Quick Answer: Utah offers more first-time buyer programs than almost any other state. The top programs are: Utah Housing Corporation (UHC) FirstHome Loan with below-market rates and up to 6% DPA, county-specific grants (Utah County up to $40,000, Davis County up to $50,000, Salt Lake County up to $20,000), the American Dream Grant ($15,000), and USDA zero-down loans in eligible areas. First-time buyers in Utah can often purchase a home with zero to very little out of pocket by stacking these programs.
Utah's Best First-Time Buyer Programs
1. Utah Housing Corporation (UHC) Programs
UHC is the state housing finance agency and offers several programs exclusively for first-time buyers (or those who haven't owned in 3+ years):
- FirstHome Loan: FHA-based, 660 credit minimum, below-market rate, up to 6% DPA as a second mortgage
- Score Loan: Conventional-based, 700+ credit, PMI cancellation at 80% LTV
- Homebuyer education: Required for all UHC programs — free online course through Framework
2. County Down Payment Assistance
| County | Max DPA | Interest Rate | Terms |
|---|---|---|---|
| Davis County | $50,000 | 1% | No monthly payments, due at sale/refi |
| Utah County | $40,000 | 0% | Deferred, due at sale/refi |
| Salt Lake County | $20,000 | Varies | First-time buyers, income limits apply |
| Weber County | $3,000-$10,000 | Varies | Plus Own in Ogden program |
3. American Dream Grant
Up to $15,000 grant (free money — not a loan) for eligible first-time buyers. Income limits and geographic restrictions apply. Can be combined with other programs.
4. USDA Zero-Down Loans
If you're buying in Eagle Mountain, Saratoga Springs, Spanish Fork, or other eligible areas, USDA loans require zero down payment. Combined with county DPA for closing costs, you can truly buy with nothing out of pocket.
How to Stack Programs for Maximum Benefit
The real power of Utah's first-time buyer programs is stacking them. For example:
- UHC FirstHome Loan (below-market rate) + Utah County DPA ($40,000) = below-market rate with zero out of pocket
- FHA loan (3.5% down) + Davis County DPA ($50,000) = DPA covers down payment and all closing costs
- USDA loan (0% down) + seller concessions (closing costs) = zero cash from the buyer
Who Counts as a "First-Time Buyer"?
For most Utah programs, a first-time buyer is someone who has not owned a home in the past 3 years. This includes people who previously owned but sold, divorced homeowners, and people who owned a home in another state. Veterans are often exempt from the first-time requirement for VA and some state programs.
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