Down Payment Assistance Loans
Lenders and Real Estate Agents:
Help your first-time buyers increase their down payment or cover closing costs with a DPA Loan.
Our Down Payment Assistance Loan Program provides no-interest, deferred-payment second mortgage loans of up to $10,000.
Eligible homebuyers must:
- Be first-time homebuyers (not owned property within the last 3 years)
- Be purchasing in Coos, Curry, Douglas, Klamath, or Lake Counties
- Intend to occupy the home as their primary residence
- Complete HUD certified home buyer education course
- Qualify for conventional or government loan (no negative amortizing loans)
- Income below 100% family median income for the county (see chart)
- Property must be single family residence (including condominium or manufactured home) on fee-simple or community land trust
- Property must conform to standard mortgage requirements
2020 HUD Income Limits – Area Median Income for Families
|County||Family Median Income Limit|
- DPA loans can be applied to part or all of the down payment and/or closing costs.
- Funds may not be used to pay down personal debts.
- Borrowers may not receive cash back.
- If Veterans have no down payment, these funds can be used for a down payment
Funds can also be added to increase an existing down payment
Funds can be used for closing costs, including the VA funding fee
DD-214 is required
Repayment – The loan becomes payable in full upon sale, transfer, refinance, or when the borrower no longer occupies the home as their primary residence.
Amount – up to $10,000 for non-veterans
Interest Rate – no-interest
Monthly Payment – no monthly payment
Subordinations - NeighborWorks Umpqua may agree to a subordination for rate/term refinances that show a clear benefit to the borrower. We will not subordinate for a cash-out refinance.
Transfer – This loan is not assumable by another party.
“Homeownership would have been impossible without NeighborWorks Umpqua! I am definitely low income and I was worried that homeownership might be out of my reach.” – J.B.
How to Apply on behalf of a borrower:
- Ensure borrower meets eligibility standards described above
- Contact us below or call us 541-673-4909
- Get approval documents ready. View document checklist.