The short answer: Utah buyers in 2026 have access to more than 10 down payment assistance programs covering grants, forgivable loans, and deferred second mortgages. The largest is the American Dream Grant, which gives first-generation homebuyers up to $15,000 that never has to be repaid. Utah Housing Corporation (UHC) offers three core loan programs—FirstHome, Score, and NoMI—each of which can include DPA of up to 6% of your first mortgage amount. On top of those statewide options, Salt Lake County, Utah County, Davis County, and Weber County each run their own local assistance programs with additional funds.
If you are a first-time homebuyer in Utah or a current renter wondering how you will ever save enough for a down payment, this page is the resource you need. I wrote it because down payment assistance is the single most underused tool in Utah—thousands of buyers qualify every year and never apply, simply because they did not know these programs existed or assumed they would not qualify.
Below is every DPA option available in Utah for 2026, with real income limits, actual program names, and the exact steps to apply.
The Utah DPA Landscape: How Down Payment Assistance Works
Down payment assistance (DPA) is money provided by a government agency, nonprofit, or housing authority that helps you cover the down payment and sometimes closing costs on a home purchase. In Utah, DPA comes in three forms:
- Grants — Free money you never repay. The American Dream Grant is the biggest example: up to $15,000 for qualifying first-generation buyers. Some county programs also offer smaller grants.
- Deferred second mortgages — A second loan placed on the property, typically at 0% interest, that you do not make monthly payments on. You repay the balance when you sell, refinance, or pay off the first mortgage. All three UHC DPA programs use this structure.
- Forgivable loans — A loan that is forgiven (erased) after you live in the home for a set number of years, usually 5 to 10. Several county-level programs use this model.
The critical point: these programs can be combined with FHA loans, VA loans, USDA loans, and conventional mortgages. A buyer using an FHA loan in Utah with UHC DPA can purchase a home with literally zero dollars out of pocket—the DPA covers the 3.5% FHA down payment, and the seller or lender covers closing costs.
Key fact: Utah Housing Corporation has funded more than $6 billion in home loans since its creation. In any given year, thousands of Utah buyers use DPA—but the programs have capacity for many more. The money is available; the bottleneck is awareness.
Utah Housing Corporation (UHC) Programs
Utah Housing Corporation is the state housing finance agency and the largest single source of down payment assistance in Utah. UHC does not lend directly to buyers. Instead, it works through a network of approved lenders (I am one of them) who originate loans using UHC’s programs. UHC offers three main loan programs, and each one includes a built-in DPA option:
FirstHome Loan
UHC’s flagship program, designed specifically for first-time homebuyers (or anyone who has not owned a home in the past three years).
- DPA Amount
- Up to 6% of the first mortgage
- DPA Type
- 30-year deferred second mortgage, 0% interest
- First-Time Buyer
- Required (no ownership in 3 years)
- Min Credit Score
- 660 for conventional / 620 for FHA
- Income Limit
- Varies by county (see below)
- Purchase Price Limit
- Varies by county, generally $450,000–$575,000+
- Loan Types
- FHA, VA, USDA, Conventional
- Homebuyer Ed
- Required (free online course)
The FirstHome Loan typically offers the most competitive interest rate of UHC’s three programs. The DPA is structured as a silent second mortgage—no monthly payment, no interest. You repay it only when you sell, refinance, or pay off the first mortgage. If your home appreciates (which has been the trend along the Wasatch Front), the DPA pays for itself through equity gains.
Score Loan
UHC’s most flexible program—the one that is open to repeat buyers, not just first-time buyers.
- DPA Amount
- Up to 4% of the first mortgage
- DPA Type
- 30-year deferred second mortgage, 0% interest
- First-Time Buyer
- Not required
- Min Credit Score
- 660 for conventional / 620 for FHA
- Income Limit
- Varies by county
- Purchase Price Limit
- Varies by county
- Loan Types
- FHA, VA, Conventional
- Homebuyer Ed
- Not required for repeat buyers
The Score Loan is the go-to option if you already own a home (or have owned one recently) and still need help with the down payment on your next purchase. Its interest rate is slightly higher than the FirstHome Loan, and the DPA caps at 4% rather than 6%, but it opens the door for a much wider pool of buyers. I often use the Score Loan for buyers who are selling a starter home and need bridge assistance for the next one.
NoMI Loan (No Mortgage Insurance)
A conventional loan with a twist: no private mortgage insurance (PMI), even with less than 20% down.
- DPA Amount
- Up to 6% of the first mortgage
- DPA Type
- 30-year deferred second mortgage, 0% interest
- First-Time Buyer
- Required
- Min Credit Score
- 700
- Income Limit
- Varies by county
- PMI
- None
- Loan Type
- Conventional only
- Homebuyer Ed
- Required
The NoMI Loan is a powerful option for buyers with strong credit. By eliminating PMI, it can save you $100–$300 per month compared to a standard conventional loan with less than 20% down. Combined with up to 6% DPA, this program can dramatically reduce both your upfront costs and your monthly payment. The trade-off is a higher credit score requirement (700) and a slightly higher interest rate to compensate for the removed PMI.
Not Sure Which UHC Program Fits You?
I work with all three UHC programs every week. Let me run the numbers on each one for your situation—free, no obligation.
American Dream Grant — $15,000 You Never Pay Back
The American Dream Grant is a federal initiative administered through participating lenders that provides up to $15,000 in grant funds to first-generation homebuyers. Unlike UHC’s DPA, this is a true grant—you never repay it under any circumstances.
American Dream Grant
- Grant Amount
- Up to $15,000
- Repayment
- None—it is a gift
- Who Qualifies
- First-generation homebuyers
- Definition
- Neither parent owned a home during your childhood
- Income Limit
- 80% of area median income (AMI)
- Can Stack With
- UHC programs, FHA, conventional, VA
- Credit Score
- Varies by underlying loan type
- Availability
- While funds last (annual allocation)
First-generation homebuyer means that neither of your parents (biological or adoptive) owned a home during your formative years. This qualification captures many children of immigrant families, renters, and households that never entered the homeownership pipeline.
The best part: the American Dream Grant can be stacked on top of UHC DPA. So a first-generation buyer could receive $15,000 from the grant plus up to 6% from UHC’s FirstHome Loan. On a $400,000 home, that is $15,000 + $24,000 = $39,000 in combined assistance.
I wrote a detailed breakdown of this program: American Dream Grant Utah — Full Guide.
Important: The American Dream Grant is funded annually and runs until the allocation is exhausted. If you think you qualify, move quickly. I have seen allocations run out mid-year in high-demand markets. Schedule a call with me and I will check your eligibility the same day.
County-Specific DPA Programs Along the Wasatch Front
Beyond statewide UHC programs and the American Dream Grant, several Utah counties run their own down payment assistance. These programs typically use federal HOME or CDBG funds and have stricter income limits, but they offer additional help that can be layered with other DPA.
Salt Lake County
Salt Lake County’s Housing & Community Development division offers DPA through its homeownership program. Assistance is typically structured as a deferred or forgivable loan of up to $10,000–$15,000. Income must be at or below 80% AMI. The home must be in Salt Lake County (incorporated or unincorporated areas). Buyers complete a HUD-approved homebuyer education course.
Utah County
Utah County Community Development administers DPA funds for buyers purchasing in Provo, Orem, Lehi, Spanish Fork, and surrounding cities. Assistance up to $10,000 as a forgivable loan (typically forgiven after 5 years of owner occupancy). Income limits of 80% AMI apply. The program is popular with buyers in the rapidly growing southern Wasatch Front.
Davis County
Davis County Housing Authority offers assistance to income-qualified buyers in Layton, Bountiful, Clearfield, Kaysville, and other Davis County cities. DPA ranges from $5,000 to $10,000 as a deferred loan. Must be a primary residence. Buyers must meet 80% AMI income thresholds and complete homebuyer education.
Weber County
Weber County’s housing programs provide DPA for buyers in Ogden, Roy, and surrounding areas. Assistance is typically $5,000–$10,000 as a forgivable loan (forgiven after a specified occupancy period). Income limits apply. Weber County’s lower home prices combined with DPA make the area one of the most affordable entry points into Utah homeownership.
County program availability changes year to year as federal allocations shift. Some programs open and close within weeks. I track all of these programs actively and will tell you which ones are currently accepting applications when we connect.
FHA + DPA: The Zero-Down Combination
The most common DPA strategy I use with my Utah buyers is pairing an FHA loan with Utah Housing Corporation assistance. Here is how the math works on a $400,000 home:
| Component | Amount | Source |
|---|---|---|
| Purchase Price | $400,000 | — |
| FHA Down Payment (3.5%) | $14,000 | Covered by DPA below |
| UHC FirstHome DPA (3.5%) | $14,000 | Deferred second mortgage, 0% interest |
| Remaining Closing Costs | ~$8,000 | Seller concession or lender credit |
| Cash Needed From Buyer | $0 | — |
That is not a typo. With an FHA loan, UHC DPA, and seller concessions (which I negotiate into almost every contract), many of my buyers bring zero cash to closing. Some even receive a small refund at the closing table when credits exceed costs.
This combination works because FHA allows a 3.5% down payment and permits the entire down payment to come from DPA. The UHC second mortgage satisfies FHA’s requirements because it is an approved government assistance program. And FHA allows the seller to contribute up to 6% of the purchase price toward closing costs.
