Downpayment assistance programs are initiatives to give cash grants, cheap loans, and tax breaks to U.S. home buyers.
Down payment assistance (DPA) programs are locally-supported initiatives that give away cash grants, cheap loans, and tax breaks to buyers of U.S. homes.
Most programs are government-backed. Some are community-backed.
Because of down payment assistance programs, home buyers don't need a big down payment to stop renting and start buying.
Down payment assistance programs comes in 5 varieties.
Cash grants for making a down payment on a home
No-interest loans for making a down payment on a home
Official interest rate reductions for your mortgage loan
Income tax reductions from your state and federal governments
Direct reimbursement for your mortgage closing costs
Depending on where you buy, you might have access to some, all, or none of the programs.
Down payment assistance programs are available to first-time buyers and repeat home buyers. Though, the hardest part of getting a down payment assistance approval is knowing that a program exists for you.
DPAs are typically run on a local level, and without much of budget for marketing and advertisement. As a result, you may not know what programs you can use.
To find out more about down payment assistance programs where you live, use the chatbox and tell us where you're moving.