If you’re trying to buy your first home in Virginia, you’ve probably hit the same wall as thousands of other buyers. Saving for a down payment can be brutal.
With home prices rising every year, and the cost of living eating into savings, even those who can afford monthly mortgage repayments can struggle to come up with the thousands of dollars needed upfront.
But here’s the good news. Virginia has Down Payment Assistance (DPA) programs that can help cover part, or even all, of your down payment and closing costs. These programs are designed to bridge the gap between what you can afford monthly and what you need upfront to get into your first home.
What does that mean for you? More financial breathing room, a faster path to homeownership, and less stress over upfront costs.
Whether you need a grant that doesn’t need to be repaid, a zero-interest loan, or additional savings stacked on top of other programs, Virginia’s 2025 DPA programs could be the key to moving from renter to homeowner. In this guide, I’ll break down your down payment assistance options in Virginia, who qualifies, how much you can get, and how to apply.
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Contents:
Down Payment Assistance (DPA) programs help homebuyers, particularly first-time buyers, cover the upfront costs of purchasing a home. These programs typically provide financial support for down payments and closing costs. The goal is to make homeownership more accessible, especially for those struggling to save the amount needed.
Let’s be real, saving for a down payment is one of the biggest obstacles to buying a home in Virginia. With home prices rising and costs stacking up, even buyers who can easily afford a monthly mortgage get stuck because they don’t have enough cash upfront.
DPA programs are specifically designed to help first-time buyers cover down payments and closing costs, either by reducing the amount they need to pay or eliminating it altogether.
So how does that work? DPA comes in three forms:
💰 Grants: This is money that never has to be repaid. It’s usually based on income eligibility and can cover a portion or even the full down payment.
🏡 Zero-Interest & Deferred Loans: These down payment loans don’t require monthly payments and aren’t due until you sell or refinance the home.
🔑 Forgivable Loans: Stay in your home for a certain period (usually 5-10 years), and the loan is completely wiped out—meaning you never have to pay a dime of your down payment.
Why Does This Matter for You?
A traditional down payment on a home is usually around 20% of the purchase price, which can be a huge financial hurdle for most first-time buyers. Here’s how that breaks down:
For even higher-priced homes, that number only increases—putting homeownership out of reach for many buyers.
But with Down Payment Assistance (DPA), you can lower this barrier or even remove it completely. Many DPA programs reduce the required down payment to just 3-5%. That means:
In Virginia, you can potentially access state, local, or federal DPA programs, each with specific benefits, income limits, and eligibility requirements. In the next sections, I’ll break down exactly which programs are available in 2025, how much you can get, and how to apply.
Most first-time buyers don’t struggle with the monthly mortgage—they struggle with the upfront costs that make homeownership feel impossible. DPA programs directly solve this problem by making it easier and faster to buy a home.
Not all Down Payment Assistance (DPA) programs are the same. Some offer grants you never have to pay back, others provide forgivable loans, and some give zero-interest loans that don’t require repayment until you sell your home. The key is knowing which one best fits your situation and whether you qualify.
🏡 Who Qualifies?
💰 What You Get:
📌 What You Need to Know:
🏡 Who Qualifies?
💰 What You Get:
🔄 Loan Forgiveness Terms:
📌 What You Need to Know:
Many cities and counties in Virginia offer their own assistance programs, with grants and forgivable loans that often stack on top of state or federal programs. Here are two of the biggest:
💰 Up to $30,000 in down payment & closing cost assistance.
✔ Available to first-time buyers in Norfolk with income at or below 80% of AMI.
✔ Assistance is structured as a forgivable loan—stay in the home 5-15 years, and the loan is completely wiped out.
📌 Must complete a HUD-approved homebuyer education course.
💰 Zero-interest second mortgages for down payments and closing costs.
✔ Income limits range from $108,300 to $154,700, depending on household size.
✔ Must contribute at least $1,000 or 1% of the home price from personal funds.
