Updated September 2017
2017 Down Payment Assistance: Gaining Traction
2017 Down payment assistance programs have arrived.
Widespread information and expanded offerings for these have resulted in more homebuyer applications. One study, in particular, is showing just how they’re reaping the benefits. RealtyTrac® and Down Payment Resource released a joint report indicating that these programs save qualified homebuyers over $17,000 over the life of a loan.
An analysis of 513 found an “average savings of $5,965 on the down payment for a median-priced home, and an average savings of $11,801 on monthly house payments over the life of the loan for a median-priced home.”
Residents in these counties had the most to gain by opting for a down payment assistance program.
- Kauai County, Hawaii (191 percent of annual wages)
- Shasta County (Redding), California (176 percent)
- Sevier County (Sevierville), Tennessee (161 percent)
- El Dorado County, California in the Sacramento metro area (160 percent)
- Allen County (Lima), Ohio (157 percent)
The Options Out There
- Grants: Funds that don’t need to be paid back, provided that you own and live in your home for a specific period of time.
- Second mortgage loans: These have low or no interest rates and the payments are deferred over a specific time period and are considered the most common down payment source.
- Tax credits: Certain states and local governments, including Housing Finance Agencies, issue mortgage credit certificates which reduce the amount of income tax you pay, thus giving you more available income upfront to make your down payment or pay for closing costs.
Here is a handful of organizations and local agencies that can provide information about 2017 down payment assistance based on territory.
We are constantly updating our down payment assistance search tool – so please search for your state and county to see the down payment assistance programs available in 2017.
Programs come and go all of the time, and we are working hard to keep the information up-to-date and reliable.