Down Payment Assistance in Oregon

What is down payment assistance in Oregon?

Oregon's coastal and city home prices can seem steep at first, but between statewide programs and local resources, many buyers find homeownership is closer within reach than they'd assumed.

Homebuyers may be able to use down payment assistance (DPA) programs to help them purchase a property. Down payment assistance is made up of national, state, local, and employer-sponsored programs designed to support homebuyers who can afford a monthly mortgage payment but need help coming up with the upfront cash needed for a down payment and closing costs.

Offered by government agencies, nonprofits, and some private organizations, DPA provides financial support to help homebuyers cover the down payment, closing costs, or both. It helps to bridge the gap between what buyers have saved and the funding they need to buy.

It may also provide homebuyers with a financial cushion, so they don’t have to drain all of their savings to afford homeownership.

From the Pacific Coast to the high desert of the east, Oregon homebuyers can tap into statewide, local, and community-based programs that help cover the upfront costs of purchasing a home.

Assistance typically comes in one of three forms: a grant (money you don’t repay), a forgivable loan (which is gradually forgiven the longer you stay in the home), or a low-interest loan. The right option depends on the program and your individual situation.

Whether you’re a first-time homebuyer in Oregon or returning to homeownership after years away, there may be money available to help make up the difference between how much you’ve saved and the amount you need to close on a home.  

How does down payment assistance work?

Every down payment assistance program has its own rules, but most follow a similar path from homebuyers researching their options to funding.

Research. The DPA landscape is larger than most people realize. In fact, there were more than 2,700 DPA programs as of July 2026, according to Down Payment Resource, a company that connects homebuyers to the programs. Assistance may be available at the state, county, city, or employer level, and different programs have different eligibility requirements. If one program doesn’t fit your situation, keep looking. There may be others that will.

Determine your eligibility. Common requirements include income limits, minimum credit scores, and property location restrictions. Understanding your financial profile, where you want to buy, and how long you plan to live in the home will help you identify which programs are worth pursuing.

Apply. Once you find a down payment program that fits your criteria and eligibility, you’ll submit an application and supporting documents. Expect to provide proof of income, personal identification, credit information, and details about the property you intend to purchase.

Get approved and receive funding. If your application is approved and your information verified, you’ll receive the assistance at closing. It’s typically applied directly toward your down payment, closing costs, or both, depending on the program’s terms.

It is important to note that most DPA programs have their own conditions, which may include having to repay the loan in part or full if you move early, sell, or refinance the home. Make sure to always review and understand the terms and conditions of any loan you use.

Additionally, some programs may run out of funding. That’s why it’s important to check availability and stay on top of deadlines.

Who qualifies for down payment assistance?

Many people don’t realize they may be able to qualify for down payment assistance. DPA isn’t just a tool for first-time and first-generation homebuyers or those with lower incomes.

The assistance is available for a wide variety of people in a range of financial situations. Nearly two-thirds, 62%, of current DPA programs serve homebuyers earning more than $100,000 a year and 11% have no income limits, according to Down Payment Resource.

Additionally, more than a third, 38%, of DPA programs don’t have a first-time homebuyer requirement.

There are DPA programs for: First-generation homebuyers, Native American homebuyers, veterans, educators, law enforcement, first responders, municipal employees, those who earn less than a certain threshold, and more. Some programs also exist for buyers who purchase properties in certain communities.

Some organizations also offer homeownership assistance programs for their employees, so make sure you check with your employer as well.

Types of down payment assistance

The majority of DPA programs fall into two categories: Second mortgages and grants.

Second mortgages are by far the most common form of down payment assistance, making up 56% of all programs, according to Down Payment Resource. This is a separate loan running alongside your primary mortgage, with its own monthly payment.

Second mortgages are often set up to be a deferred or forgivable loan to reduce the upfront cost. If you have a deferred loan, it means that it doesn’t have to be repaid until you sell, refinance, or move out. A forgivable loan is gradually forgiven if you live in the home for a set amount of time.

Grants make up 9% of DPA programs and are the most straightforward form of assistance. They’re a gift, with no repayment required under any circumstances. As always, read the terms carefully to make sure you understand any conditions attached.

Finding down payment assistance

Down Payment Resource offers an interactive search feature that allows you to search available DPA programs by location as well as by things like your occupation, military status, or disability status.

New American Funding (NAF) also offers a down payment assistance program called Pathway to Homeownership. Specifically available to first-time homebuyers, eligible borrowers may receive up to $6,000* in financial assistance. This money can be used to help with your down payment, closing costs, or other costs. It can also be combined with other DPA programs.

National down payment assistance programs

While there is not national database of nation-wide DPA programs available, there are several main ones that are notable. They include:

The Chenoa Fund

The Chenoa Fund is administered by CBC Mortgage Agency (a federally chartered tribal housing finance authority). It is one of the most accessible national DPA programs available because it drops two of the most common barriers to qualification. It has no income limits and no first-time homebuyer requirement.

The program covers the required 3.5% down payment on Federal Housing Administration (FHA) loans. The aid is structured either as a forgivable second mortgage or a repayable second mortgage, depending on the option selected.

Borrowers need a minimum 600 credit score to qualify. The program is available in all states except New York.

Since it works through a network of participating lenders nationwide, buyers can access it through their mortgage lender rather than applying directly.

The National Homebuyers Fund

The National Homebuyers Fund (NHF) is a nonprofit organization that provides down payment and closing cost assistance of up to 5% of the loan amount. It’s administered as a grant, meaning no repayment is required.

