More Homebuyer Down Payment Assistance Programs
Each quarter, the Homeownership Program Index (HPI) report examines data from the DOWN PAYMENT RESOURCE® database to uncover noteworthy changes and trends in U.S. homebuyer assistance programs.
83.5% of all homebuyer assistance programs are actively funded and available. Down Payment Resource's Q1 2023 HPI revealed a 0.5% uptick in the number of homebuyer assistance programs available.
Breakdown of new programs
Here is a breakdown of the homebuyer assistance programs added last quarter:
By assistance type: Community seconds saw the largest growth, with seven programs added. Six grants, five combined assistance programs, three deed restriction programs, three first mortgage programs, three deed programs and one rehabilitation program were also added.
By region: There was a 2.4% increase in statewide programs, a 0.5% increase in programs supporting home purchases in defined locales and a 1.4% decrease in nationwide and multi-state programs. Programs supporting homebuyers in Pacific states saw the largest percent growth of any region, increasing by 1.5%.
By funding source: Community Development Block Grant (CDBG) programs saw the largest cumulative growth overall with 13 CDBG-funded programs added, a quarterly increase of 5.7%. Other funding sources that saw a notable increase in the number of programs available were to-be-announced (TBA) programs, which increased by 4.3%, Florida’s State Housing Initiatives Partnership (SHIP) programs, which increased by 4.1%, and assistance backed by the California Department of Housing and Community Development (CalHome), which increased by 2.3%.
You can also download the full infographic.
The number of U.S. homebuyer and down payment assistance programs continued to grow in the first quarter of 2023, with 2,362 total programs now available. As the housing market continues its slow recovery in 2023, mortgage and real estate professionals should educate themselves and their clients about affordability programs. By illustrating the role homebuyer assistance can play in each prospective homebuyers’ wealth-building journey, housing industry players can grow their business while also expanding housing accessibility for the traditionally underserved.
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