Conventional + DPA works similarly, though conventional loans require a minimum 3% down (slightly less than FHA’s 3.5%). The NoMI Loan is especially attractive here because it eliminates PMI, which FHA loans cannot do (FHA charges mortgage insurance for the life of the loan).
Income Limits and Eligibility Requirements
Every DPA program has income limits. Here are the current thresholds for Utah’s most-used programs:
Utah Housing Corporation Income Limits (2026)
UHC income limits are based on household income (all adults on the loan) and vary by county. The following are approximate limits for the Wasatch Front’s largest counties—UHC updates these periodically, so I always verify the exact figure at the time of your application:
| County | FirstHome / NoMI Limit | Score Loan Limit | Purchase Price Cap |
|---|---|---|---|
| Salt Lake County | ~$150,000 | ~$150,000 | ~$575,000 |
| Utah County | ~$150,000 | ~$150,000 | ~$575,000 |
| Davis County | ~$148,000 | ~$148,000 | ~$560,000 |
| Weber County | ~$130,000 | ~$130,000 | ~$480,000 |
| Washington County | ~$135,000 | ~$135,000 | ~$520,000 |
| Cache County | ~$125,000 | ~$125,000 | ~$450,000 |
Note: These limits represent approximate thresholds as of 2026. UHC adjusts limits based on HUD area median income data. I verify exact limits for every buyer at the time of application.
General Eligibility for All Utah DPA
- Primary residence only — DPA cannot be used for investment properties or second homes.
- Credit score minimums — 620 for FHA-based DPA, 660 for conventional-based (FirstHome/Score), 700 for NoMI.
- Debt-to-income ratio — Must qualify for the underlying mortgage. UHC follows standard DTI guidelines (typically up to 50% for FHA, 45–50% for conventional).
- Homebuyer education — Required for first-time buyer programs. Available free online through UHC-approved providers (eHome America, Framework, etc.).
- Property must be in Utah — The home you purchase must be located in the state of Utah.
- Occupancy within 60 days — You must move into the home within 60 days of closing.
American Dream Grant Income Limits
The American Dream Grant uses HUD’s 80% AMI limits, which are lower than UHC’s limits. For the Salt Lake City metro area, 80% AMI for a family of four is approximately $82,000–$90,000 (adjusted annually). A single borrower would have a lower limit. These stricter limits mean the grant is targeted at moderate-income buyers—the group that needs it most.
Wondering If You Qualify?
Income limits, credit scores, county rules—it is a lot to navigate. I check eligibility for free and tell you exactly which programs you qualify for.
How to Apply for Down Payment Assistance in Utah (Step by Step)
DPA applications go through your lender, not directly to the program. Here is the process:
Connect With a UHC-Approved Lender
Not every lender offers UHC programs or knows how to navigate DPA. You need someone who is approved by Utah Housing Corporation and actively originates DPA loans. I am a UHC-approved lender and have closed hundreds of DPA transactions along the Wasatch Front.
Complete a Pre-Qualification
I will pull your credit, review your income and debts, and determine which DPA programs you qualify for. This takes about 15 minutes and gives you a clear picture of your purchasing power. Start your pre-qualification here.
Take Homebuyer Education (If Required)
First-time buyer programs require a homebuyer education course. These are available online through eHome America or Framework, take 4–6 hours, and are free or low-cost. You will receive a certificate of completion that I include in your loan file.
Get Pre-Approved and Start Shopping
Once you are pre-approved with DPA, you know your exact budget, monthly payment, and which programs you are using. Work with a real estate agent (I can refer trusted ones) to find your home.
Make an Offer and Go Under Contract
When you find the right home, your agent writes the offer. I will help structure it to include seller concessions for closing costs, maximizing your DPA benefit.
Loan Processing and Underwriting
I submit your loan to UHC along with the DPA request. UHC reviews and approves the DPA simultaneously with your first mortgage. The process adds minimal time—most DPA loans close in 30–35 days.
Close and Move In
At closing, the DPA funds are applied directly to your down payment. You sign the DPA note (a second mortgage document) along with your primary mortgage. Then you get the keys.
DPA Myths Debunked
I hear these misconceptions every week. Let me set the record straight:
“Down payment assistance is only for low-income buyers.”
UHC income limits reach approximately $150,000 in most Wasatch Front counties. A household earning $140,000 per year—well above Utah’s median—can still qualify. These are moderate-income programs, not poverty programs.
“DPA comes with a much higher interest rate.”
UHC rates are typically 0.25%–0.75% above market conventional rates. On a $400,000 loan, that difference is roughly $60–$170 per month—far less than the $14,000+ in DPA you receive. The math almost always favors taking the DPA.
“Using DPA makes your offer weaker.”
A DPA-backed offer with a solid pre-approval from a UHC-approved lender is just as strong as any other financed offer. Sellers care about closing certainty, not where your down payment comes from. I structure DPA offers to close on the same timeline as conventional deals.
