down payment assistance programs for mortgages


2022-2023 Down Payment Assistance Programs and Options

THDA - Tennessee Housing Development Agency

First time home buyers or borrowers that have not owned a
home in the last 3 years

Sales price limit $375,000 (depends on county)

Income 1-2 persons $113,160

Income 3+ persons $132,020 (depends on county)

Great Choice - 30 year fixed rate, 640 minimum credit score

Great Choice Plus - 15 year fixed rate interest,, second mortgage same interest rate as 1st mortgage.   

 30 year fixed rate at same rate as Great Choice 1st Mortgage for option one and 0% for option 2

Option 1  for down payment assistance is a 2nd mortgage in the amount equal to 6% of the sales price that can be used for down payment and closing costs.  Monthly payment is based on loan amount over 30 years at same rate as 1st mortgage

Option 2  for down payment assistance is a 2nd mortgage in the amount of $6000 and there is no monthly payment required as it is deferred

The Housing Fund

Davidson County homes only

Repayment required

Will provide down payment and closing costs funds up to
$7000 for qualified borrowers

Borrowers required to take a home buyer education class

Income limits

Buyers must invest minimum of 1% of the sales price

Is secured by the property as a second mortgage

Rural Development (USDA Home Loans)

100% Financing

Property must be eligible (within RD territory - including but
not limited to- Robertson, Cheatham, some areas of Davidson, Wilson, Williamson
and Sumner Counties)

A portion of closing costs can be financed if the house
appraises sufficiently (max 102% loan to value)

Income limits vary by county

1-4 person household  $108,450
3+ person household  $143,150

Does not have to be a first time buyer

Sales price limit $647,200 (depends on County)


You may also want to consider the time-honored first time home buyers down payment assistance program:

Mom and Dad Many parents figure their children will inherit the money eventually, so they might as well help their children buy their first home. Your parents may be willing to “gift” you the down payment you will need. If not, suggest offering to borrow the money at the going interest rate. That's a decent rate of return for them. Your lender will calculate this loan to your parents into your debt/income ratio to make sure you still qualify for the mortgage loan

Military Assistance

If you are an active service member in the US military, a reservist, active in the National Guard or a retired veteran, you have access to further options from multiple sources. The US Department of Veteran Affairs (VA) offers up to 102.5 percent financing for qualifying service members, veterans and their spouses, which allows you to finance your entire home purchase--down payment included

For more information, please fill out the contact form below. In the subject line, write, Down Payment Assistance and we will be happy to put you in touch with several local lenders who can explain these programs and determine your eligibility.  Then, please contact me and we can begin your home search.


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