|Down Payment Assistance Programs (DAPS) are
loan programs designed to assist first-time home buyers with the required down payment and
closing costs required by the FHA loan program.
of down payment assistance programs are typically broken into two types of loan programs.
These are the 501 (c) (3) Non-Profit organizations or county, city, state backed down
payment assistance programs.
The 501 (c) (3) non-profit down payment assistance programs will
typically require the assistance of the home seller in order for the buyer to take
advantage of the program. Following is a list of just some of the available down payment
assistance programs offered by non-profit organizations.
- Nehemiah - Grants up to 3% towards down payment.
- HART - Grants up to $15,000 towards down payment and closing
- Neighborhood Gold - Grants up to 20%, includes Mortgage Payment
The above programs typically do not have a repayment
schedule nor is there a second mortgage required. If you would like to learn more about
the above type of programs, please click here.
The State, County, and City backed Down Payment
Assistance programs are typically secured by a second mortgage. Some of these second
mortgages may be "silent" meaning there is no payments required initially and
some of the programs forgive the loan after 10-20 years of living in the home.
Following is a list of some of these programs available:
- 3% second mortgage for your down payment.
- CHFA Loans (CHAFA) -
California backed program allowing buyers 100%
- Access 2000
- No money down program for California.
All of these types of down payment assistance
programs use a FHA loan. Since you must be able to obtain FHA financing in order to use
any of these programs, learn more about FHA Loan Qualifying