Down Payment Assistance Programs in Colorado

Colorado has several programs designed to help first-time and moderate-income buyers cover down payment and closing costs. These programs are primarily administered by the Colorado Housing and Finance Authority (CHFA) and a regional consortium called Metro DPA.

CHFA Programs CHFA offers several loan programs for first-time buyers. CHFA Advantage provides the lowest interest rates and does not require mortgage insurance. CHFA Preferred requires mortgage insurance but has flexible income limits. CHFA SectionEight is designed for buyers who are currently or have recently used Section 8 vouchers.

CHFA also offers down payment assistance through the CHFA DPA Grant, which provides up to 3 percent of the first mortgage as a grant that does not need to be repaid. CHFA SLB is a second loan option that provides more assistance but requires repayment.

Metro DPA Metro DPA serves buyers purchasing in the Denver metro area (Adams, Arapahoe, Boulder, Broomfield, Denver, Douglas, and Jefferson counties). It offers down payment assistance of up to 5 percent of the purchase price, structured as a soft second mortgage that is forgiven after three years as long as the buyer maintains the home as their primary residence.

Homebuyer Education Requirement CHFA requires buyers to complete a homebuyer education class. These are available online and typically take four to six hours to complete.

Income and Purchase Price Limits CHFA programs have income limits that vary by county and household size. Purchase price limits also apply. Colorado's metro areas have higher limits than rural counties to reflect local market conditions.

Homexa® and Colorado Down Payment Programs Homexa® agents in Colorado work with lenders experienced in CHFA and Metro DPA financing. Connect with a Homexa® agent in Colorado to start your home search and identify the programs you qualify for.