PLEASE NOTE: Written in April 2025. The numbers, programs, and rules in this post reflect the market and guidelines at that time, and they will have changed since then. Check current terms with the program, lender, or county before you count on any figure. If you'd like today's numbers, call me at 303.638.1633 or email btrampler@corcoranperry.com, and I'll pull them.
Down Payment Assistance Programs in Denver Metro: Your Key to Homeownership
Written April 2025
Week 2: Turning Renters into Owners Series
There's a common myth that you need a massive down payment to buy a home in Denver. In my previous post about Denver's housing affordability, I revealed that hundreds of homes are available at or under $400K. But what about the down payment? Let me share something many potential homebuyers don't realize.
Available Down Payment Assistance Options
Denver and Colorado offer several robust programs to help prospective homeowners:
- CHFA (Colorado Housing and Finance Authority) offers down payment assistance up to 4% of your first mortgage or $25K max, with first mortgages allowed up to $806,500 (based on qualifying income and debt ratios) - and you don't need to be a First Time Home Buyer!
- Metro DPA (Denver Down Payment Assistance) provides up to 4% of the first mortgage for qualified buyers
- Colorado Housing Assistance Corporation (CHAC) offers up to $10,000 for eligible households
- Many programs allow for down payments as low as 3%
Breaking Down the Numbers
Here's what this means in practical terms:
- On a $400,000 home, a 3% down payment is $12,000
- CHFA's 4% assistance would cover all of this with the additional assistance applied toward closing costs
- Buyers are required to have only $1,000 minimum contribution
- You can receive gifts from family and/or seller concessions toward closing costs
- Additional grants could help with closing costs
Who Qualifies?
The reality is that many Denver residents qualify for these programs without realizing it. Income limits are often higher than expected, with some programs allowing household incomes up to $162,960.
This means many working professionals, young families, and even dual-income households often fall within the qualifying ranges for assistance.
Combining Programs for Maximum Benefit
One of the best strategies is combining multiple forms of assistance:
- Primary down payment assistance program
- Potential family gifts
- Seller concessions
- Closing cost grants
With strategic planning, your out-of-pocket costs for homeownership can be dramatically reduced.
Real-World Impact
Let's put this in perspective. Instead of needing $80,000 down (the traditional 20%), you might only need $12,000 – and there are programs that could help cover most of that! Many first-time buyers are surprised to learn they may only need $1,000 out of pocket to begin their homeownership journey.
Quick Answers
How much down payment assistance can I get in Denver? As written in April 2025: CHFA offered up to 4 percent of the first mortgage or $25,000 maximum, Metro DPA offered up to 4 percent, and Colorado Housing Assistance Corporation offered up to $10,000. As of September 2026, the CHFA site lists a grant of up to the lesser of $25,000 or 3 percent of the first mortgage with no repayment, and a second mortgage of up to the lesser of $25,000 or 4 percent with repayment deferred.
Do I need to be a first-time homebuyer to use CHFA assistance? As written in April 2025, no. The CHFA program described here did not require first-time buyer status. Confirm current rules with a CHFA participating lender.
How much cash do I need to bring to closing? As written in April 2025, a $1,000 minimum contribution. On a $400,000 home a 3 percent down payment is $12,000, and 4 percent assistance would cover that with extra applied toward closing costs. Gifts from family and seller concessions can also help with closing costs.
What income limits apply? As written in April 2025, some programs allowed household incomes up to $162,960. CHFA updated its income and purchase price limits for loans locked on or after June 15, 2026, so check the current limits before you plan around a number.
Can I combine down payment assistance with other help? Yes, in many cases. The strategy is a primary down payment assistance program plus family gifts, seller concessions and closing cost grants, which can cut out-of-pocket costs a great deal.
Key Takeaway
Don't let the down payment be a barrier to homeownership. These programs exist specifically to help you achieve your real estate goals, and you may be much closer to qualifying than you think.
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