Saving for a down payment is often the biggest hurdle to buying a first home. In Idaho, there's real help. The Idaho Housing and Finance Association (IHFA) offers down payment and closing cost assistance. It can shrink the cash you need at closing to as little as $500.
How It Works
IHFA can provide up to 8% of the sales price toward your down payment and closing costs. That help comes as a second mortgage. You repay it in small monthly payments alongside your main loan.
A Quick Example
On a $400,000 home with a conventional loan, the usual minimum down payment is $12,000. With IHFA assistance, your own contribution could be as low as $500. That $500 can cover items like earnest money or your inspection.
Who Qualifies
- You don't have to be a first-time buyer. Repeat buyers can use it too.
- Household income at or below $170,000. Some loan programs set lower limits.
- A credit score of 620 or higher helps.
- You'll complete Finally Home!, IHFA's homebuyer education course.
- You'll work with an IHFA-approved lender.
Is It Right for You?
It can be a smart choice if saving 3% would drain your savings. It keeps money in the bank for moving costs and the unexpected. Keep in mind that the second mortgage adds a little to your monthly payment.
Your Next Steps
- Check your credit and set a comfortable monthly budget.
- Connect with an IHFA-approved lender for pre-approval.
- Sign up for the Finally Home! course.
- Call me. I'll help you find the right home within your approved range.
Program details can change. Please confirm current terms with an IHFA-approved lender. Source: Idaho Housing and Finance Association.
