The biggest obstacle for most first-time buyers isn’t the monthly payment — it’s the cash to get in the door. Down payment assistance (DPA) programs, offered through state and local housing agencies and nonprofits in Kentucky, Indiana, Georgia, and Tennessee, can provide grants or favorable second loans that cover part or all of your down payment and sometimes closing costs.
How it works: assistance is usually paired with an FHA, VA, USDA, or conventional first mortgage. Depending on the program, aid may be a true grant, a forgivable loan that disappears after you live in the home a set number of years, or a low-interest second loan repaid over time. In exchange, programs set rules: income limits, purchase-price caps, first-time-buyer or education requirements, and the home must be your primary residence.
Good fit if: your income and credit can comfortably handle the monthly payment but your savings are still catching up — or you’d simply rather keep a reserve for moving, furnishing, and life.
Program availability changes with funding, so I’ll check what’s open in your county right now and stack it correctly with your first mortgage. Ask me before you assume you need another year of saving.
True Home Lending is operated by Navaneet Dutt, Mortgage Loan Originator, NMLS #2262708, with Loan Factory, NMLS #320841. All loans are subject to credit and property approval. Program availability, rates, terms, and conditions are subject to change without notice and may vary by state, lender, and borrower profile. Not all applicants will qualify. This content is for education only and is not a quote, a loan approval, or a commitment to lend. Equal Housing Opportunity.