Find the down payment assistance you actually qualify for
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Down payment assistance is money from a state agency, city, county, nonprofit or lender that covers part of your down payment and closing costs. Answer ten questions and we'll show you the programs whose published rules match your situation — grants, forgivable seconds, deferred seconds and repayable seconds, clearly labeled so you know what has to be paid back.
- 63
- assistance programs tracked from agency sources
- 50+
- states and DC with programs in the finder
- 10
- questions between you and your matched list
- See your matched programs in about ninety seconds
- Programs sourced from the agencies that run them, with the source link on every card
- Repayment structure spelled out before you get excited about an award amount
This is an educational research tool, not an approval, a commitment to lend, or a guarantee that any program has funds available today.
Which state are you buying in?
Assistance is awarded by state, county and city — location is the single biggest filter.
Simply Approved Mortgages LLC arranges residential mortgage loans in Florida and Colorado only. We ask first so we never collect a mortgage inquiry we are not licensed to act on.
This tool is an educational research aid. It does not determine eligibility, and does not confirm that any program currently has funds. Program rules are set and changed by the administering agencies.
Quick answer: How does down payment assistance work?
Down payment assistance is money from a housing finance agency, city or county that covers part of your down payment or closing costs. It usually arrives as a grant, a forgivable second mortgage, a deferred second you repay when you sell or refinance, or a low-rate repayable second. You still qualify for a normal first mortgage underneath it.
TL;DR
- Assistance comes in four shapes: grant, forgivable, deferred and repayable second.
- Most awards run from a few thousand dollars up to a percentage of the purchase price.
- Income caps, purchase-price caps and a homebuyer education course are the usual conditions.
- You still need to qualify for the first mortgage — assistance sits behind it.
- We originate residential mortgages only in Florida and Colorado; everywhere else this page is research only.
Quick questions
- Do I have to be a first-time buyer?
- Usually, but most agencies define that as not having owned a home in the last three years, and some programs waive it in targeted areas or for public-service occupations.
- Is assistance free money?
- Grants and forgivable seconds can be, if you stay past the forgiveness period. Deferred and repayable seconds are real debt recorded against the home.
- How long does it add to closing?
- Plan on a slightly longer file — the agency reviews and reserves funds alongside the lender, which commonly adds one to two weeks.
The four kinds of down payment assistance
Almost every program in the country is one of these four structures. The label matters far more than the dollar amount, because it decides whether you ever pay the money back.
Grant
Money that does not have to be repaid as long as you meet the program's conditions, which usually include occupying the home as your primary residence. True grants are the rarest and the fastest to run out of funding.
Forgivable second mortgage
A recorded lien with no payment that is forgiven over a set period, often five to fifteen years of occupancy. Sell or refinance before the term ends and the unforgiven balance is due at closing.
Deferred second mortgage
A recorded lien with no monthly payment and no forgiveness. The full balance comes due when you sell, refinance, transfer title, or pay off the first mortgage. Florida Hometown Heroes works this way.
Repayable second mortgage
A recorded lien with a real monthly payment that is underwritten into your debt-to-income ratio. It solves the cash-to-close problem but raises your monthly obligation, so it can reduce how much home you qualify for.
Assistance is local — start with your state
Every state runs a housing finance agency program, and the largest awards are often city or county funded. We originate loans in Florida and Colorado and maintain deeper coverage there.
Down payment assistance questions, answered
What is down payment assistance?
Down payment assistance (DPA) is money from a state housing finance agency, a city or county, a nonprofit, an employer or a lender that helps cover your down payment and sometimes closing costs. It comes as a grant, a forgivable second mortgage, a deferred second mortgage or a repayable second mortgage. Only a grant is truly free money — the other three are recorded liens against your home.
Do I have to be a first-time home buyer?
Usually, but not always. Most programs define a first-time buyer as someone who has had no ownership interest in a primary residence in the past three years, so a previous owner can qualify again. Some programs waive the requirement for veterans, for buyers in targeted areas, or for qualifying professions.
Does down payment assistance have to be paid back?
It depends entirely on the structure. Grants generally do not. Forgivable seconds are forgiven over a set occupancy period and become due if you sell or refinance early. Deferred seconds have no monthly payment but the full balance comes due on sale, refinance or payoff. Repayable seconds carry a monthly payment that is underwritten into your debt-to-income ratio.
How much assistance can I get?
Awards commonly range from about $5,000 to $35,000, and some programs are expressed as a percentage of the purchase price or loan amount. Florida Hometown Heroes and several city programs sit at the high end. The exact amount is set by the administering agency and can change without notice.
Does this site approve me for assistance?
No. This finder is a research tool. It shows programs whose published rules line up with your answers. Eligibility is decided by the agency that runs the program and by full mortgage underwriting. Funding availability changes constantly and must be confirmed with the administrator.
