If you're in the process of buying a home in Utah and are concerned about where you'll get the money for the down payment, you're in luck. Utah has a range of down payment assistance programs that cater to different income levels. You can either research these options on your own or contact a lender like Mark Moyes at (801) 999-0886 to help you review all your options.
I would personally recommend the latter option, as lenders can help you avoid wasting time researching options you may not qualify for. They also have a better understanding of all the programs you might be eligible for.
There are several down payment assistance programs available in Salt Lake City that can help you with your home purchase. Here are some of the options:
- Utah Housing Corporation Down Payment Assistance: Offers down payment assistance to qualified first-time homebuyers in the form of a second mortgage. The program provides up to 6% of the purchase price in down payment assistance.
- Salt Lake City First-Time Homebuyer Program: This program offers up to $15,000 in down payment and closing cost assistance to qualified first-time homebuyers in Salt Lake City.
- Community Development Corporation of Utah: Offers a variety of down payment assistance programs, including the Own in Ogden program, which provides up to $5,000 in down payment assistance to qualified homebuyers in Ogden.
- Federal Housing Administration (FHA) Loans: FHA loans are a popular option for first-time homebuyers because they offer low down payment requirements (as low as 3.5%) and flexible credit requirements.
There are also several down payment assistance programs available statewide in Utah, including:
- HomeAgain Program: This program offers up to $10,000 in down payment assistance to first-time homebuyers in Utah. The program is administered by the Utah Housing Corporation and offers a low-interest rate of 2%.
- Own in Ogden: This program offers up to $5,000 in down payment assistance to qualified homebuyers in Ogden.
- Weber Housing Authority: Offers a variety of down payment assistance programs, including the First-Time Homebuyer Program, which offers up to $10,000 in down payment and closing cost assistance.
- Utah Individual Development Account Network: This program offers matching funds of up to $4,000 for qualified homebuyers who save money for a down payment through a savings account.
- USDA Rural Development: Offers 100% financing for eligible homebuyers in designated rural areas. The program also offers low-interest rates and no down payment requirements.
While the specific requirements for each program may vary, some common requirements for qualifying for a down payment assistance program in Utah include:
- Income Limits: Many down payment assistance programs have income limits that determine eligibility. Income limits may vary depending on the program and the size of your household.
- Homeownership Education: Many down payment assistance programs require that you complete a homebuyer education course. These courses are designed to help you understand the home buying process and manage your finances.
- Credit Score: Most down payment assistance programs have minimum credit score requirements. The specific credit score requirement may vary depending on the program.
- Property Requirements: Some down payment assistance programs may have restrictions on the type of property you can purchase. For example, some programs may require that the property be located in a specific area or meet certain quality standards.
- First-Time Homebuyer Status: Many down payment assistance programs are specifically designed for first-time homebuyers. Some programs may define a first-time homebuyer as someone who has not owned a home in the past three years.
These are just a few examples of the requirements for qualifying for a down payment assistance program. It's important to research and compare different programs to determine which ones you're eligible for and which ones best meet your needs. Another great resource to learn more about down payment assistance is https://utahdownpaymentassistance.org/