Grants: free money, never repaid. Typically 2-5% of home price. Income limits and first-time buyer requirements common. Smaller dollar amounts but easiest to absorb into a deal.

Forgivable Seconds: a second-mortgage loan that's forgiven over time if you stay in the home. Common structure: 5-15 year forgiveness period, 20% forgiven per year (5-year program) or 1/15 per year. Sell or refinance before forgiveness completes - you owe the remaining balance.

Deferred-Payment Seconds: a second mortgage with no monthly payment, repaid in full when you sell, refinance, or move out. Often 0% interest. Largest dollar amounts available, but you're increasing total debt.

First-time buyer status (typically defined as not having owned a primary residence in the last 3 years). Most programs require this; some waive for veterans, single parents, or buyers in revitalization areas.

Income limits, usually as a percentage of Area Median Income (AMI). Common thresholds: 80% AMI, 100% AMI, 120% AMI, 140% AMI. Higher AMI brackets accommodate more buyers but offer smaller assistance.

Property location restrictions. Some programs are statewide; others are city-only, county-only, or limited to specific census tracts (often revitalization-target areas).

Homebuyer education course requirement. Almost universal - 4-8 hour HUD-approved course, available online for $50-100.

State Housing Finance Agencies (HFA) - every state has one. Search "[State] housing finance agency" or HUD's state directory. State HFA programs typically have the largest dollar amounts and broadest availability.

County and city-level programs. Many counties and cities run their own DPA programs on top of state programs. Search "[County] down payment assistance" or "[City] homebuyer program".

Occupation-specific programs. Teachers, firefighters, healthcare workers, and military often have dedicated DPA programs (e.g., Teacher Next Door, Good Neighbor Next Door from HUD). Check both federal programs and state-level equivalents.

Lender-specific programs. Some lenders run their own DPA grants, especially in CRA (Community Reinvestment Act) target neighborhoods.

Employer assistance. Some large employers offer relocation or homebuyer assistance benefits. Check your benefits.

DPA programs layer onto FHA, conventional, USDA, and VA first mortgages. Most programs work with FHA most cleanly because of FHA's flexibility on assistance sources.

Conventional with DPA: HomeReady (Fannie Mae) and Home Possible (Freddie Mac) are the conventional first mortgages most compatible with DPA. Lower PMI than standard conventional.

USDA Rural Development pairs well with DPA - both have income limits, but the combination can produce zero-cash-to-close scenarios in eligible rural areas.

VA: DPA generally not needed (0% down anyway), but DPA can cover closing costs even on a no-down-payment VA loan.

Forgivable second triggered early. Selling or refinancing before the forgiveness period ends means you owe the unforgiven balance. Plan to stay in the home through forgiveness, or budget for the trigger.

Income going up after close pushes you over the AMI threshold for ongoing program eligibility. Most DPA programs have point-in-time income tests - they don't claw back if your income rises later, but verify program-specific terms.

Property used as rental within the deed-restriction period. Many DPA programs restrict the home to owner-occupation for 5-15 years. Renting it triggers acceleration of the assistance.

Stacking too many programs. Some DPA programs have caps on combined assistance from all sources. A $20K state grant + $10K city forgivable second + $5K lender grant might exceed a program cap.