Get Into a Colorado Home With Little or Nothing Down

Questions people actually ask

How does down payment assistance work in Colorado?

Down payment assistance gives you money toward your down payment and sometimes your closing costs, so you bring less cash to closing. In Colorado it comes from state agencies like CHFA, from city and county programs, and from lender-funded programs. It sits alongside a regular FHA, VA, or conventional loan — you still get a normal mortgage, you just need less of your own money to start.

Can I buy a house in Colorado with no money down?

Yes, for a fair number of buyers. VA loans are zero down for eligible veterans and active military, USDA loans are zero down in eligible areas, and pairing down payment assistance with an FHA or conventional loan can cover the down payment so you bring little or nothing out of pocket. All of it depends on qualifying, and closing costs are a separate question from the down payment.

Does down payment assistance have to be paid back?

It depends entirely on which program you use — and this is the question most people never think to ask. Some assistance is a grant you never repay. Some is a second mortgage that's forgiven if you stay in the home a set number of years. Some is a second mortgage you repay when you sell or refinance. None of those is automatically better; the right one depends on how long you plan to stay and how the numbers work for you.

Do I have to be a first-time buyer to get down payment assistance?

Often, but not always — and the definition is looser than people expect. Most programs count you as a first-time buyer if you haven't owned a home in the last three years, so a previous homeowner can qualify again. Some Colorado programs have no first-time buyer requirement at all.

What is a first-generation homebuyer program?

It's assistance aimed at buyers whose parents or guardians have never owned a home, and it usually also covers anyone who spent time in foster care. The idea is that buyers without family wealth to draw on need a different kind of help. These programs are some of the most generous available and most lenders never ask the question, so buyers who qualify often never hear about them. Eligibility rules and available funding vary by program.

What credit score do I need for down payment assistance in Colorado?

Most Colorado assistance programs start somewhere in the low-to-mid 600s, and the exact number depends on the program and the loan behind it. If you're under that today, it's usually a fixable problem rather than a permanent no — I'll tell you what to work on and roughly how long it takes.

Why do most lenders only offer a couple of down payment assistance programs?

Because each one takes work to get approved for, learn, and administer, and many lenders decide it isn't worth it. I carry 30+ of them, which means instead of bending your situation to fit the one program a lender happens to have, I can look for the program that actually fits your situation.