It has no first-time homebuyer requirement, making it available to repeat buyers who may not qualify for programs with that restriction. It works with FHA, U.S. Department of Veterans Affairs (VA), U.S. Department of Agriculture (USDA), and Conventional loans.

The credit score and debt-to-income requirements are flexible.

The NHF is available in most states and is accessed through a network of participating lenders rather than through a direct application to the fund itself.

Many of the national DPA programs are offered by various lenders and private non-profit organizations like the Homeownership Council of America.

Down payment assistance programs in Oregon

The Oregon Housing and Community Services (OHCS) is the state’s housing finance agency and the central source for statewide DPA programs. OHCS doesn't lend directly to buyers. OHCS provides DPA in two ways:

• OHCS funds organizations’ DPA programs
• OHCS provides two lower-than-market rate loans through the Flex Lending program that can be paired with down payment assistance to pay for up to 100% of the closing costs

OHCS Down Payment Assistance Program

The OHCS down payment assistance program awards funding on a competitive basis to a variety of organizations throughout the state. The program is funded via document recording fees and certain jurisdictions’ Construction Excise Tax.

The program provides:

• DPA and closing costs assistance to first-time and first-generation homebuyers who are at or below 100% of area median income (AMI). This is the midpoint of local earnings for an area, calculated by the U.S. Department of Housing and Urban Development.
• The maximum amount of DPA funds available to each eligible homebuyer is up to $60,000 or 20% of the purchase price (whichever is less).
• In some instances, DPA funds are provided as a grant or forgivable second lien.

Program requirements include:

• Homebuyer must complete a homeowner education course
• Must meet with a certified housing counselor to be eligible for down payment and/or closing costs assistance

Beyond OHCS’s statewide programs, several Oregon cities and counties have established their own DPA programs. Many of these can be stacked with OHCS assistance. That means some eligible buyers may be able to combine multiple programs and significantly increase their total help.

This can help them to cover their down payment, closing costs, or simply have a little left over as a financial cushion.

Portland down payment assistance programs

Portland is Oregon's largest metropolitan area, known for its bike-friendly streets, thriving food and craft beer scene, and easy access to both mountains and coastline. The city draws buyers looking for a walkable urban lifestyle paired with a strong outdoor culture, from hiking trails in Forest Park to weekend trips to Mount Hood. (Metros are the main city and surrounding towns, suburbs, and smaller urban areas.)

Portland’s down payment assistance program includes:

Down Payment Assistance Loan Program This down payment assistance program provides up to $80,000 to $100,000 depending on the funding source, and the location of the home. The funds are provided as a 30-year term loan at 0% interest. During the 30 years, term payments are deferred until the sale of the home, refinance of the first mortgage, and when the home is no longer owner-occupied.

The DPAL does include an option of loan forgiveness, beginning on the 15^th anniversary of the loan. Fifty percent of the loan is forgiven on the 15^th anniversary, and then 3% is forgiven each year until year 29. At the end of year 30, the remaining balance is forgiven.

DPAL requirements include:

• Must be a first-time homebuyer
• Income limit of at or below 100% of Portland’s AMI
• Maintain no more than $10,000 in combined liquid assets
• Be a U.S. citizen or legal resident
• Completion of a HUD-approved homeownership education course

Gresham down payment assistance programs

Gresham sits just east of Portland, offering a more affordable entry point into the metro area without straying far from the city's job centers. Known for its farmland roots, growing downtown, and easy access to the Columbia River Gorge and Mount Hood, it's a popular choice for buyers wanting more space and lower costs while staying close to Portland's amenities.

Gresham down payment assistance includes:

Welcome HOME Program The program offers up to $40,000 to qualified low-income, first-time homebuyers. The funds, which can be used for down payment or closing costs assistance, come as a 0% interest deferred-payment loan that is forgiven at the end of 15 years.

Welcome HOME requirements include:

• Property must be your primary residence for the length of the loan
• Property must be located within the city limits of Gresham
• Must be a first-time homebuyer
• Complete an authorized homebuyer education program
• Meet program income eligibility requirements

These are the main down payment assistance programs available across Oregon. However, there may be more programs available to you based on your location in the state or your occupation.

For instance, some towns or cities may offer down payment assistance specifically for veterans, first responders, or teachers. Make sure to do your own research to see if there is a program that may be right for you. And be aware that certain programs may only be available until all of the funding is used.

How to apply for Oregon down payment assistance

The application process for different DPA programs may change. However, some general application steps include:

1. Check your eligibility. Review income limits, credit requirements, and first-time buyer status at Oregon.gov/ohcs.com. For local programs, contact the relevant city or county housing office.  
2. Find a participating lender. OHCS programs are only available through approved lenders in their network.  
3. Get pre-qualified. Your lender reviews your income, credit, and debts to determine which programs you may qualify for to receive funding.
4. Complete homebuyer education. Enroll in an approved homebuyer education course and keep your completion certificate for closing.
5. Find your home. Work with a licensed agent to locate a qualifying Oregon property. Your lender will confirm if it meets program requirements.
6. Close on your home. Your lender packages your first mortgage and DPA together. Assistance funds are applied at settlement.

Oregon down payment assistance FAQs

^{Program details reflect August 2026 information. Down payment assistance programs are subject to change and depend on current funding availability. Always confirm income limits, eligibility requirements, and program details with your lender or the applicable program administrator before applying.}

^{*Credit up to $6,000 maximum. Due to maximum seller concession rules applicable to purchase loan transactions, this credit could be less than $6,000 in some cases where other concessions have been made to the consumer.}