c)(3) may partner in several ways with CalHFA for production of affordable ownership or rental housing. In the Homeownership Program opportunities exist for more attractive interest rates and reduced commitment fees for long-term forward commitments for permanent loan funds under the BLOCK program. This is available for nonprofit developers doing contractor-built housing or for those administering mutual self-help (sweat-equity) programs wherein prospective borrowers contribute equity by participating as a group in the construction of their homes. The "sweat-equity" program is called Self-Help Builders Assistance Program (SHBAP). Thirty-year fixed rate first mortgages are available to the borrowers at a very low interest rate. In addition SHBAP offers pre-development loans for up to $500,000 for qualified 501(c)(3) nonprofit mutual self-help entities if their application is approved by CalHFA.

Nonprofits may also participate as sponsors of rental housing under CalHFA Multifamily Programs.