Down Payment Assistance
Grants and second-lien programs that help cover your down payment and closing costs, so a shortage of cash up front doesn't keep you from buying.
Down payment assistance, or DPA, is a set of programs that help with the money you need to close: your down payment, and often part of your closing costs. It's aimed at buyers who can handle the monthly payment but are short on cash up front.
The help usually arrives one of two ways. Some programs give a grant you never repay. Others lend a second loan behind your main mortgage, sometimes with no payment or no interest, depending on the program.
Where the help comes from
Most DPA runs through state and local housing agencies, and some lenders offer their own. Each sets its own rules on who qualifies, how much is available, and whether the money is a grant or a repayable second lien. Many programs pair with an FHA, USDA, or conventional first mortgage.
Who tends to qualify
Programs often focus on first-time buyers, though plenty define that as anyone who hasn't owned a home in the past few years. Income limits are common, and some ask you to take a short homebuyer education course. The details shift by program and by year, so let Gene check what you're eligible for rather than assuming you're not.
A strong fit if…
- You can afford a monthly payment but are short on cash to close
- You're a first-time buyer, or haven't owned recently
- Your income falls within a program's limits
- You want to pair assistance with an FHA, USDA, or conventional loan
Worth weighing
- Programs have income limits and other eligibility rules
- Some assistance is a grant; some is a second loan you repay
- Availability and terms change by program and by year
Run your numbers
Compare other options
Is DPA the right fit for you?
Gene will look at your goals and compare your options with no obligation. Get pre-qualified or call to talk it through.