I agree with Bill that there are many options to look at. I wrote a blog post that list all the different possibilities and their contact information. Take a look at http://talktocj.com/?p=16
HICAP cannot be used in conjunction with an FHA 1st Mortgage. However, given the numerous 1st time buyer programs available throughout Santa Clara Valley , most of which can be layered together, why would you want to use this particular combination.
Zero down is easilly achieved using FHA alone, or through a combining a wide range of alternatives including HICAP.
This is an area where you should be working with an agent familiar with the 1st time buyer market and the programs designed to support it.