"I'd love to buy a house, but I don't have the down payment." I hear this constantly — and I'm going to be straight with you: for a lot of Utah buyers, the down payment is a solved problem. You just need to know where to look. My partner Sam Stoneman and I have helped dozens of buyers close with minimal out-of-pocket cash using programs that have been sitting there, largely unused, because nobody told them about it.
Here's everything you need to know about down payment assistance in Utah in 2026.
💡 Quick take: Utah has multiple programs offering 3–6% of the purchase price as either a grant (free money) or a low-interest second loan — and many of them can be stacked with FHA or conventional financing. You don't have to be dirt-broke to qualify.
Utah home prices have stayed elevated. The median sale price in Salt Lake County still sits well above $450,000 — which means a 3.5% FHA down payment is pushing $16,000+ before closing costs. That's a real barrier for a lot of buyers, especially first-timers. Down payment assistance programs exist specifically to bridge that gap, and in 2026, several strong options are available to Utah residents.
The UHC is Utah's state housing finance agency, and their DPA program is the one my team uses most frequently. Here's how it works:
Best for: First-time buyers with decent credit who have income but not savings.
Beyond UHC, there are wholesale lenders we work with at Edge Home Finance that offer their own FHA-paired down payment assistance programs — sometimes with more flexible income limits or credit requirements than UHC.
Best for: Buyers who don't meet UHC income limits or need lower credit flexibility.
The Chenoa Fund is a national DPA program paired with FHA loans that we use for buyers who want a grant structure — meaning you don't have to pay it back if you stay in the home.
Best for: Buyers who want zero out-of-pocket down payment and plan to stay in the home at least 3 years.
If you served, this is your best option — full stop. VA loans require zero down payment, no mortgage insurance, and some of the best rates available. You don't need DPA if you're VA-eligible — the VA loan itself is the benefit.
Best for: Any eligible veteran or active-duty service member. Don't leave this on the table.
If the property is in a USDA-eligible area (which covers more of Utah than most people think — including parts of St. George, Logan, Tooele, and rural areas throughout the state), USDA is a strong 0% down option.
Best for: Buyers purchasing outside the Wasatch Front metro core who meet income limits.
Sometimes, yes. Depending on the first mortgage and DPA combination, you may be able to pair a UHC second loan with a conventional or FHA first, and then use seller concessions to cover closing costs — effectively getting into a home with very little cash. This is something Sam and I look at on every deal. The answer depends on the lender, the program rules, and the property — but it's always worth running the math.
Not true. Income limits on most Utah programs accommodate moderate-income households — in Salt Lake County, a household of four can earn over $130,000 and still qualify for UHC programs. A lot of working professionals fall under these limits.
Sometimes the rate on the first mortgage is slightly above market — maybe an eighth to a quarter point — but when you factor in the cash you kept in your pocket, the math usually works out in your favor. We always model both scenarios so you can decide with real numbers.
Many programs are specifically for first-time buyers (defined as not owning a home in the past 3 years), but several — including some FHA DPA and non-UHC programs — have no first-time buyer requirement at all.
With a lender who knows these programs, it doesn't add significant time. At Edge Home Finance, we work with 100+ lenders and process these regularly. If you start the process early, you close on time.
The honest answer is: get pre-qualified and tell your loan officer you want to explore DPA options. That conversation takes 15 minutes and can change your entire buying timeline. Sam and I start there with every client. We pull your credit, look at income, and match you to every program you're eligible for — not just the one that's easiest for us.
Because Edge Home Finance is a broker with access to 100+ lenders, we're not limited to one bank's product lineup. If one DPA program doesn't fit, we check the next one. That flexibility is a big deal when you're trying to find the right fit for your specific situation.
Takes about 5 minutes. We'll match you with every down payment assistance program you're eligible for in Utah.
Get Pre-Qualified Free →