Down Payment Assistance Loans

Lenders: Help Your Customers Close the Gap on Down Payment and Closing Costs with a DPA Loan.

Our Down Payment Assistance Loan Program provides no interest loans of up to $15,000 for first-time home buyers to cover a portion of the down payment and/or closing costs associated with the purchase of their home. Help your customers increase their down payment and avoid costly private mortgage insurance.

Eligible homebuyers must:

  • Be first-time homebuyers.
  • Have a pre-approval and a fully executed purchase/sale agreement.
  • Be purchasing in Coos, Curry, Douglas, Klamath, or Lake Counties.
  • Subject Property must be a single-family home, condominium, or manufactured home; on fee-simple land or within a Community Land Trust. Manufactured homes must comply with conventional first mortgage lending standards.
  • Qualify for conventional or government loan; fixed-rate or adjustable-rate loans are acceptable, no negative amortizing loans.
  • Complete Home Buyer Education & Counseling.
  • Intend to occupy the home as primary residence.

Income Requirements:

  • Total Household Gross Income must be below 100% Area Median Income Limits (see chart below)
  • Liquid Assets cannot exceed $20,000 after closing (unless more is required by lender)
  • Debt to Income Ratio cannot exceed 45%
  • Loan to Value Ratio cannot exceed 103%

    FAQ: Frequently Asked Questions

    This program is made possible through funding from Oregon Housing and Community Services Down Payment Assistance Program.


    2020 HUD Income Limits – Individual Income Limits Areas – 100% of Median Income

    County Family Median Imcome Limit
    Coos $53,400
    Curry $59,200
    Douglas $59,600
    Klamath $53,100
    Lake $44,700

    “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.

    Eligible Uses:
    Down Payment Assistance Loan funds may be used for full or partial down payment and/or closing costs.  The borrower may not receive cash back. 

    Veterans may use up to $15,000 in DPA funds to cover the cost or improve the down payment VA Funding Fee. Veterans must provide DD-214 documentation to establish eligibility for a higher loan amount.  

    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; up to $15,000 for Veterans
    Interest Rate – Interest-free
    Monthly Payment – no monthly payment
    Repayment – The loan becomes payable in full upon sale, transfer, refinance, or when the borrower no longer occupies the home as their primary residence.
    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. 

    How to Apply on behalf of a borrower:

    1. Ensure borrower meets eligibility standards described above
    2. Complete and submit the Loan Request Form along with required supporting documentation
    3. NWU will contact the borrower to discuss eligibility and initiate a loan application


    Learn more about DPA or connect with us on behalf of a homebuyer: