Down Payment Assistance Programs 2026: Complete State Guide
Over 2,000 DPA programs offer grants up to $25,000, forgivable loans, and 0% interest options. Find programs in YOUR state and buy a home with little to no money down.
📊 Down Payment Assistance at a Glance
🎯 Check Your DPA Eligibility
Get pre-approved and our lender partners will identify all DPA programs you qualify for in your area:
📋 In This Guide
What is Down Payment Assistance?
Down payment assistance (DPA) programs help homebuyers cover their down payment and closing costs through grants, forgivable loans, or low-interest loans. These programs are offered by:
- State housing finance agencies (every state has one)
- Local/county governments
- Nonprofit organizations
- Employers (some offer homebuyer benefits)
- Federal programs (HUD, USDA)
💡 Did You Know? The average DPA recipient receives $10,000-$15,000 in assistance. Some programs offer up to $50,000 in high-cost areas like California and New York!
4 Types of Down Payment Assistance
🎁 1. Grants
Best option! Free money that never needs to be repaid.
- Typically $5,000-$25,000
- No repayment required
- Can cover down payment + closing costs
✨ 2. Forgivable Loans
Loans that are forgiven after 5-15 years if you stay in the home.
- Typically 3-5% of purchase price
- Forgiven over time (usually 5-15 years)
- Must repay if you sell/move early
⏸️ 3. Deferred Loans
No payments until you sell, refinance, or move.
- Often 0% interest
- Due when you sell/refinance/move
- Good for short-term affordability
📅 4. Low-Interest Loans
Second mortgages with below-market rates.
- Rates often 0-3%
- Monthly payments required
- Larger amounts available
Who Qualifies for Down Payment Assistance?
While requirements vary by program, most DPA programs require:
| Requirement | Typical Standard | Notes |
|---|---|---|
| First-Time Buyer | Yes* | *No ownership in past 3 years = first-time |
| Income Limit | 80-120% AMI | Area Median Income; varies by location |
| Credit Score | 620-640 | Some programs accept lower |
| Property Type | Primary Residence | Must live in the home |
| Homebuyer Education | Required | Free online courses available |
| Purchase Price Limit | Varies | Usually tied to FHA/conforming limits |
🔍 Check Your Eligibility Now
Get pre-approved and our lender partners will identify all DPA programs you qualify for:
Check My DPA EligibilityDown Payment Assistance by State (2026)
Every state offers DPA programs through their housing finance agency. Here's a comprehensive overview:
| State | Main Program | Max Amount | Type |
|---|---|---|---|
| Alabama | Step Up Program | $10,000 | Forgivable |
| Alaska | AHFC DPA | $15,000 | Deferred |
| Arizona | HOME Plus | 5% | Grant |
| California | CalHFA MyHome | $25,000+ | Deferred |
| Colorado | CHFA DPA | 4% | Grant |
| Connecticut | CHFA DAP | $20,000 | Low-Interest |
| Florida | FL Assist | $10,000 | Deferred |
| Georgia | Georgia Dream | $10,000 | Deferred |
| Hawaii | HHFDC DPA | $30,000 | Deferred |
| Illinois | IHDA Access | $10,000 | Forgivable |
| Maryland | MD Mortgage | $20,000 | Deferred |
| Massachusetts | MassHousing DPA | $50,000 | Deferred |
| New York | SONYMA DPA | $15,000 | Grant |
| North Carolina | NC Home Advantage | 5% | Forgivable |
| Ohio | OHFA DPA | 5% | Forgivable |
| Pennsylvania | PHFA Keystone | $10,000 | Forgivable |
| Texas | TDHCA My First Texas | 5% | Grant |
| Virginia | VHDA DPA | $15,000 | Grant |
| Washington | WSHFC Home Advantage | 5% | Deferred |
*This is a sample of major state programs. Many states have additional local and county programs. Contact a lender for a complete list of programs in your area.
How to Apply for Down Payment Assistance
📝 5-Step Application Process
- 1Get Pre-Approved
Work with a DPA-approved lender who knows your state's programs. Get pre-approved here.
- 2Complete Homebuyer Education
Most programs require a HUD-approved course (often free online, 4-8 hours).
- 3Verify Income & Eligibility
Provide pay stubs, tax returns, and other documentation to confirm you meet income limits.
- 4Find Your Home
Shop for homes within the program's purchase price limits.
- 5Close with DPA Funds
DPA funds are applied at closing to cover your down payment and/or closing costs.
Combine DPA with Low Down Payment Loans
DPA programs work with most loan types. Here's how to maximize your benefits:
| Loan Type | Min Down | With DPA | Best For |
|---|---|---|---|
| FHA Loan | 3.5% | $0 out of pocket | Lower credit scores (580+) |
| Conventional 97 | 3% | $0 out of pocket | Good credit (620+) |
| VA Loan | 0% | Closing costs covered | Veterans/military |
| USDA Loan | 0% | Closing costs covered | Rural areas |
Frequently Asked Questions
What is down payment assistance (DPA)?
Down payment assistance programs provide grants, forgivable loans, or low-interest loans to help homebuyers cover their down payment and closing costs. Over 2,000 programs exist nationwide, offered by state/local governments and nonprofits.
Who qualifies for down payment assistance in 2026?
Most DPA programs require: first-time buyer status (no homeownership in past 3 years), income below area limits (often 80-120% AMI), minimum credit score (usually 620-640), buying a primary residence, and completing homebuyer education.
How much down payment assistance can I get?
DPA amounts vary by program: grants typically range from $5,000-$25,000, forgivable loans up to 5% of purchase price, and deferred loans up to $50,000 in some high-cost areas. Many programs can be combined for maximum benefit.
Do I have to pay back down payment assistance?
It depends on the program type: Grants never need repayment. Forgivable loans are forgiven after 5-15 years if you stay in the home. Deferred loans are due when you sell, refinance, or move.
Can I use DPA with FHA, VA, or conventional loans?
Yes! Most DPA programs work with FHA, VA, USDA, and conventional loans. Some programs are specifically designed for certain loan types. Your lender can help you find compatible programs.
🚀 Find Your Down Payment Assistance Today!
Don't let a down payment stop you from homeownership. Get pre-approved and discover all the DPA programs you qualify for in your area.
Meet Sarah
Senior Mortgage Advisor & VA Loan Specialist
Sarah Mitchell brings over 12 years of mortgage industry expertise, specializing in VA loans and first-time homebuyer programs. As a certified NMLS professional, she has helped thousands of veterans and military families achieve homeownership through specialized loan programs. Her deep understanding of VA benefits and down payment assistance programs makes her a trusted advisor for service members transitioning to civilian life.
EXPERTISE:
KEY ACHIEVEMENT:
Helped 2,500+ veterans secure home loans