Down Payment Assistance in Washington, D.C.

What is down payment assistance in Washington, D.C.?

Washington, D.C. often ranks among the most expensive housing markets in the country, with high demand driven by high demand from the region’s steady government, legal, and nonprofit job base. Even for buyers who can comfortably afford a monthly mortgage payment, saving up enough cash for a down payment and closing costs can still stand in the way of homeownership. With the right assistance programs, buying a home in the District may be more within reach than expected.

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 rowhouses of Capitol Hill to the tree-lined streets of upper Northwest, Washington, D.C. homebuyers can tap into districtwide, 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 Washington, D.C. 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 Washington, D.C.

The DC Housing Finance Agency (DCHFA) is the District’s housing finance agency and the central source for Districtwide DPA programs. DCHFA doesn’t lend directly to buyers. Homebuyers apply through an approved participating lender, which will combine the assistance with the mortgage.

DCHFA DC Open Doors Program

The DC Open Doors program offers qualified homebuyers down payment and closing costs assistance that is paired with a below-market interest rate first mortgage. The program provides the full amount of your required minimum down payment in the form of a deferred 0% interest non-amortizing loan that is due upon certain conditions.

DC Open Doors program requirements include the following:

• Minimum credit score of 640
• Repayment of the loan is required if the home is sold, transferred, the first mortgage is financed or it’s been 30 years from the date of the loan closing, or the property is no longer used as a primary residence by the owner.
• Open to both first-time and repeat homebuyers
• Open to all neighborhoods and wards in D.C.
• Open to both residents and non-residents of D.C.
• Maximum household income cannot exceed 170% 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.

DCHFA DC4Me Program

The DC4Me program provides D.C. government employees with a reduced rate first mortgage, and the option of 3% down payment assistance as a 0% interest-deferred second mortgage. DC4ME is offered to current full-time District Government employees, including employees of District Government-based Instrumentalities, Independent Agencies, District of Columbia Public Charter Schools, and organizations, provided the applicant/borrower’s employer falls under the oversight of the Council of the District of Columbia.

DC4Me program details and requirements include the following:

• Maximum household income cannot exceed 170% of AMI
• Maximum loan amount is $1,249,125
• Minimum credit score of 640
• Borrower may not have Debt-to-Income ratio that exceeds 50%
• At least one borrower must take a homebuyer education class and provide proof of completion
• DC4Me can be combined with DCHFA home purchase assistance programs
• Requires proof of employment

DCHFA HomeAdvantage DC Program

The HomeAdvantage DC program offers qualified homebuyers below-market mortgage financing with three flexible assistance options.

Three financing options:

• Option 1: Standard First Mortgage: 30-year fixed-rate first mortgage with no down payment assistance
• Option 2: Conventional Loan with Down Payment Assistance: Includes a 30-year fixed-rate first mortgage and up to 3% in down payment assistance
• Option 3: FHA or VA Loan with Down Payment Assistance: Includes a 30-year fixed-rate first mortgage with up to 5% in down payment assistance

HomeAdvantage DC program requirements include the following:

• Minimum credit score of 660
• Open to first-time homebuyers (some exception in targeted areas)
• Property must be located in the District of Columbia
• Property must be occupied as the borrower’s primary residence
• Household income must fall within MRB income limits (based on all occupants 18 and over)
• Loan types include Conventional, FHA, VA
• Completion of homebuyer education course
• Maximum purchase price: Non-targeted area: $1,306,974; Targeted area: $1,597,413
• Eligible properties include single-family homes (attached or detached), condos, and townhomes
• Work with an approved DCHFA participating lender

DCHFA Home Purchase Assistance Program (HPAP)

The Home Purchase Assistance Program (HPAP) offers qualified first-time homebuyers down payment and closing cost assistance in the form of a deferred interest free loan. This program is aimed at homebuyers in the very low- and moderate-income levels. Maximum assistance with HPAP is $202,000, with an additional 4% of the home purchase price up to $4,000 available toward closing costs.

HPAP requirements include the following:

• Must be first-time homebuyers
• Very low-to-moderate-income residents
• Minimum credit score of 630
• Have no ownership interest in any residential real estate within three years before applying
• Home must be used as the primary residence
• Applicants must contribute $500 or 50% of liquid assets, whichever is greater than $3,000.
• For moderate-income-eligible households, loan payments are deferred for the first five years, starting in the sixth year, monthly principal-only payments begin over a 40-year period
• For very low-income and low-income-eligible households there are no monthly payments
• Repayment is required if the borrower transfers the property, refinances it, or stops using the home as their primary residence
• Must work with a community-based organization to apply for assistance

DCHFA Employer-Assisted Housing Program (EAHP)

The Employer-Assisted Housing Program (EAHP) offers eligible District government employees a deferred 0% interest loan and a matching funds grant for down payment and closing costs assistance. The down payment assistance is a loan for the purchase of a principal residence in the District. The borrowers sign a promissory note secured with a subordinate deed of trust recorded against the property. No payments are required until the property is sold, refinanced, transferred, or no longer occupied as the principal residence.

EAHP First Responder Grant: The First Responder grant requires employment, or acceptance of an offer of employment, with the District of Columbia as a police officer, firefighter, paramedic, emergency medical technician, or corrections officer. The grant provides a $10,000 down payment assistance loan, which can be forgiven at the end of five years. However, for the loan to be forgiven, the borrower must occupy the property as their principal residence and satisfy a five-year service commitment signed at the time of the home purchase. The grant has a promissory note, secured with a subordinate deed of trust, which outlines the conditions of forgiveness. If the borrower doesn’t meet the conditions necessary for forgiveness, the $10,000 remains as a zero-interest loan, with payment deferred until the property is sold, refinanced, transferred, or no longer occupied as the principal residence.

Negotiated Employee Affordable Home Purchase Program (NEAHP): This grant provides down payment and closing costs assistance to use toward the purchase of primary residence in the District. Certain government employees, whose position is covered by a collective bargaining agreement, can apply. The amount of assistance is determined by the number of years of service in the eligible collective bargaining unit. The assistance ranges from $3,000 to $26,500 and is provided in the form of a grant that is forgiven after 10 years as long as the employee meets the terms of the grant agreement.

DCHFA HIP Subordinate Deed of Trust Program

The HIP Subordinate Deed of Trust program offers qualified homebuyers forgivable financing for down payment and closing costs assistance. Homebuyers may receive up to $20,000 as fully forgivable financing that reduces the amount needed for the first mortgage. Repayment will be required if the home is sold, transferred, the first mortgage is refinanced, or the home is no longer used as the borrower’s primary residence.

HIP Subordinate Deed of Trust program details and requirements include the following:

• Open to both first-time and repeat homebuyers who don’t currently own a home
• Open to both residents and non-residents of D.C.
• Maximum household income is 170% AMI
• Must secure primary financing
• Must occupy the home as the primary residence for five years
• If the property is sold within the five-year period, equity proceeds are allocated between the borrower and the agency according to the distribution schedule provided at loan closing.

These are the main down payment assistance programs available across Washington, D.C. However, there may be more programs available to you based on your occupation.

For instance, some organizations may offer down payment assistance specifically for 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 Washington, D.C. 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 dchfa.com. For local programs, contact the relevant city or county housing office.  
2. Find a participating lender. DCHFA 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 Washington, D.C. 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.

Washington, D.C. 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.}