Cole Loans | Mortgage Solutions & Home Loans

Finding the perfect home in today’s market is exciting, but saving up for that upfront down payment and closing costs can feel like a steep hill to climb.

If you are waiting on the sidelines because you think you need a massive 20% down payment, we have some great news: you might not have to wait at all.

State-specific programs (like the OHFA program for first-time buyers) and specialized lender options (like CCM Smart Start) are helping modern buyers bridge the gap and secure their keys sooner than they thought possible.

Here are five major myths and facts you should know about down payment assistance today:

1. It’s Not Just for First-Time Buyers

While many programs target first-time homebuyers, several assistance options are available to repeat buyers as well. If you haven’t owned a primary residence in the last three years, you often qualify as a “first-time” buyer anyway!

2. You Don’t Always Need a Perfect Credit Score

Many buyers assume DPAs require flawless credit. In reality, guidelines are designed to be accessible. While your credit score impacts your overall loan pricing, many assistance programs accommodate flexible credit profiles, sometimes utilizing modern scoring models to look at your broader financial picture.

3. Assistance Comes in Different Packages

Down payment assistance isn’t one-size-fits-all. Depending on the program, it could look like:

• A Grant: Forgiven money that you don’t have to pay back.
• A Forgivable Second Loan: A loan that disappears after you live in the home for a certain number of years.
• A Deferred Loan: A second lien that you only repay when you sell or refinance the home.

4. It Can Be Combined with Other Cost-Saving Strategies

Did you know you can often pair down payment assistance with seller concessions? By structuring your offer strategically, we can negotiate to have the seller cover a portion of your closing costs, leaving you with even more cash reserves in your bank account after closing.

5. Getting Pre-Approved Early is Key

Because these programs have specific income caps, purchase price limits, and regional guidelines, the best thing you can do is look into your options before you start house hunting.

Ready to see what you qualify for? Market dynamics are always changing, but your dream of homeownership shouldn’t have to wait. Let’s look at your unique financial goals and find the exact program—whether it’s local assistance, conventional, or a specialized VA/FHA loan—that fits your budget. Click Apply to connect with us today!