Top Down Payment Assistance Programs You Need to Know to Buy Your Dream Home

What’s up, Denver? Adam Gillespie here, your no-nonsense, straight-talking realtor from Exp Realty. I know buying a home can be tough, especially with today’s mortgage rates and rising home prices. That’s probably why you’re looking into down payment assistance programs and grants. The problem is, a lot of folks don’t know where to start.

Bank of America did a study and found out that a whopping 53% of prospective buyers need help understanding homebuying grant programs. So, let’s break it down and get you the info you need.

What Is Down Payment Assistance?

According to The Mortgage Reports, “Down payment assistance (DPA) programs offer loans and grants that can cover part or all of a home buyer’s down payment and closing costs. More than 2,000 of these programs are available nationwide. . . DPA programs vary by location, but many home buyers could be in line for thousands of dollars in down payment assistance if they qualify.”

Here’s the kicker: You might not need as much for your down payment as you think. Forget that 20% down myth unless your loan type or lender says otherwise. This means you don’t need to save as much upfront, and these programs can make your down payment more achievable. Win-win, right?

First-Time and Repeat Buyers Are Often Eligible

Good news! These programs aren’t just for first-time buyers. Down Payment Resource notes, “You don’t have to be a first-time buyer. Over 39% of all [homeownership] programs are for repeat homebuyers who have owned a home in the last 3 years.” Whether it’s your first house or your fifth, there could be an option for you.

Additional Down Payment Resources That Can Help

Here are a few programs helping buyers achieve their homeownership dreams:

• Teacher Next Door: Helps teachers, first responders, health providers, government employees, active-duty military, and Veterans reach their down payment goals.
• Fannie Mae: Provides down payment assistance to eligible first-time homebuyers living in majority-Latino communities.
• Freddie Mac: Offers options for homebuyers with modest credit scores and limited funds for a down payment.
• 3By30 Program: Lays out strategies to add 3 million new Black homeowners by 2030.
• Native American Programs: 42 U.S. homebuyer assistance programs across 14 states that help with down payments and other costs.

For more info, the best place to start is by contacting a trusted real estate professional. They can give you the lowdown on what’s available, including any other programs designed to serve specific professions or communities. And even if you don’t qualify for these, they can help you explore other federal, state, and local options.

Bottom Line

Affordability is still a challenge, so if you’re looking to buy, make sure you’re taking advantage of all the resources out there. The best way to find out what’s available is to connect with a team of real estate pros, including a trusted lender and a local agent.

Ready to take the next step? Hit me up at 720-789-4658 or adamgillespie303@gmail.com. Let's go!