Down payment assistance in simple terms
Many renters assume they need a huge lump sum to buy. In reality, some buyers use a mix of lower-down-payment loans and down payment assistance (DPA) to get started. Programs vary by state, county and sometimes employer.
Grants & forgiven loans
Grants / forgivable assistance
Some programs offer money that may be forgiven over time if you stay in the home for a required number of years and meet program rules.
Second liens
Silent second / subordinate loans
Other programs provide part of your down payment as a second loan that is repaid when you sell, refinance or after a set period.
Closing costs
Help with closing costs
DPA may sometimes be used toward closing costs so you keep more of your cash in reserves or for repairs and furnishings.
Local rules
Local and state-specific
Most assistance has income limits, price limits, first-time buyer definitions and required classes or counseling.
How to find out what you might qualify for
Because programs change and are often local, there is no single list that fits everyone. A simple way to start:
- Estimate your income, price range and area you’d like to buy in.
- Use the Rent vs Buy and DTI tools to see a rough picture.
- Then share your details on Get Your Plan and include a note that you’d like to explore down payment assistance.
We can look at general program types and help you understand how assistance might interact with FHA, VA, USDA or conventional loans.