100% LTV FHA Down Payment Assistance Program
The FHA Down Payment Assistance (DPA) program provides eligible homebuyers with financing for the FHA required 3.5% down payment, allowing qualified borrowers to finance up to 100% of the purchase price.
FHA DPA Program Highlights
- Purchase transactions only
- 100% combined financing
- 96.5% FHA first mortgage
- 3.5% Down Payment Assistance
- Minimum credit score: 580
- Middle score of three or lower score of two
- Credit score exceptions: Available down to 500, subject to program requirements
- Manual underwriting: Allowed
- First time homebuyers: Eligible
- Debt-to-income ratio: Up to 56%, subject to underwriting approval
- Income restrictions: None
- Non-occupant co-borrowers: Allowed
100% FHA Financing With Down Payment Assistance
FHA normally requires a minimum 3.5% down payment. Under this program, eligible borrowers may receive Down Payment Assistance covering the required 3.5%, while the FHA first mortgage finances the remaining 96.5% of the purchase price.
This structure can provide 100% combined loan-to-value financing, subject to borrower eligibility, FHA requirements, and Down Payment Assistance program guidelines.
Last Updated on 4 weeks ago by Broker Mortgages