📌 Loan repayment is deferred until you sell, refinance, or transfer the property.
Not everyone qualifies for Down Payment Assistance (DPA), but many buyers assume they won’t when they actually do. If you’re a first-time buyer struggling with upfront costs, these programs are designed to help you afford a home without years of saving.
Here’s how to check if you qualify and what you need to prepare before applying.
Most programs require you to be a first-time homebuyer, meaning you haven’t owned a home in the last three years.
Buying in a Targeted Area? You may qualify even if you’ve owned before. Check with your local DPA provider to confirm if your area is included.
Income limits vary by program and county.
Example: For Virginia Housing grants, income limits range from $108,300 to $154,700, depending on the area and household size.
Higher limits apply in high-cost regions or Targeted Areas. Check your county’s income limits on the program’s website.
Most programs require a credit score of at least 640, though some may allow lower scores with additional requirements.
Want to boost your score? Pay down credit card balances, dispute errors on your credit report, and avoid new debt before applying. Check your credit for free at AnnualCreditReport.com.
Almost all DPA programs require a certified homebuyer education course before you qualify.
These courses cover budgeting, mortgage planning, and long-term financial responsibility.
⚠ Your Debt-to-Income (DTI) Ratio Matters
Many programs have a maximum DTI of 50%, meaning your total monthly debt (including your future mortgage) can’t exceed half your gross income.
If your DTI is too high, paying down existing debts or increasing your income may help you qualify.
⚠ Funds Are Limited & Time-Sensitive
DPA programs often have funding caps, meaning they run out of money before the year is over. Applying early increases your chances of securing assistance before funds are depleted.
⚠ Property Restrictions Apply
The home must be your primary residence—no investment properties or vacation homes. Some programs have home price limits or require the home to be in specific locations.
Applying for DPA doesn’t have to be overwhelming—but knowing what to expect can make the process much smoother. The key is getting pre-qualified early, gathering the right paperwork, and working with a lender who knows Virginia’s programs inside and out.
Here’s a step-by-step breakdown of how to apply and maximize your chances of approval.
🔹 Not all DPA programs are the same—some offer grants that don’t need to be repaid, while others provide forgivable or deferred-payment loans.
🔹 Use Virginia Housing’s online tool to see what statewide and local programs you may qualify for.
🔹 Consult a loan officer who specializes in Virginia’s DPA programs to help you compare income limits, credit score requirements, and loan options.
🔹 To access DPA funds, you must work with a participating lender—not all lenders offer these programs.
🔹 Partner with a loan officer who understands Virginia’s DPA process for a seamless application and qualification process.
🔹 Why this matters: Pre-qualification confirms how much assistance you qualify for, allowing you to house-hunt with confidence.
🔹 You’ll need to provide proof of income, identification, and program-specific forms, which may include:
🔹 Some programs require additional documentation, such as a homebuyer education certificate or proof of eligibility for targeted assistance (i.e., local grants or special funding zones).
🔹 Once your lender confirms your DPA approval, they will integrate the assistance with your mortgage loan.
🔹 Many DPA programs work with FHA, VA, or conventional loans, so your lender will structure your financing to ensure you get the lowest upfront costs possible.
🔹 At closing, your DPA funds will be applied to your down payment and/or closing costs—reducing or eliminating the amount you need to bring to the table.
Pro Tip: Work with a Lender Who Specializes in Virginia’s DPA Programs
Many applications get delayed or denied because of small mistakes, missing paperwork, or choosing a lender unfamiliar with the DPA process.
But the right loan officer can help you avoid common pitfalls that slow down approvals and maximize financial assistance by using multiple programs (if you’re eligible).
There’s no one-size-fits-all approach when it comes to down payment assistance and long-term financial planning. The key is working with a loan officer who understands Virginia’s DPA programs and can help you make the best financial choices for both now and the future.
Want expert guidance? I specialize in Virginia DPA programs and can help you build a smart homeownership strategy. Get in touch to explore your best options.
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