Eligibility

How to qualify for down payment assistance

Every program has its own rules, but most down payment assistance programs check the same handful of things. Here's what they look at — and how to get ready.

The common eligibility checklist

RequirementWhat programs usually look for
Household incomeAt or below a limit set by county and household size, often tied to area median income
Purchase priceAt or below the program's price limit for the area
Credit scoreA minimum score set by the program and the first-mortgage type; many programs fall in the 620–660 range
Debt-to-income ratioA maximum ratio, often in the mid-40s to 50% range depending on the loan
First-time buyer statusOften required — typically no ownership of a primary residence in the past three years
OccupancyThe home must be your primary residence
Homebuyer educationCompletion of an approved course before closing
Participating lenderYour mortgage must come from a lender approved for the program

Requirements vary by program and change over time. Your lender will check current guidelines.

Who counts as a first-time homebuyer?

Most programs use the federal definition: you haven't owned a primary residence in the last three years. That means many people who owned a home years ago qualify again. Some programs make exceptions for veterans or for homes in certain targeted areas, and some programs don't require first-time buyer status at all.

Income and purchase price limits

Income limits are usually based on your county's area median income and your household size, and they're often higher than people expect — especially in higher-cost areas. Programs also cap the purchase price. Read how DPA income limits work.

Credit and debt

Your credit score and debt-to-income ratio matter for both the first mortgage and the assistance. Paying down credit card balances, correcting report errors, and avoiding new debt before you apply can improve your options.

Homebuyer education

Many programs require an approved homebuyer education course — often available online and completed in a few hours. Take it early; the certificate is usually needed before closing.

How to get started

  1. Talk to a participating lenderThey'll check which programs fit your income, location, and credit.
  2. Gather documentsPay stubs, W-2s or tax returns, bank statements, and ID.
  3. Get pre-approvedYour pre-approval should reflect the assistance you're using.
  4. Complete homebuyer educationFinish the course while you shop.

Frequently asked questions

What credit score do I need for down payment assistance?
It depends on the program and loan type. Many programs require a minimum in the 620–660 range, and some allow lower scores with an FHA loan.
Can I get down payment assistance if I've owned a home before?
Often, yes. Most programs define first-time buyers as people who haven't owned a primary residence in the past three years, and some programs are open to repeat buyers.
Is there a minimum amount I have to contribute?
Some programs require a small contribution from your own funds, such as $500 or $1,000. Others don't.
Can I use DPA to buy a condo or townhome?
Usually, as long as the property meets the first mortgage's requirements and it will be your primary residence.
Next step

Find out which programs fit you.

Down payment assistance rules change often, and many programs must be paired with a specific first mortgage. A short conversation will tell you what you likely qualify for — before you make an offer.

  • Program eligibility reviewed against current guidelines
  • Income, credit, and purchase price limits checked up front
  • A clear estimate of your cash to close

Two ways to start

Get pre-approved online, or book a free consultation to talk through programs first.

Or call/text Matthew Brown at (512) 952-1125 · matt@matt.mortgage

Get Pre-ApprovedCall