A lot of buyers self-eliminate before they ever get to a loan officer — they assume they need 20% down, decide they're not ready, and quietly stop looking. You don't need to become a lending expert to catch that moment. You just need to know DPA exists and what it generally looks like.
01What DPA Actually Is
Down payment assistance programs are run by state and local housing agencies, nonprofits, and sometimes employers — not by a single national program with one set of rules. They're designed to help eligible buyers cover some or all of their down payment, and sometimes closing costs, on top of a standard mortgage. Availability and eligibility vary significantly by state, county, and even the specific loan program a buyer is using, which is exactly why this is a conversation for a loan officer, not something to promise a buyer up front.
02The Common Forms
Grants
Funds that typically don't require repayment, though they often come with occupancy requirements — the buyer generally needs to live in the home for a set period.
Forgivable Second Loans
Typically forgiven gradually the longer a buyer stays in the home — often over a five- to ten-year window, which makes this a stronger fit for buyers not planning a quick resale.
Deferred-Payment Loans
No monthly payment required — the loan is typically repaid later, when the home is sold, refinanced, or the primary mortgage is paid off.
03Signals to Watch For
What an Agent (Not an Underwriter) Should Notice
- A buyer who talks repeatedly about "waiting until we save more," without a clear number attached to what "enough" means
- A buyer who seems to qualify comfortably on income but keeps stalling specifically on the down payment
- A first-time buyer who assumes 20% down is required — the actual "first-time" definition many programs use is broader than people expect, often anyone who hasn't owned in the past three years
- A renter who compares their rent to a mortgage payment but never mentions a down payment figure at all
04Conversation Starters
"Have you looked into whether you might qualify for down payment assistance? It's worth a short conversation with a loan officer before ruling anything out."
"A lot of buyers assume they need 20% down — that's not actually true for most loan programs. Want me to connect you with someone who can check?"
"If the down payment is the only thing holding you back, that might be a smaller problem than you think."
You don't need to become a DPA expert. You need to stop letting buyers self-eliminate over a number they haven't actually confirmed.
Loop In Your Efinity Loan Officer
The loan officer who sent you this newsletter can walk through which DPA programs might actually fit a specific buyer — down to the county and the loan program. If a client's down payment is the thing holding up the conversation, that's exactly the moment to bring them in.