What is Down Payment Assistance?
Down Payment Assistance is money that helps you pay for the down payment on a home. It’s often offered as a grant or loan and is designed to make buying a home more affordable—especially for first-time buyers.
Down Payment Assistance is money that helps you pay for the down payment on a home. It’s often offered as a grant or loan and is designed to make buying a home more affordable—especially for first-time buyers.
Down Payment Assistance helps homebuyers cover the upfront costs of buying a home—usually the down payment and sometimes closing costs. These programs are typically offered by government agencies, nonprofits, or lenders and are designed to make homeownership more affordable, especially for first-time buyers or those with limited savings.
Lower Upfront Costs:Helps cover the down payment and sometimes closing costs, so you need less cash to buy a home.
Makes Homeownership Possible Sooner:You don’t have to wait years to save a large down payment.
Keeps Your Savings Intact:Allows you to keep more money in your pocket for emergencies, moving expenses, or home improvements.
Can Be Combined with Loan Programs:Often works alongside FHA, VA, or conventional loans.
May Be Forgivable:Some DPA programs don’t need to be repaid if you live in the home for a certain number of years.
Boosts Buying Power:With assistance, you may qualify for a better loan or more home than you expected.
These programs are offered by state or local housing agencies, nonprofits, or lenders.
Most programs require you to be a first-time homebuyer, meet income limits, and buy a primary residence.
The assistance may come as a grant (free money) or a loan (often with low or no interest, and sometimes forgivable).
The DPA money is applied at closing to reduce your out-of-pocket costs.
Grants don’t need to be repaid.
Forgivable loans are erased after a few years if you stay in the home.
Deferred loans are paid back when you sell or refinance.