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Utah Down Payment Assistance Mortgage Program

$27,500

Housing & Homeownership
Utah Down Payment Assistance Mortgage Program

About the Program

  • An eligible borrower can obtain a second mortgage to use for the down payment and closing costs needed to purchase a home. Utah Housing Corporation services both the First Mortgage and the Second Mortgage. Borrowers will make both mortgage payments to Utah Housing Corporation. A homebuyer can borrow up to:

Traditional DPA

  • 6% of the First Mortgage Loan, not to exceed $27,500.
  • The Second Mortgage is a 30-year fixed-rate loan with an interest rate 1% higher than the First Mortgage interest rate, not to exceed 8%, but not less than the Utah Housing first mortgage interest rate. A monthly payment is required.

Deferred DPA

  • 3.5% of the First Mortgage Loan, not to exceed $27,500.
  • The Second Mortgage is a 30-year fixed rate of 3.5% deferred simple interest. No monthly payment required. The outstanding principal and deferred interest are due upon maturity, sale, or refinance of the property.

Interest Rates:

A UHC first mortgage loan is a 30-year fixed-rate loan. Current Interest Rates are located on the Utah Housing Website. Only Utah Housing approved Participating Lenders can offer the following loan programs and interest rates:

  1. FirstHome Loan: typically has the lowest UHC interest rate, lower purchase price, and income limits. This loan is for first-time homebuyers with a minimum credit score:
  • 660 tri-merge credit report
  1. FHA/VA Mortgage: has an interest rate slightly higher than FirstHome. First-time homebuyers and homebuyers who have previously owned a home can apply for this loan. The income and sales price limits are higher than a FirstHome loan. This loan is for home buyers with:
  • 620 minimum credit score
  1. Freddie Mac HFA Advantage: may have a higher interest rate, but lower mortgage insurance costs, which may result in lower monthly payments. This loan is for homebuyers with a minimum credit score:
  • 680 minimum credit score

Explore Communities Across Utah

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