Vermont Down Payment Assistance

Vermont Down Payment Assistance Programs

A guide to current down payment assistance options in Vermont, including the state Housing Finance Agency, well-known city and county programs, and live DPA mortgage pricing for Vermont homebuyers.

Vermont Housing Finance Agency

Vermont Housing Finance Agency (VHFA)

vhfa.org

VHFA administers the primary DPA programs for Vermont. Program details below are current as of April 23, 2026 - confirm current terms directly with VHFA before applying.

Statewide DPA Programs in Vermont

VHFA MOVE

VHFA

Other

30-year fixed-rate first mortgage for first-time homebuyers with below-market rates; foundational product for pairing with ASSIST down payment assistance.

Paired with: FHA, VA, USDA, Conventional

  • First-time homebuyer: Required
  • Primary residence only
  • Income: See VHFA MOVE household income limits (county-specific).
  • Homebuyer education required

Source: www.vhfa.org

VHFA Advantage

VHFA

Other

30-year fixed-rate conventional first mortgage with no mortgage insurance option for eligible borrowers; may be paired with ASSIST.

Paired with: Conventional

  • Primary residence only
  • Income: See VHFA Advantage income limits.
  • Homebuyer education required

Source: www.vhfa.org

ASSIST Down Payment Assistance

VHFA

Deferred loan

Up to $5,000 as a 0% interest, non-amortizing second mortgage with no monthly payments; repaid only when the first mortgage is refinanced or the home is sold.

Paired with: FHA, USDA, Conventional

  • First-time homebuyer: Required
  • Primary residence only
  • Homebuyer education required

Funded through the Vermont Down Payment Assistance tax credit; only available with a VHFA first mortgage. Not eligible with VA first mortgages. Applicants must meet VHFA ASSIST asset limits.

Source: vhfa.org

First Generation Homebuyer Program

VHFA

Grant

Grant assistance (amount set by VHFA program guidelines) for first-generation homebuyers, which may be combined with ASSIST for a larger combined down payment and closing cost package.

Paired with: FHA, USDA, Conventional

  • First-time homebuyer: Required
  • Primary residence only
  • Homebuyer education required

Borrower (or their parent/guardian) must not have owned a primary residence; see VHFA definition of first-generation. Available while funds last on a first-come, first-served basis.

Source: vhfa.org

Vermont Notes for Homebuyers

  • Vermont is an attorney/attorney-style closing state; a Vermont-licensed attorney typically issues the title opinion.
  • VHFA ASSIST authorization is tied to state statute - the Down Payment Assistance tax credit backing ASSIST funding is currently authorized through state fiscal year 2026; confirm current status with VHFA.

2026 Loan Limits in Vermont

Conforming (Conventional)

$806,500 baseline

FHA

$524,225 floor

Most Vermont counties use the FHA floor limit.

Live DPA Pricing for Vermont

Pricing below is sourced live from hundreds of wholesale lenders for a Vermont scenario. Edit the inputs to match your situation.

FHA Down Payment Assistance

Up to 5% assistance; repayable second at first rate + 2% over 10 years

Min FICO 580
Program details
  • Minimum credit score: 580
  • Non-traditional credit also possible
  • Assistance up to 2.5%, 3.5%, or 5% of the lesser of purchase price or appraised value
  • Assistance can be used for down payment, closing costs, or both
  • Second lien: 10-year fixed, repayable
  • Second lien rate is 2% higher than the first mortgage rate
  • No first-time homebuyer requirement
  • No income cap
  • Purchase of primary residence only
  • Eligible properties: 1-unit residences, PUD, 2-4 units, FHA-approved condos, manufactured (single/double-wide)
  • DTI per AUS and FHA manual underwriting guidelines
  • First lien: FHA 30-year fixed

Assistance amount

1st lien: $386,000 at 96.5% LTV (FHA)
2nd lien: $14,000 (10-yr fixed, 1st rate + 2%)
Assistance is due upon transfer, sale, or refinance. Pricing estimate only — final rates, fees, and eligibility are determined by the lender.
Program details on this page are compiled from official Vermont Housing Finance Agency and local government sources and were last verified on April 23, 2026. Program availability, funding, eligibility thresholds, and assistance amounts change frequently. Always confirm current terms directly with the administering agency before applying. This page is informational only and is not an offer to lend.

Compare DPA options for Vermont with live pricing

Rate Direct pairs down payment assistance with live first-lien pricing so you see the combined monthly payment up front.

DPA Programs in Other States