For many people, saving for a down payment is the biggest hurdle to buying a home—especially with today’s high housing prices and everyday costs. But here’s what most buyers don’t realize: you may not need to come up with a large down payment on your own.
Down payment assistance programs (or DPA programs) are designed to make homeownership more accessible—particularly for first-time buyers and those with low to moderate income. These programs, offered by government agencies, nonprofits, and community partners, can help cover a portion of your down payment and even some closing costs.
At First Savings Mortgage, we work with homebuyers every day to identify and apply for down payment assistance programs that fit their needs. Whether you’re just starting your home search or already looking at homes, here are five important things to know about down payment assistance.
1. What Is Down Payment Assistance—and How Does It Work?
Down payment assistance refers to funding that helps buyers afford their home’s down payment and, in some cases, closing costs. This support can come in the form of a grant, a low-interest loan or a forgivable loan—each with its own structure and repayment terms.
Some programs require a small personal contribution from the buyer, but it’s often much less than the traditional 20% many people think they need.
Our loan officers stay up to date on local, state, and national DPA options and can guide you through what you may be eligible for based on your location, budget, and goals.
2. Who Qualifies for Down Payment Assistance?
Most down payment assistance are geared toward first-time homebuyers—which often includes anyone who hasn’t owned a home in the last three years. However, eligibility varies by program and location.
Common requirements include:
Some programs also offer special consideration for professionals such as teachers, first responders, and healthcare workers.
Our team can help you navigate the requirements and see which programs align with your current situation. We’re here to simplify the process—so you don’t have to sort through it all alone.
3. What Types of Assistance Are Available?
Down payment assistance comes in a few different forms, each with its own benefits:
Our loan officers can help you understand the differences and determine which type of assistance may be the best fit for you.
4. What Homes Qualify for Assistance?
Down payment assistance programs typically support the purchase of primary residences, such as single—family homes, condos, or townhomes. Vacation homes and investment properties are generally excluded.
There are usually limits on the home’s purchase price, which vary depending on the area and program. Our mortgage professionals can walk you through the eligible property types and price points so you know what’s realistic as you shop for your new home.
5. How Do You Find the Right Program?
There are hundreds of down payment assistance programs available — but finding the one that fits your needs can be overwhelming. That’s where we comein.
At First Savings Mortgage, our experienced loan officers are well—versed in local DPA programs and can point you in the right direction from the start.
Let’s Make Homeownership More Attainable
If saving for a down payment has kept you on the sidelines, now’s a great time to explore your options. Down payment assistance programs can help you buy a home sooner than you think — without draining your savings.
Our team is here to provide clear guidance, personalized advice, and access to the resources that make homeownership more affordable. If you’re ready to learn more, connect with one of our local loan officers today. We’d love to help you find a path forward that works for you.
