Colorado down payment assistance, grant vs. second mortgage explained.
CHFA statewide assistance, first-generation and disability programs, metroDPA, local Colorado funds and national options—with published minimum FICO.
Reviewed September 11, 2026 • Joshua Dobson, NMLS #190260
Quick comparison
| Program | Potential assistance | Published min. FICO | Repayment | Biggest catch |
|---|---|---|---|---|
| CHFA DPA Grant | Lesser of 3% of first mortgage or $25,000 | 620 | No repayment | Restrictions and higher first-mortgage pricing can apply. |
| CHFA DPA Second | Lesser of 4% of first mortgage or $25,000 | 620 | 0% deferred second | Due on sale/refi/payoff/occupancy change. |
| CHFA FirstGeneration Plus | Up to $25,000 | 620 | Deferred second | Strict first-generation/first-time rules; FHA only currently. |
| CHFA HomeAccess Plus | Up to $25,000 | 620 | Deferred second | Permanent-disability eligibility required. |
| metroDPA | Varies by loan/product/market | Current program matrix | Grant or 0% deferred second | Participating jurisdictions + current product pricing matter. |
| Local revolving DPA | Varies | Local program specific | Deferred or amortizing | Income, geography and local funding vary. |
CHFA Down Payment Assistance Grant
Colorado Housing and Finance Authority borrowers using an eligible CHFA first mortgage may currently receive a grant of up to the lesser of $25,000 or 3% of the first mortgage loan amount for down payment and/or closing costs.
Published minimum FICO: 620 for scored borrowers under CHFA's current major program guidelines.
CHFA DPA Second Mortgage
The standard CHFA second-mortgage option currently provides up to the lesser of $25,000 or 4% of the first mortgage amount. The second has a 0% stated interest rate and no regular monthly payment under the standard deferred structure.
The balance is generally due when the first mortgage is paid off, the home is sold or refinanced, title transfers, or the property is no longer the borrower's principal residence.
CHFA FirstGeneration + FirstGeneration Plus
CHFA FirstGeneration targets borrowers who have never owned a home and whose parents or guardians never owned a home during the borrower's lifetime. A borrower who lived in foster care can qualify under the program's special definition if they have never owned a home.
All borrowers must be first-time homebuyers. The current program uses a 30-year fixed FHA 203(b) first mortgage, and FirstGeneration Plus can provide a second mortgage of up to $25,000 regardless of the first-mortgage amount.
Published minimum FICO: 620 for scored borrowers; CHFA also permits certain borrowers with no credit score under the applicable rules.
CHFA HomeAccess + HomeAccess Plus
HomeAccess is designed for a borrower with a permanent disability or a borrower who is the custodial parent/legal guardian of an individual with a permanent disability.
Current CHFA guidelines allow FHA, VA or USDA-RD first mortgages and a HomeAccess second mortgage of up to $25,000 for down payment, closing costs and principal reduction.
Published minimum FICO: 620 for scored borrowers; no-score borrowers can be permitted under applicable CHFA rules.
Colorado HFA1 + HFA1 Plus
Colorado HFA1 supports FHA, VA, USDA-RD, Fannie Mae HFA Preferred and Freddie Mac HFA Advantage purchase loans. HFA1 Plus can pair the first mortgage with CHFA's DPA second for down payment, closing costs and prepaids.
Published minimum FICO: 620. Income limits apply and are generally based on lender qualifying income under this program.
CHFA FirstStep + FirstStep Plus
FirstStep is restricted to first-time buyers, qualified veterans, or eligible non-first-time buyers purchasing in targeted areas. It currently uses a 30-year fixed FHA 203(b) first mortgage and can be paired with a CHFA DPA second.
Published minimum FICO: 620. Income and purchase-price limits apply, and the program is subject to the federal recapture-tax provision.
Denver-area buyers should also check metroDPA
metroDPA
metroDPA pairs a 30-year fixed first mortgage with down payment and closing-cost assistance for buyers in participating Front Range jurisdictions. Assistance can be structured as a grant or a 0% deferred second mortgage, depending on the current loan product, qualifying income and market conditions.
The deferred second has no regular payments but becomes due if the first mortgage is paid off through sale/refinance, the borrower stops occupying the home as a principal residence, or the second reaches its 30-year term.
Published minimum FICO: Mortgage Navigator treats this as current-program-matrix specific because metroDPA's available loan products and assistance levels can change. Verify the current matrix rather than relying on an old online score.
Colorado also has local revolving DPA funds
Colorado Division of Housing-supported local DPA
Colorado's Division of Housing provides funding to regional housing organizations that operate down payment-assistance revolving loan funds for low- and moderate-income households. Depending on the local agency and household need, these loans may be deferred or amortizing.
That means a Colorado search should not stop at CHFA. City, county and regional housing organizations can have additional assistance with their own income limits, counseling rules, property geography and funding availability.
Educator First Home Ownership Program — watch list
Colorado enacted a new Educator First Home Ownership Program that directs major investment toward a shared-equity down payment assistance program for public-school employees. State law requires the shared-equity program to be established beginning in 2026 and prioritizes first-time buyers using the home as their primary residence.
National programs Colorado buyers should also check
National Homebuyers Fund
NHF multi-state assistance should be compared with CHFA and local Colorado options. Exact minimum FICO, first-mortgage pricing and repayment/forgiveness depend on the current participating-lender product.
Chenoa Fund
Chenoa Fund offers FHA DPA through approved lender partners and Colorado is within its stated footprint. Current matrices control credit, pricing and second-mortgage terms.
Colorado's biggest DPA lesson
Colorado makes the grant-versus-deferred-second comparison especially important. A CHFA borrower might choose a smaller 3% grant requiring no repayment or potentially receive a larger 4% deferred second. A first-generation or disability-qualified borrower may have access to as much as $25,000 regardless of the normal percentage cap.
The useful comparison is therefore cash today + first-mortgage rate + repayment obligation + FICO + special eligibility + geography.
Let Josh compare the grant, second mortgage and local options.
Send the city/ZIP, purchase price, credit range, household income and whether you're a first-time or first-generation buyer. Those details can change the best program.