FHA DPA Program Up To 100% CLTV

The FHA DPA (Down Payment Assistance) program offers up to 100% CLTV for purchase transactions only on primary 1-2 unit properties. A minimum FICO score of 600 is required, and borrower-paid compensation is the only option. The DPA second can only be used in conjunction with our first lien.

2 Options for DPA second

Repayable Option

• The 10-year fully amortizing option has a rate that is 2.0% higher than the first mortgage lien.
• The payment is included in the DTI.

Forgivable Option

• No payment is required, and there is no interest rate.
• The borrower must remain in the subject property for 10 years from the Note Date.
• Refinancing, selling, foreclosing, transferring the property, etc., will trigger repayment of the balance.

Other guidelines to keep in mind

• Manual underwriting is not permitted
• Single-wide manufactured homes are ineligible
• Leasehold land is allowed
• ITIN borrowers are not allowed
• Non-permanent resident borrowers are not allowed
• Unpaid federal debt on a payment plan has a maximum DTI of 45%

We do our best to make sure that our borrowers have options for purchasing a home with no money down. Contact our office and we’ll connect you to a loan specialist who knows how to qualify borrowers for a zero down payment mortgage.