Down Payment Assistance
Down Payment Assistance Programs
Making Homeownership More Accessible Saving for a down payment can be one of the biggest challenges for homebuyers, especially first-time buyers. That’s where Down Payment Assistance (DPA) programs come in. DPA programs are designed to help qualified buyers cover part (or all) of their required down payment and closing costs, making it easier to purchase a home without draining their savings.
What Is Down Payment Assistance?
Down Payment Assistance (DPA) is financial support offered by state, local, or nonprofit organizations to help eligible homebuyers achieve homeownership.
Types of Assistance Grants
- Money you don’t have to repay.
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- Forgivable Loans, no payments required; the loan is forgiven after you live in the home for a set period (often 5–10 years).
- Deferred Loans, payment is postponed until you sell, refinance, or pay off the mortgage.
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- Matched Savings Programs, for every dollar you save, the program matches your contribution (up to a limit).
Typical Eligibility Requirements
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While each program has its own rules, most share similar criteria:
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First-Time Homebuyer Status – Usually defined as not owning a home in the last 3 years.
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Income Limits – Household income must fall within local or state guidelines.
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Purchase Price Limits – The home must be below a certain price cap.
Primary Residence Requirement – Must occupy the home as your main residence.
Credit Score – Minimums vary, but typically 620+.Homebuyer
Education Course – Completion of an approved education program may be required.
Programs Available in Your Area At Verdov Mortgage Group with Great Norther Mortgage Corp.
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We work with down payment assistance programs across New York, New Jersey, Pennsylvania, and Florida.
New York SONYMA Down Payment Assistance Loan (DPAL) – Up to $15,000 toward down payment and closing costs, with 0% interest and no monthly payments.
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New Jersey NJHMFA Smart Start Program – Provides up to 4% of the first mortgage amount as forgivable assistance for down payment and closing costs.
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Pennsylvania PHFA Keystone Advantage DPA – Offers up to $10,000 as a second mortgage with 0% interest, repayable only upon sale or refinance.
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Florida Florida Hometown Heroes Program – Up to 5% of the loan amount (maximum $35,000) for down payment and closing costs, with forgivable terms for eligible borrowers.(Program names, limits, and requirements may change — check current eligibility before applying.)
Why Use Down Payment Assistance?
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Buy sooner, stop waiting years to save for a large down payment.
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Keep your emergency savings intact.
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Lower your upfront costs and improve affordability.
