The 7 Best National Down Payment Assistance Programs for Buyers

What’s down payment assistance, or a down payment grant?

Not every buyer has a huge stash of money saved up to buy a home. Though many loan programs go as low as 3% down, that’s still beyond the means of many homebuyers, especially those in hyper-competitive or expensive real estate markets.

Plus, for many Americans, it’s simply not feasible to wait to buy a home until they’ve saved up for a down payment.

Thankfully, there are tons of programs out there to help regular homebuyers achieve home ownership, even if they don’t have anywhere close to 20% saved up.

There are two main types of DPA programs:

Down payment grants

Down payment grants are gifts that help you make a down payment on a home. These DPA grants tend to be issued on a local level, so you’ll need an experienced real estate agent to help you track them down.

Many of these are matching programs, where the fund matches your savings 1:1, 2:1, 3:1, or in some cases, even 4:1. Typically, the matching will cap when your down payment reaches 20% of the home’s purchase price.

The best part about these down payment grants? They usually don’t need to be paid back if you follow all the program guidelines. Free money? Yes please!

Second mortgages

Another way you can get DPA is by taking out a second mortgage. This might sound like a scary option, but hear us out.

Some of these DPA loans have deferred payments until you sell or refinance the home, and others are forgiven completely once you’ve lived in the home for a certain number of years. Plus, many of these down payment-oriented second mortgages feature low- or no-interest options. So, if you plan to stay put for a bit, a second mortgage might be a solid option for you.

Many DPA programs can be used to cover closing costs, too, as that’s another large chunk of change you’ll owe at closing.

One other thing to note is that the majority of these programs are available on a local level. Although there are a few national options (we’ll get to those soon!), there are several initiatives available at the state and local levels.

How much could you save on your home with a down payment grant?

How much you’ll save using a DPA program, like a grant or a second mortgage depends on the program, your income, the home itself, and a lot of other factors.

Homebuyers can save anywhere from $5,000 to $35,000 using statewide DPA programs. In 2025, 42.31% of FHA purchase mortgage endorsements used DPA, showing just how helpful these programs can be for first-time buyers trying to make homeownership more affordable.

In most of the counties the report examined, DPA programs covered an average of 3% of the home purchase. Since many loans start at 3% down, it’s easy to see how one of these programs can boost a would-be buyer to homeowner status.

Who qualifies for down payment help?

Not everyone qualifies for down payment grants. Typically, these programs are reserved for buyers who truly need help with their home purchase.

“Usually, there are income limitations, and the house has to be in a certain neighborhood,” explains Paris. “Those are the two most common qualifications.”

What’s the deal with qualifying lenders?

Here’s the thing: Not every lender works with DPA programs, and funding timelines aren’t always clear. That’s why having an experienced real estate agent in your corner can make the process a lot easier.

“Most people don’t understand that not every lender can do every program,” Paris explains. “A lender is not Walmart. They don’t have access to every single thing that’s available under the sun.”

For example, a lender might accept a specific DPA grant from a local organization, but it might be unable to work with you on a more well-known statewide second mortgage program.

Paris says that in a perfect world, buyers who want to use DPA programs should first work with a real estate agent who specializes in helping first-time, middle-income, and lower-income buyers and who has direct knowledge of these programs. The agent can then help you figure out your needs and connect you with qualifying lenders.

What about loan programs? Some DPA programs work with all types of loans, including conventional, FHA, VA, and USDA. But other programs work exclusively with certain types of loans and products, so you may have to be flexible in your approach.

Make sure to read the fine print and go over the details of the DPA with your lender first, as these programs can be tricky.

What are some national down payment assistance programs?

As we mentioned, most DPA programs are available at the state and municipal levels. But there are still a few major national programs you should know about.

1. The Chenoa Fund

The Chenoa Fund is a national program that offers DPA second mortgages on conventional and FHA loans.

What it does: Get a DPA second mortgage at a low interest rate or zero interest. One Chenoa Fund option even forgives the loan entirely after a certain number of on-time payments.

Who it’s for: Creditworthy, low- and moderate-income buyers

2. Bank of America America’s Home Grant® program

Bank of America has two of its own DPA programs that it advertises nationally. The America’s Home Grant® program offers credits on closing costs.

What it does: Get a closing cost credit of up to $7,500 to be used on non-recurring closing costs, such as the title and recording, or to buy discount points that lower the mortgage rate.

Who it’s for: Buyers who are would-be owner-occupants meeting income limitations and purchasing homes in certain geographic regions

3. Bank of America Down Payment Grant program

Bank of America’s other DPA program is called the Down Payment Grant, and it covers, you guessed it, down payment funds.

What it does: Get a down payment grant of up to 3% of the purchase price, up to $10,000.

Who it’s for: Buyers who are would-be owner-occupants meeting income limitations and purchasing homes in certain geographic regions

4. National Homebuyers Fund

The National Homebuyers Fund, Inc. is a non-profit that works to expand homeownership opportunities and strengthen communities across the U.S. It’s helped more than 69,400 Americans purchase homes and provided $642.4 million in down payment assistance over the past two decades.

The best part? NHF funds are typically gift funds, meaning if you follow all the program guidelines, they don’t have to be repaid.

What it does: Get up to 5% of the loan amount for down payment or closing cost assistance. The money is provided in one of two ways: 1) a gift that does not need to be repaid, or 2) a zero-interest second mortgage that’s forgiven after three years of on-time payments.

Who it’s for: Buyers looking for a more flexible DPA option, including repeat homebuyers and those who may not qualify for stricter income limits elsewhere

5. Chase Homebuyer Grant℠

Chase Bank also offers its own national DPA program, which is called the Chase Homebuyer Grant℠.

