Skip to main content
Schandale Kornegay, Realtor
Certified Military Relocation Professional, SRS & ABR

If You Need More Than "Kohl's Cash" When Buying a Home, Read This

by Schandale Kornegay 02/09/2024 The down payment assistance edit. Affording a down payment on a home can be a major hurdle in the homebuying process, but luckily, there are down payment assistance options to help. With a down payment assistance program, first time homebuyers can get better mortgage terms which helps with affordability. I am continually looking for ways to help my clients keep more of their money in their pockets!!

How do down payment assistance programs work?

Down payment assistance programs are provided by a variety of institutions, including local government agencies, banks, and nonprofits. If you're eligible - based on household income, credit history and other factors depending on state - you can either receive a grant or special type of loan to pay for your down payment.

What are the different types of down payment assistance?

There are several types of assistance programs to help new buyers with a down payment:

  • Grants
  • Forgivable loans
  • Deferred-payment loans
  • Low-interest loans
  • Matched saving accounts

Grant programs offer monetary assistance without expectation of repayment. Other programs like forgivable loans or low-interest loans can serve as affordable second mortgages to cover the cost.

Who is eligible for assistance?

Eligibility requirements for down payment assistance programs depend on the individual program. Generally, you need a good credit score and a stable debt to income ratio. Some other requirements include:

  • The home must be in a specific location or county.
  • You must live in the home for a minimum amount of time (usually 3 to 10 years).
  • You have to be a first-time homebuyer.
  • You have to take a homebuyer education class.

How to apply for down payment assistance

I will connect you with a loan officer who will guide you through eligibility requirements, applications and other important details.

Contact me to discuss these key points when factoring this option into your financial decisions.  I'll help you carefully navigate the home selling and buying process. Got questions? Feel free to email me today [email protected] to get your real estate questions answered! 

Schandale Kornegay, Realtor in Maryland including, but not limited to the following counties: Prince George's, Charles, Anne Arundel, Montgomery, Saint Mary's, Calvert, Howard, Frederick, and Baltimore City/County.