Key takeaways
Down payment assistance is money from a state agency, city, county, nonprofit, employer or lender that covers part of your down payment and closing costs. It is delivered as a grant, a forgivable second mortgage, a deferred second mortgage or a repayable second mortgage, and only a grant is money you never repay.
- Down payment assistance comes in four structures; only a grant is money you never repay.
- Income limits, purchase price caps and first-time-buyer rules disqualify more buyers than credit score does.
- Funding is finite and changes without notice — always confirm availability with the administering agency.
- Most assistance must be paired with a first mortgage from a lender approved by that program.
Ready to see which programs fit you?
Answer 10 quick questions and see the down payment assistance programs worth checking..
How down payment assistance helps you buy
Down payment assistance closes the cash gap between what a lender will lend and what a seller needs at the closing table. For most buyers it is the difference between purchasing this year and saving for another three to five. Terms and availability are set by each administering agency and can change or run out of funding without notice.
You buy years sooner
Saving a 5% down payment on a median-priced home usually takes several years. Assistance covers most or all of that gap now, so your timeline is set by your credit and income rather than by your savings balance.
Your own cash stays intact
Because the assistance funds the down payment and, on many programs, closing costs, your savings can stay where they belong — reserves, moving costs, and the repairs that show up in the first year.
Often no monthly payment added
Grants and forgivable or deferred second mortgages add nothing to your monthly payment. Only a repayable second creates a second monthly obligation, and every program card on this site states which structure applies.
It stacks with normal financing
Assistance attaches to a standard FHA, conventional, VA or USDA first mortgage originated by a lender approved for that program, so you are not trading away loan choice to use it.
What you have to meet
- Income limit
- Household or qualifying income must fall at or below a published cap, set by county and usually adjusted for household size. This is the most common disqualifier, so check it first.
- Purchase-price cap
- Most programs limit the acquisition cost of the home, and the cap can differ between new construction, existing homes and federally targeted areas.
- First-time buyer status
- Commonly defined as no ownership interest in a primary residence for the past three years. Veterans and targeted-area purchases are frequently exempt.
- Credit score
- Program minimums typically sit in the low-to-mid 600s, and the first mortgage carries its own minimum. The higher of the two governs your file.
- Owner occupancy
- The home must be your primary residence. Investment and second-home purchases are not eligible, and moving out during a forgiveness period usually accelerates repayment.
- Homebuyer education
- Most programs require an approved course certificate before closing. It takes a few hours online — take it early, because it is a hard closing condition.
- Participating lender and reservation
- Funds are delivered through the first mortgage and reserved by an approved lender, normally once you are under contract. Eligibility alone does not hold money; the reservation does.
A realistic timeline
- Week 1Check the county income and price limits, pull your own credit report, and start the homebuyer education course.
- Week 1–2Work with a lender approved for the specific assistance program you want to use to confirm your financing.
- Week 2–8Shop inside the program's eligible area and price cap, then write an offer that allows time for the assistance paperwork.
- At contractYour lender reserves the assistance funds while the file moves through underwriting.
- At closingFunds are wired to the closing agent and applied to your down payment and permitted closing costs — they are never paid to you as cash.
Timelines are illustrative and vary by program, lender and market. Nothing here is an offer of credit, an approval, or a guarantee of assistance eligibility, funding availability or any particular term.
September 2026 Down Payment Assistance Review
We reviewed state housing finance agency program notices, federal housing and mortgage-market data and assistance program funding and eligibility changes relevant to this page. No material changes requiring substantive revisions were identified this month. The information and sources shown here remain current as of our latest review.
- Checked: state housing finance agency program notices
- Checked: federal housing and mortgage-market data
- Checked: assistance program funding and eligibility changes
- Sources:
- U.S. Department of Housing and Urban Development (HUD), HUD, HUD Handbook 4000.1, II.A.4
- Data last verified:
- 2026-08-12
- Data year:
- 2026
Current data & page updates
- Page last reviewed
- September 5, 2026
- Page last substantively updated
- September 5, 2026
- Data last verified
- August 12, 2026
- Current data year
- 2026
- Primary sources
- U.S. Department of Housing and Urban Development, HUD, HUD Handbook 4000.1, II.A.4
- Next scheduled review
- October 5, 2026
- Current monthly review
- September 2026
- Live data feed
- No
Licensing & Disclosures
Simply Approved Mortgages LLC | NMLS #2620881
Florida Mortgage Broker License #MBR7685 | Colorado Mortgage Company Registration
Simply Approved Mortgages LLC is a mortgage broker and is not a direct lender. We arrange residential mortgage loans in Florida and Colorado.
Eligibility, terms, conditions, and availability vary by borrower, property, lender, loan program, and state. Not all products or programs are available in all states. All loans are subject to lender underwriting and approval. Equal Housing Opportunity.