Highlighting Five Down Payment Assistance Programs Serving Our Military Homebuyers

While the VA loan program allows members of the military to buy a home with no down payment, some of these buyers may still face challenges with closing costs or other related expenses. Numerous organizations and state programs provide homebuyer assistance to help alleviate this burden. 

While service members are eligible for any of the 2,400-plus U.S. homebuyer assistance programs, we found there are 49 programs offering up to $117,000 in assistance specifically developed to help our military community members build, buy or make accessibility-related home renovations. Additionally, there are 211 programs that waive first-time homebuyer requirements for Veterans and military personnel. 

In honor of the sacrifices made by the courageous members of the U.S. Armed Forces, this Veterans Day we’re highlighting five affordable homeownership programs designed for military buyers:

City of Westlake Housing Assistance Purchase Program  

• The City of Westlake Housing Assistance Purchase Program offers up to $60,000 in the form of a deferred, 10-year forgivable loan, with 10% of the loan amount being forgiven annually, except the first year wherein 5% will be forgiven. The program is open to first-time and repeat buyers, and Veterans of all branches of the military can qualify for an additional 3% of the purchase price. Applicants earning up to 140% of the area median income (AMI) are eligible and there are no purchase price limits.

Florida Hometown Heroes Housing Program

• Eligible borrowers for the Florida Hometown Heroes Housing Program from the Florida Department of Veterans Affairs receive up to 5% of the first mortgage loan amount (up to a maximum of $35,000) in down payment and closing cost assistance in the form of a 0%, non-amortizing, 30-year deferred second mortgage. To qualify, homebuyers must connect with a participating loan officer, have a minimum credit score of 640, provide certification of active military or Veteran status, and meet the income threshold for their county.

NeighborWorks Columbus – Hallock Soldiers Fund

• The NeighborWorks Columbus Hallock Soldiers Fund offers Veterans and active duty soldiers up to $5,000 in a deferred, zero-interest, five-year forgivable loan. There are no income limits or price restrictions. Applicants must be first-time homebuyers (have not owned a home in three years). Homebuyer education by NeighborWorks Columbus is required. 

Utah Veteran First-Time Homebuyer Grant

• The Utah Veteran First-Time Homebuyer Grant supports active military and Veterans who have retired in the past five years with a $2,500 grant that can be used toward a down payment, closing costs or other mortgage expenses. Applicants must be purchasing their first home in Utah, but may still be eligible if they previously owned property in another state. Grant recipients are permitted to work with any lender authorized to originate mortgages in the state of Utah and may choose any conforming loan program, including VA, FHA, Fannie Mae or Freddie Mac loans. 

Washington State Housing Finance Commission (WSHFC) Veterans Down Payment Assistance Loan Program

• The WSHFC Veterans Down Payment Assistance Loan Program provides financial support for Veterans (honorably discharged), honorably discharged former members of the Washington National Guard and Reserve, and military spouses who never remarried and dependent children of deceased Veterans. Program participants can receive up to $10,000 and a 3% mortgage rate. Even though DPA must be repaid, payments can be deferred for the lifetime of the loan (up to 30 years). Borrowers must be first-time homebuyers or buying in a targeted area. This program also can be combined with WSHFC’s Home Advantage or House Key first mortgage loan programs.

These initiatives, and many more like them nationwide, provide our servicemen and servicewomen with the opportunity to achieve affordable, sustainable homeownership on the homefront. 

Since 2008, DPR has helped mortgage lenders, real estate agents and multiple listing services build relationships with Veteran homebuyers by connecting them with homebuyer assistance programs built specifically with military families in mind. Individuals can search for their homebuyer assistance program eligibility for free at https://downpaymentresource.com/are-you-eligible/. 

Happy Veterans Day 2024 to all!

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Down Payment Resource builds tools that help mortgage lenders, real estate agents, multiple listing services and consumer listing sites build relationships with homebuyers by connecting them with the homebuyer assistance they need.

To learn how Down Payment Resource can help you support homebuyers, contact us.