Down payment assistance, grants, forgivable loans, and tax credits available to Oregon buyers. Each program below is verified, with eligibility rules, benefit amounts, and a direct link to the official agency.
Last reviewed September 2026·3 programs·6 federal programs
Up to $80,000 - $100,000 depending on funding source and location
0%-interest second mortgage with payments deferred for 30 years; 50% forgiven at year 15, a further 3% per year in years 16-29, remainder forgiven at year 30 with continuous owner-occupancy. Balance due on sale, refinance or move-out before then.
Income limit
At or below 100% AMI adjusted for household size; some funding sources cap at 80% AMI
First-time buyer requiredYes
Special requirements: Home within Portland city limits; no home ownership in past 3 years; HUD-approved homebuyer education; minimum $500 borrower contribution (gifts allowed); first mortgage from a participating lender; funding subject to availability
View official program page
Contact a DPAL community partner (AAAH, Hacienda CDC, NAYA, PCRI or Arrive) to meet with a homebuyer counselor; PHB contact 503-823-3336Verified September 2026
OHCS Down Payment Assistance Program
Administered by Oregon Housing and Community Services (via awarded local organizations)
Up to $60,000 or 20% of purchase price, whichever is less
Down payment and closing cost assistance delivered as grants or forgivable second liens by OHCS-funded organizations statewide; 25% of funds reserved for Oregon veterans, and up to 10% of a veteran's award may pay lender-required repairs.
Income limit
At or below 100% of area median income
First-time buyer requiredYes
Special requirements: First-time and/or first-generation homebuyer; complete first-time homebuyer education and meet with a certified housing counselor; each awarded organization sets its own guidelines
View official program page
Find the awarded organization for your county via the OHCS DPA page search, or call OHCS at 800-453-5511Verified September 2026
OHCS Flex Lending (FirstHome / NextStep)
Administered by Oregon Housing and Community Services
Below-market rate + DPA of 4% (standard) or 5% (Focused Demographics) of the first mortgage amount
Two OHCS first-mortgage products (FirstHome for first-time buyers, NextStep for any buyer) paired with a DPA second of 4% or 5% of the loan amount that can cover up to 100% of cash to close. DPA is forgivable at/below 80% AMI, repayable above.
Income limit
$125,000 (1-2 person) / $125,000 (3+)
Minimum credit score620
First-time buyer requiredNo
Special requirements: Homebuyer education required. FirstHome requires first-time buyer status (waived for veterans/targeted areas); NextStep does not.
3% minimum down payment with no minimum borrower contribution; income at or below 80% AMI (2026 AMIs effective June 13, 2026); reduced, cancellable mortgage insurance; $2,500 credit for very low-income first-time buyers on loans purchased through February 28, 2027.
Do I have to be a first-time homebuyer to qualify?
Most Oregon programs require first-time buyer status, but the definition is broader than most people think — the IRS considers you a first-time buyer if you haven't owned a primary residence in the last three years. Each program above lists its specific rules.
What credit score do I need?
Minimum credit scores vary by program. Most Oregon programs require 620 to 660, though some lower-tier products accept lower scores with manual underwriting. Check each program's eligibility section above.
How do I actually apply?
Most state programs aren't applied to directly — you go through a participating lender, who handles the program application as part of your mortgage. Each program above links to the official agency page with the current list of approved lenders.
Can I combine multiple programs?
Often yes — many states allow you to stack a state down-payment grant with a federal FHA or VA loan. Some programs explicitly forbid combining; check each program's "special requirements" above.
Do these programs cost anything?
The programs themselves are free to apply for. Some require completing a homebuyer education course (typically $50–$100, sometimes free). Forgivable second mortgages technically don't cost you unless you sell or refinance early — read the terms carefully.
