For many buyers, the monthly payment is not always the biggest obstacle. The real challenge is coming up with the upfront cash needed to get started. This program helps bridge that gap.

How the Purchase with 1% Down in Utah Program Works

The program uses a 3.5% down payment structure. However, the buyer only brings 1% of the purchase price out of pocket. The remaining 2.5% is gifted.

That means qualified buyers may be able to get into a home sooner without waiting years to save a larger down payment.

Here is the simple breakdown:

• The buyer contributes 1% of the purchase price.
• Eligible buyers may use FHA or conventional loan options.
• Credit scores may start as low as 580.

Not every buyer or property will qualify, but for the right situation, this can give buyers a powerful option.

Why This Matters for Utah Homebuyers

Utah home prices have made it difficult for many buyers to feel ready. Even buyers with steady income may feel stuck because saving for a down payment takes time.

Meanwhile, rent, home prices, and life keep moving along.

This program gives qualified buyers another path to explore. It may help buyers who can afford a monthly mortgage payment but need help with the upfront cost of buying a home.

Who Could Benefit From This Program?

The Purchase with 1% Down in Utah program may work well for:

• First-time homebuyers who have not saved a large down payment yet
• Buyers who have stable income but limited cash upfront
• Renters who feel tired of waiting to see if homeownership is possible
• Buyers with credit scores starting at 580
• Clients comparing FHA, conventional, and other down payment assistance options
• People who want to buy sooner but need a smarter plan

Every buyer’s situation looks different, so the best first step is to run the numbers.

Credit Scores Starting at 580

Another important feature is that qualifying credit scores may start at 580. That does not mean every buyer with a 580 score will automatically qualify, but it does open the door for more people to explore their options.

Credit score is only one part of the approval process. Lenders also review income, employment, debts, assets, and the property itself.

Still, for buyers who thought they needed perfect credit and a huge down payment, this program may be worth a closer look.

Purchase with 1% Down in Utah: Is It Right for You?

The best way to know if this program fits is to look at your full picture. That includes your income, credit, debts, savings, and the type of home you want to buy.

You may be closer than you think.

If the down payment has kept you waiting, this program could help you take the next step. It will not fit every buyer, but it is absolutely worth checking before assuming you are not ready.

See If You Qualify

If you are thinking about buying a home in Utah, let’s run the numbers. The Houzd Mortgage 1% Down Payment Program may help qualified buyers purchase with only 1% down out of pocket.

Contact Houzd Mortgage today to see if you qualify and compare your options.

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If you’re a first-time buyer in Salt Lake County or Utah County, you’ve probably asked: “How much do I need for a down payment?” The good news is—buying a home in Utah may be more affordable than you think. Several programs exist to help you with down payment and closing costs so you can move from renting to owning faster.

Utah’s Most Popular First-Time Buyer Programs

Utah Housing

• Offers down payment assistance loans.
• Comes with income and credit limits.
• Payments are tied to a second lien, so your monthly payment is higher until you refinance.

Dynamo Program (Exclusive to Houzd Mortgage)

• No repayment, no second lien.
• Works statewide with no geographic restrictions.
• Higher starting rate (about $100/month more than Utah Housing), but after 6 on-time payments, you can streamline refinance and lower your payment by $400–$500.

FHA Loans

• Only 3.5% down.
• Easier credit and debt-to-income requirements.
• Flexible for first-time buyers who need a little extra wiggle room.

Conventional 3% Down Programs

• Strong option if you have higher credit.
• Can reduce long-term mortgage insurance costs compared to FHA.

Which Program Fits You Best?

The right program depends on your income, credit, and long-term plans. Some buyers prioritize the lowest upfront payment, while others want the most affordable path long-term. That’s where we come in—we’ll break down the numbers for you side by side so you can see exactly what makes the most sense.

Ready to explore your options? Reach out to Houzd Mortgage today. We’ll run a personalized first-time buyer plan for you so you can stop renting and start building wealth through homeownership.

The post First-Time Homebuyer Programs in Utah: What You Really Need to Know appeared first on Houzd.

Jason moved his family to Utah last year for a great job opportunity. They were renting a place near good schools and had settled into the area, but with five kids and summer approaching, it was time to find something permanent.

Like a lot of people, Jason was making good money, but had not saved up for a down payment. He didn’t qualify for city or county grants because his income was too high, and the typical down payment assistance programs came with a catch— a second mortgage and a much higher monthly payment.

Here’s what that meant in real numbers:

If Jason used a traditional down payment assistance program, he’d need to drop his price point by $80,000 just to keep the monthly payment affordable.

Why? Because those programs come with higher interest rates and extra second loan payments.

At that lower price point, the only options were townhomes. Cramped, shared walls, and no yard—not exactly ideal for a family of seven.

Then we found a different program. No second mortgage. No repayment required. And after six months of on-time payments, the ability to refinance and lower the payment even further.

That one change meant Jason could buy a home $80,000 more expensive—and still have the same monthly payment.

That meant a single-family house with a yard instead of a small townhome.

That meant space to grow, room for the kids, and a place that felt like home.

At closing, Jason looked at me and said: “I never thought this would be possible.”

So, what’s the catch?

Honestly—there isn’t one. The down payment is a gift. No repayment. No second mortgage. No required number of years in the home.

Renting might seem cheaper today, but here’s the real question:

What will it cost you if you keep renting for the next five years?

If you’ve felt stuck because you haven’t saved for a down payment—there’s hope. We can help.

And if someone you care about is in that same situation, send them our way.

The post New Home. No Strings. No Payback. appeared first on Houzd.

Yet, 83% of homebuyers who qualified for an FHA loan also qualified for DPA but never used it. Why? Because no one told them it existed. Let’s break it down so you don’t miss out on free money or affordable financing options.

What Is Down Payment Assistance (DPA)?

DPA programs help eligible buyers reduce upfront costs, making homeownership more accessible. These programs come in different forms, each with its own rules and benefits.

Types of DPA Programs:

• Grants – Free money that never has to be repaid.
• Silent Second Loans – A second mortgage with no payments due until you sell or refinance.
• Forgivable Loans – Loans that disappear if you live in the home for a set number of years.

Many buyers assume these programs are only for low-income households, but that’s not always the case. Some have income limits, but many are designed to help middle-class families as well.

Who Qualifies for Down Payment Assistance?

Most programs focus on first-time homebuyers, but “first-time” doesn’t mean you’ve never owned a home. In many cases, you qualify if you haven’t owned in the past three years.

Other factors include:
Income level (varies by program)
Credit score (some require as low as 620)
Location (some programs are state- or city-specific)
Occupancy (most require you to live in the home)

Common Misconceptions About DPA

There’s a lot of confusion surrounding down payment assistance. Here’s what you need to know:

You don’t need 20% down. Most buyers put down 3-5%.
DPA isn’t just for low-income buyers. Many middle-class families qualify.
It’s not always free money. Some programs require repayment, while others are fully forgivable.

How to Find the Right Program for You

DPA programs can be complex, but they exist to make homeownership more affordable. The key is knowing where to look and understanding which ones fit your financial situation.

If you’re wondering whether you qualify for assistance, we can help. Let’s review your options and see how much you could save on your home purchase.

The post The Truth About Down Payment Assistance: What Homebuyers Don’t Know appeared first on Houzd.