Down Payment and Closing Cost Assistance

 Down payment assistance (DPA) is designed for eligible homebuyers who may need help covering the upfront costs of purchasing a home. Many programs are available to first-time homebuyers, although some also serve repeat buyers who meet specific program requirements.

Eligibility varies by program and may be based on factors such as household income, the location of the property, the purchase price, homebuyer education requirements, and occupancy as a primary residence. Some programs are intended for specific groups, such as veterans, teachers, healthcare workers, or public service employees.

Because requirements differ from one program to another, qualifying for one down payment assistance program does not guarantee eligibility for another. Reviewing the specific guidelines for each program can help determine which options may be available.

 There are a variety of down payment assistance (DPA) programs available, and the right option depends on factors such as your location, income, loan type, employment, and eligibility requirements.

For example, Florida's Hometown Heroes Housing Program may provide eligible homebuyers with up to $35,000 toward down payment and closing costs. The assistance is provided as a 0% interest, deferred second mortgage, which means there are no monthly payments. Repayment is typically required if you sell the home, refinance your mortgage, transfer ownership, or no longer use the property as your primary residence. Borrowers must meet program guidelines, including credit, employment, income, and other eligibility requirements.

Another example is the Chenoa Fund Down Payment Assistance Program, which offers forgivable assistance options for eligible FHA borrowers. Depending on the program option, qualified buyers may receive assistance equal to 3.5% or 5% of the home's purchase price toward the required down payment. While the assistance is provided as a second lien, it may be forgiven after meeting the program's requirements, such as making the required number of consecutive on-time mortgage payments.

DPA programs can vary widely, and new options may become available over time. If you're interested in learning which programs you may qualify for, let's connect and review your options.

 A first-time homebuyer is usually someone who hasn't owned a primary home in the last three years. Even if you've owned a home before, you may still be considered a first-time homebuyer if it's been at least three years since you owned and lived in your primary residence.

Keep in mind that the definition of a first-time homebuyer can vary depending on the loan or down payment assistance program. Some programs have different eligibility requirements, and others are available to both first-time and repeat homebuyers. Checking the specific guidelines for the program you're interested in is the best way to determine whether you qualify.