What Down Payment Assistance Programs are Available in Washington, D.C.? 

Introduction 

Buying a home in Washington, D.C. can be challenging due to high property prices, but several free down payment assistance programs in D.C. can make homeownership more affordable. Many buyers are unaware that these programs exist, which means they miss out on significant financial benefits. Whether you’re a first-time homebuyer or looking for financial support, Washington, D.C. offers various down payment assistance programs to help cover down payment and closing costs. Whether you’re a first-time homebuyer or looking for financial support, Washington, D.C. offers various down payment assistance programs to help cover down payment and closing costs. In this guide, we’ll explore the most effective down payment assistance programs available in Washington, D.C. and how you can qualify. 

For a full list of government housing programs, visit the U.S. Department of Housing and Urban Development (HUD)

Why Down Payment Assistance Matters 

For many prospective homebuyers, the biggest hurdle to homeownership is saving for a down payment. With median home prices in D.C. exceeding $600,000, a standard 20% down payment can be overwhelming. Many homebuyers also struggle with closing costs, which add to the upfront expenses of purchasing a home. Additionally, rising interest rates can make mortgage payments higher, further increasing the financial burden for new homeowners. Fortunately, down payment assistance programs can bridge the gap and help buyers secure a home with reduced upfront costs. These programs are essential for making homeownership more attainable, especially for middle- and low-income buyers in a competitive housing market. 

Learn more about financial planning for homeownership on Homebuyer Wallet. 

Top Free Down Payment Assistance Programs in Washington, D.C. 

1. DC Open Doors Program

Managed by: DC Housing Finance Agency (DCHFA) 

Assistance Type: Deferred loan 

Who It’s For: First-time and repeat homebuyers 

DC Open Doors offers down payment assistance as a 0% interest, deferred second loan that covers up to 3% of the home’s purchase price. This means you don’t have to repay the loan until you refinance, sell, or pay off the mortgage. 

Eligibility Requirements: 

• Minimum credit score of 640 

• Income limit of $199,200 

• Must occupy the home as a primary residence 

For more details, visit DC Housing Finance Agency. 

2. Home Purchase Assistance Program (HPAP)

Managed by: Department of Housing and Community Development (DHCD) 

Assistance Type: Interest-free loan and closing cost assistance 

Who It’s For: First-time homebuyers earning low-to-moderate incomes 

HPAP provides up to $202,000 in assistance (up to $104,000 for down payment and up to $4,000 for closing costs). The assistance is provided as a 0% interest deferred loan, meaning repayment is delayed until the home is sold or refinanced. 

Eligibility Requirements: 

• First-time homebuyer (not owned a home in the last three years) 

• Meet income limits based on household size 

• Must contribute at least $500 toward the purchase 

3. Employer-Assisted Housing Program (EAHP)

Managed by: DC Department of Housing and Community Development 

Assistance Type: Grant and deferred loan 

Who It’s For: DC government employees 

EAHP provides DC government employees with up to $20,000 in down payment assistance as a deferred, 0% interest loan, plus a matching funds grant up to $5,000. 

Eligibility Requirements: 

• Must be a full-time DC government employee 

• Must purchase a home in Washington, D.C. 

• Must contribute at least $500 toward the purchase 

4. HPAP First-Responder Grant

Managed by: DC Housing Finance Agency 

Assistance Type: Grant 

Who It’s For: Police officers, firefighters, paramedics, and emergency medical technicians (EMTs) 

This program provides an additional $10,000 grant to first responders using HPAP to purchase a home in D.C. 

5. DC Home Buyer Club

Managed by: DHCD 

Assistance Type: Financial literacy and credit counseling 

Who It’s For: Prospective homebuyers seeking education on homeownership 

While not directly offering down payment assistance, the DC Home Buyer Club helps residents improve their financial literacy and become eligible for other down payment assistance programs. 

Learn more about financial education at Consumer Financial Protection Bureau (CFPB). 

How to Apply for Free Down Payment Assistance Programs in Washington, D.C. 

Applying for free down payment assistance programs in D.C. typically involves these steps: 

1. Determine Eligibility: Review income limits and credit score requirements for each program. 
2. Attend Homebuyer Education Classes: Many down payment assistance programs require completion of a homebuyer education course. 
3. Work with an Approved Lender: Some programs require applicants to secure financing through approved mortgage lenders. 
4. Submit an Application: Gather necessary documents (income verification, tax returns, ID, etc.) and apply through the appropriate agency. 
5. Obtain a Pre-Approval Letter: Work with your lender to secure pre-approval before making an offer on a home. 
6. Compare Multiple Assistance Programs: Some buyers may qualify for more than one program, so it’s crucial to compare benefits and restrictions. 
7. Seek Guidance from a Housing Counselor: Nonprofit organizations and government agencies provide free or low-cost housing counseling to help buyers navigate the process. 
8. Stay Updated on New Assistance Programs: Programs and funding availability can change, so regularly check with the DC Housing Finance Agency and other relevant sources. 
9. Determine Eligibility: Review income limits and credit score requirements for each program. 
10. Attend Homebuyer Education Classes: Many down payment assistance programs require completion of a homebuyer education course. 
11. Work with an Approved Lender: Some programs require applicants to secure financing through approved mortgage lenders. 
12. Submit an Application: Gather necessary documents (income verification, tax returns, ID, etc.) and apply through the appropriate agency. 
13. Obtain a Pre-Approval Letter: Work with your lender to secure pre-approval before making an offer on a home. 

For an extensive guide on mortgage lending, visit Federal Housing Administration (FHA). 

Final Thoughts 

Washington, D.C. offers multiple free down payment assistance programs that can make homeownership more affordable for a wide range of buyers. These programs provide crucial financial support to those who might otherwise struggle to secure a home in the competitive D.C. market. Many of these programs also include educational resources to help homebuyers make informed decisions about their financial future. Whether you’re a first-time buyer, government employee, or first responder, there are down payment assistance programs to help you secure a home with minimal upfront costs. Whether you’re a first-time buyer, government employee, or first responder, there are down payment assistance programs to help you secure a home with minimal upfront costs. 

Take the Next Step 

If you’re ready to take the next step toward homeownership in D.C., explore these down payment assistance programs, check your eligibility, and apply today. Need help navigating the process? Reach out to a trusted housing counselor or real estate professional to guide you through the journey. 

For more details, visit our Loan Officer Hub. 

By taking advantage of these free down payment assistance programs in D.C., you can turn the dream of homeownership into reality, even in a competitive market like Washington, D.C.