Down Payment Assistance in Colorado & Texas | Grant Brewster, Mortgage Loan Originator

Down payment assistance (DPA) is a category of programs, not a single loan. Some options provide grants; others add a repayable or forgivable second lien. The best comparison looks at the total mortgage cost and the rules attached to the assistance.

Start with the kind of assistance

Assistance may come as a grant, a deferred-payment loan, a forgivable loan or a standard second mortgage. “Deferred” does not necessarily mean forgiven; a loan may become due when you sell, refinance, pay off the first mortgage or no longer occupy the property. Some programs require homebuyer education, a minimum borrower contribution and use of approved participating lenders.

Colorado: CHFA (Colorado Housing and Finance Authority)

CHFA works through approved participating lenders and offers eligible buyers first-mortgage products paired with down payment or closing-cost assistance. Options may include grants or second mortgage loans, with differing limits and repayment rules. Income, credit, occupancy, property and other criteria depend on the selected program. The available interest rate and overall payment on a DPA-linked first mortgage may differ from a no-assistance option, so compare the full financing package.

Colorado: CHAC (Colorado Housing Assistance Corporation)

CHAC is a different organization from CHFA. CHAC offers assistance to eligible low- and moderate-income Colorado homebuyers, generally structured as a repayable second mortgage. CHAC says applicants typically need to complete approved homebuyer education and CHAC counseling; its rules include borrower contribution and other eligibility requirements. Availability, loan amounts, conditions and geographic funding can change. The first-mortgage lender submits the CHAC request.

Texas: statewide TDHCA options

The Texas Department of Housing and Community Affairs (TDHCA) operates My First Texas Home for eligible first-time buyers and qualified exceptions, as well as My Choice Texas Home, which may work for qualified repeat buyers. Available assistance structures and limits depend on program, funding and current guidelines. Buyers typically work with an approved participating lender and complete homebuyer education.

Texas: TSAHC programs

The Texas State Affordable Housing Corporation (TSAHC) separately offers Home Sweet Texas for eligible low- to moderate-income buyers and Homes for Texas Heroes for specified professions, including eligible educators, first responders and veterans. Assistance may take the form of a grant or a forgivable second-lien loan, depending on current program terms. Income, occupation, credit, occupancy and lender requirements matter.

What I would compare before choosing DPA

I would review your estimated total cash to close, the first mortgage payment, potential second-lien payments, fees, possible rate differences, homebuyer education, future refinance or sale restrictions, and whether assistance actually improves the overall plan. A larger assistance amount is not automatically a cheaper mortgage. Some programs also limit which loan products and lenders can be used.

Does assistance eliminate every upfront cost?

Usually not. You may still need to cover earnest money, inspections, appraisals, reserves or other expenses. Funding is not guaranteed; it can be limited or subject to approval. Do not assume a specific grant or second-lien amount until the official program and participating lender confirm your eligibility.

How I help

I start with what you have available, what payment feels comfortable, and where you are buying. Then we can compare eligible assistance routes with conventional and government-backed financing. I can help explain the trade-offs, but participation in a particular assistance program depends on current lender and program approval.

Common questions

Do I have to be a first-time buyer?

Not for every program. Some assistance programs allow eligible repeat purchasers or have special exceptions.

Is down payment assistance free money?

Not necessarily. Many programs use repayable or conditionally forgivable second mortgages; read the note and repayment terms.

Can I combine programs?

Sometimes, but stacking assistance requires express approval under each program and loan guideline.

Let’s talk through the options.

I can help you understand the financing questions to ask and which program rules need to be verified for your situation.

Contact Grant →

Original sources & further reading

Program descriptions and participating lenders may change. Official program and current lender guidelines control; links are provided for education, not endorsement or a representation of approved participation.

General educational information only; not a credit offer, approval, guarantee, commitment to lend, or legal/tax advice. Loan eligibility, rates, fees, availability, program participation, terms and collateral requirements vary. Borrowing against property may result in foreclosure if repayment obligations are not met. Grant Brewster, Mortgage Loan Originator, NMLS #737321, licensed in Colorado (License/Registration #100018718) and Texas. Mortgage broker services through Edge Home Finance, LLC, NMLS #891464. Company licensed in all U.S. states and D.C. except New York. Equal Housing Opportunity. Commercial/business-purpose transactions are subject to applicable licensing and lender authorization.

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