“You can only use DPA on cheap homes.”
UHC purchase price limits in Salt Lake and Utah counties reach $575,000 or more. You can use DPA on a well-located, move-in-ready home in most Wasatch Front cities. The price cap comfortably covers the median home price in every Utah county.
“The DPA process takes forever and is complicated.”
When you work with an experienced DPA lender, the process adds virtually no extra time. I close DPA loans in 30–35 days—the same timeline as a standard mortgage. The key is having a lender who knows UHC’s system inside and out.
Utah DPA Programs: Side-by-Side Comparison
| Program | Max Assistance | Type | Repayment | Who Qualifies | Min Score |
|---|---|---|---|---|---|
| UHC FirstHome Loan | Up to 6% | Deferred 2nd mortgage | At sale/refi/payoff | First-time buyers | 620–660 |
| UHC Score Loan | Up to 4% | Deferred 2nd mortgage | At sale/refi/payoff | All buyers (incl. repeat) | 620–660 |
| UHC NoMI Loan | Up to 6% | Deferred 2nd mortgage | At sale/refi/payoff | First-time buyers | 700 |
| American Dream Grant | $15,000 | Grant | Never | First-generation buyers | Varies |
| Salt Lake County DPA | $10K–$15K | Deferred/forgivable loan | Forgiven or at sale | 80% AMI, in-county | Varies |
| Utah County DPA | Up to $10K | Forgivable loan | Forgiven after 5 yrs | 80% AMI, in-county | Varies |
| Davis County DPA | $5K–$10K | Deferred loan | At sale or forgiven | 80% AMI, in-county | Varies |
| Weber County DPA | $5K–$10K | Forgivable loan | Forgiven after occupancy | 80% AMI, in-county | Varies |
Read the full blog breakdown: How Down Payment Assistance Programs Work in Utah.
Frequently Asked Questions
Utah offers more than 10 DPA programs including Utah Housing Corporation’s FirstHome Loan, Score Loan, and NoMI Loan (up to 6% of the loan amount as a deferred second mortgage), the American Dream Grant ($15,000 for first-generation homebuyers), and county-specific programs in Salt Lake, Utah, Davis, and Weber counties. Most can be combined with FHA, VA, or conventional loans. The right program for you depends on your income, credit score, buyer status, and the county where you are purchasing.
Not always. While many DPA programs target first-time buyers (defined as not having owned a home in the past three years), Utah Housing Corporation’s Score Loan is available to repeat buyers as well. Some county programs also accommodate non-first-time buyers who meet income limits. If you have owned before, you may still have options—connect with me to find out which programs fit your situation.
Income limits vary by program and county. For 2026, Utah Housing Corporation programs generally cap household income around $125,000–$150,000 depending on the county. The American Dream Grant uses HUD’s 80% area median income limits, which are typically lower (around $82,000–$90,000 for a family of four in the Salt Lake metro). County programs usually follow 80% AMI as well. I verify exact limits at the time of application because they update annually.
It depends on the program. True grants like the American Dream Grant never need to be repaid. UHC’s DPA is structured as a 30-year deferred second mortgage at 0% interest—you repay it when you sell, refinance, or pay off the first mortgage (no monthly payments in the meantime). Some county programs offer forgivable loans that are erased after 5–10 years of owner occupancy. In all cases, the assistance is designed to be as borrower-friendly as possible.
Why Work With Felix for Down Payment Assistance
Down payment assistance is not just a loan product—it is a specialty. Most lenders in Utah can technically originate UHC loans, but very few do it regularly enough to know the nuances: which programs stack, how to structure seller concessions to maximize DPA, which county programs are currently funded, and how to avoid the common underwriting issues that delay DPA closings.
I close DPA loans every month. As a UHC-approved lender and bilingual mortgage professional based in Provo, I work with buyers across the entire Wasatch Front—from Ogden to Spanish Fork. I specialize in helping first-time buyers, immigrant families, and anyone who has been told they “can’t afford” a home discover that they actually can.
Here is what you get when you work with me on a DPA loan:
- Program matching — I analyze your income, credit, and purchase goals against every available DPA program and tell you which combination gives you the most benefit.
- Fast closings — 30–35 days for DPA loans because I know UHC’s system and submit clean files.
- Bilingual service — Hablo español. I can walk you through every step of the process in English or Spanish.
- No cost to you — My pre-qualification and program analysis are always free. You do not pay me until your loan closes.
- Stacking strategy — I know how to combine grants, DPA, seller concessions, and lender credits to minimize (or eliminate) your out-of-pocket costs.
Ready to See What DPA Programs You Qualify For?
Take 3 minutes to start your pre-qualification. I will review your file personally and tell you exactly which programs fit, how much assistance you can receive, and what your monthly payment will look like.