What it does: Get up to $5,000 in grant assistance in eligible areas and use it to help lower your mortgage interest rate, closing costs, or down payment. You’re also guaranteed an on-time closing, or you’ll get an additional $5,000.

Who it’s for: Buyers who use the Chase DreaMaker program, Standard Agency, FHA, or VA, and purchase a primary residence

6. FHA Within Reach Down Payment Assistance program

The FHA funds its own down payment assistance program, though you’ll typically find this program through your state.

What it does: Get a zero-interest second mortgage for up to 3.5% of the loan amount.

Who it’s for: Buyers with at least a 640 credit score, income within local limits, and plans to live in the home as their primary residence. Borrowers should also be prepared to complete a homebuyer education course and meet debt-to-income requirements.

7. Wells Fargo Homebuyer Access® grant

Wells Fargo offers down payment assistance grants to help eligible buyers cover some of the upfront costs of buying a home.

What it does: Get up to $10,000 through the Homebuyer Access® grant to help cover your down payment. The funds don’t need to be repaid and can be combined with select assistance programs.

Who it’s for: Buyers using a Wells Fargo fixed-rate conventional loan who meet local income limits and are either buying a primary residence or currently living in an eligible area

8. State and local programs

The vast majority of DPA programs are found at the state and local levels. It can be frustrating navigating all the options, but there are a few key resources you can utilize to research DPA programs near you:

• HUD has a great list of local homebuying programs
• FHA offers a state-by-state directory of down payment assistance initiatives
• Google can help you find additional local programs by entering your city or state’s name + plus down payment assistance
• Your real estate agent can point you toward programs and lesser-known options you might not find on your own

What are other options for low down payments?

It’s worth mentioning that aside from down payment assistance programs, there are plenty of low- or no-down payment loan programs available for buyers who don’t have a ton of savings.

These don’t technically qualify as DPAs because they’re standard loan programs, but it’s good to know your options.

Conventional loans

With conventional loans, you can put down as little as 3%, provided you meet the eligibility requirements. There are also several conventional loan programs geared toward first-time and low-income buyers, including Fannie Mae HomeReady and Freddie Mac HomeOne and Home Possible.

Minimum down payment required: 3% for qualified buyers

FHA loans

These loans, backed by the Federal Housing Administration, are geared toward buyers with lower credit and savings. One thing to keep in mind, though, is that if you put less than 10% down, FHA loans require mortgage insurance for the life of the loan.

Minimum down payment required: 3.5%

USDA loans

USDA loans are only available in certain rural areas (though those areas cover around 97% of the country), and buyers must meet program income requirements. But on the upside, these loans go as low as 0% down.

Minimum down payment required: 0%

VA loans

VA loans are available for active duty service members, veterans, and qualifying spouses. If you qualify, you can put as little as 0% down, and you won’t have to pay mortgage insurance.

Minimum down payment required: 0%

Another way you could potentially afford a home with less savings is through special HUD programs like Good Neighbor Next Door and HUD Homes. These programs offer homes at steep discounts, but they’re only available for homes in specific areas, and not every buyer qualifies. So, if you’re planning to go this route, make sure you carefully research these options and work with an experienced real estate agent.

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How to get down payment assistance in 4 easy steps

Getting down payment assistance doesn’t have to be complicated if you know what steps to follow. Most programs have a similar process, from checking eligibility to getting approved through a lender. Here’s a simple breakdown of how to get started in just a few steps.

Step 1: Find the right agent

First things first: you’ll need to find the right agent with specific experience in using these programs. How do you do that? First, narrow your search to professionals who are experienced at working with first-time, middle-income, and low-income buyers. When you’re interviewing agents, Paris advises asking point-blank if they’ve ever helped a buyer with DPA before.

“I would ask them, ‘Have you ever helped someone with a down payment assistance grant?’” Paris says. “If you get a long stare, then they probably don’t know much about these programs.”

Remember: not only will you need to qualify for the program, but you’ll also need to work with a qualifying lender. An agent who’s never been through the process may be in over their head, so make sure you find an expert who’s been there, done that.

Step 2: Assess your needs and choose a DPA program

Are you looking for help with the down payment, or are you hoping to cover closing costs? Do you have some money saved up already that could qualify for a down payment matching program, or will you need the DPA funds to cover the entirety of your down payment?

This is where that experienced agent will come in, because they can help guide you to the right DPA program for your specific needs. Work with that expert to research local programs, and then choose the one that best fits your unique homebuying needs.

Step 3: Apply with a qualified lender

Remember how we said only certain lenders can handle DPA programs? Well, once you’ve chosen the ideal DPA program to get you over the down payment hump, you’ll want to reach out to the specific qualifying lender who works with that program.

Your agent can help you identify which lenders work with each program.

Contact the lender and tell your loan officer that you’re looking to use the DPA program, and ask how you can apply. They’ll guide you through the process of applying for the grant or second loan and applying for your home loan.

Step 4: Close and move!

After you’ve applied with your lender and the DPA program and been approved, it’s all about going through the closing process and moving into your new home.

Congratulations! It’s a seriously impressive accomplishment to not only buy a home, but to save money while you’re at it.

What are some common mistakes that can disqualify buyers from assistance?

Down payment assistance can help buyers get into a home, but a few common mistakes can easily derail the process. Watch out for these blunders:

Solving the biggest barrier to homebuying

Down payment grants can make a big difference for buyers who are trying to balance rising home prices with limited savings. Even with these programs available, many buyers still run into confusion around eligibility, income limits, and which options actually fit their situation. On top of that, not every lender or property qualifies, which can make the process feel a bit overwhelming.

This is where having the right guidance can help you sort through the options and avoid costly missteps. If you’re thinking about using down payment assistance, work with an experienced real estate agent who knows the programs and can help you find the right fit for your goals.

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