Down Payment Assistance Programs

Down Payment Assistance Benefits

  • Help with down payment and closing costs
  • Buy home now and possibly avoid paying higher price for same home later
  • Take advantage and lock in your loan at today's low interest rates
  • Seller can still help pay remaining closing costs
  • Take advantage of Mortgage Credit Certificate Program now which may give you substantial tax credit on mortgage interest every year.*
  • Help offset upfront and monthly mortgage insurance costs
  • Leave closing table with cash cushion to meet other homeownership expenses
  • Homeownership course which provides education about finances and the home buying process

Let's take a look at how down payment assistance works and some of the qualifications:

Types Of Down Payment Assistance

Down payment assistance can come in the form of a 2nd mortgage loan or grant which does not need to be paid back. A loan may be forgivable if you live in the home a certain amount of years.


A down payment assistance loan may be deferred with no payments until you reach the end of the term, refinance, or sell your home. Furthermore, you may pay zero interest on this loan.


Usually, you need a credit score of 620 or higher to qualify for most down payment assistance program. Also, there may be income limits for the city or county you are looking to purchase home in.

Special Programs

There may be special down payment assistance programs for law enforcement officers, teachers, firefighters, emergency medical technicians, individuals with disabilities, etc. Check your state or local housing authority to see which programs may be available to you. Also, you can request more information about first time home buyer and down payment assistanc programs your area.

Find Down Payment Assistance Programs In Your State

*Consult tax professional on tax consequences.