BIC TIP #1143: DPA Can Be the Way

How many potential buyers are sitting on the sidelines because they believe they need a mountain of cash to buy a home? Stephen Long says plenty, and many of them may be wrong. This tip is all about DPA, or down payment assistance programs, and why every broker should know they exist. For the right buyer with the right lender, DPA can be the way into homeownership.

More Programs Than You Might Think

Stephen points out that there are several sources of down payment assistance. The State of North Carolina offers down payment assistance. Certain municipalities around the state have their own programs. NC REALTORS has down payment assistance programs. And some lenders offer their own as well.

Each program has its own eligibility rules, so the details matter. That is exactly why a knowledgeable lender is so valuable.

Built for First-Time Buyers

These programs are typically designed for first-time home buyers who may have steady income but not much liquidity. The goal is to help buyers get into a home with the least amount of down payment out of pocket possible.

For a renter who has been told, or has told themselves, that homeownership is years away, learning about DPA can change the entire timeline.

Start the Conversation

This is a great opportunity for brokers. When you meet someone who thinks they need thousands of dollars in the bank to purchase a home, do not just nod along. Let them know these programs exist and connect them with a lender who works with them.

Whether they qualify will depend on the program and their situation, but you will never know unless someone asks. Having the right lender who can match them with the right product makes all the difference.

The Practical Takeaway

Down payment assistance is available from the state, local governments, NC REALTORS, and some lenders. It is designed to help buyers, especially first-time buyers, get into a home with less cash out of pocket. Learn the basics, start the conversation, and connect your buyers with a lender who knows these programs inside and out.

This BIC Tip is general real estate education for licensees and consumers, not legal, tax, or financial advice. Rules and forms change, so verify current NCREC rules, MLS rules, and standard forms, and consult a North Carolina attorney or qualified professional about your specific situation. See Disclaimers & Disclosures.

Mortgage topics are discussed for general education only and are not a commitment to lend or an offer of credit. Stephen Long, NMLS #2795861, Keller Home Loans, a division of Mutual of Omaha Mortgage, Inc., NMLS ID 1025894. Equal Housing Opportunity.