CHFA SmartStep Plus Down Payment Assistance

What is CHFA SmartStep Plus Down Payment Assistance?

CHFA SmartStep Plus Down Payment Assistance is a deferred second loan for homebuyers in Statewide County, Colorado.

• CHFA SmartStep Plus adds 0% interest deferred DPA (up to 4% of the first mortgage, max $25,000) to the CHFA SmartStep mortgage program. Designed for buyers with fair or non-traditional credit using FHA, VA, or USDA loans. Must pair with CHFA SmartStep first mortgage.
• DPA up to 4% of first mortgage or $25,000.
• 0% interest deferred second mortgage.
• paired with CHFA SmartStep mortgage.
• designed for buyers with fair or non-traditional credit.
• statewide.
• Funding comes from State.

How much assistance does it provide?

CHFA SmartStep Plus Down Payment Assistance provides assistance worth 4% of the purchase price, as set by the program.

• Amounts are the program's published maximums, not an offer — the administering agency determines any individual award.

Do you have to pay it back?

CHFA SmartStep Plus Down Payment Assistance is deferred, so no payments are due until the home is sold, refinanced, or the first mortgage is paid off.

• Repayment is triggered by Sale, Refinance, and Maturity Date.
• The assistance is recorded in 2nd Lien position.
• Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

CHFA SmartStep Plus Down Payment Assistance is open to first-time homebuyers and buyers who will live in the home as their primary residence.

What are the income limits?

CHFA SmartStep Plus Down Payment Assistance limits household income to 80% of the area median income, which varies by county and household size.

• Income limits vary by county; up to $174,440 in Denver County.
• The limit applies to total household income, not only the borrower’s.
• Area median income figures are published by HUD and updated annually, so check the current table for the county before relying on a number.

What kind of home can it be used for?

CHFA SmartStep Plus Down Payment Assistance caps the purchase price at $806,500.

• Eligible property types include Single Family, Condo, Townhouse, and PUD.
• New construction is eligible.
• Manufactured homes are not eligible.

Where does it apply?

CHFA SmartStep Plus Down Payment Assistance serves buyers purchasing in Statewide County, Colorado.

How do you apply?

Applications for CHFA SmartStep Plus Down Payment Assistance go through the administering agency, which publishes the current terms and the application steps on its own site.

1. 1

   Take a homebuyer education course

   Required by the program, through CHFA-approved homebuyer education course required ($75 online).

2. 2

   Contact the administering agency to reserve funds

   Funds are reserved through First-Come-First-Served, and are subject to availability.

3. 3

   Work with a lender who handles the program

   Hey Prescott is not a lender and does not accept applications; this page describes the program so a buyer can take it to a lender or housing counselor.