Current down payment assistance guidelines, updated from one source.
The current program figures below are refreshed from Lendmire’s down payment assistance standards source at each visit, so the options shown for Lacey, WA are the options in force.
Of the purchase price
Up to this share of the price can come from assistance: the largest option reaches closing costs as well as the down payment, while the smaller options cover the 3.5% FHA minimum.
Covers the whole FHA down payment
The FHA minimum down payment is 3.5%, and this option covers all of it with no interest and no monthly payment; it is forgiven after 36 or 60 on-time payments on your first mortgage.
On every option offered here
Every option offered in Washington is open regardless of income, so there is no ceiling to stay under; the file is placed on the price, the credit score, and the home.
Credit score to start
This is the lowest score that opens an option here — the forgivable second liens; the repayable options start a little higher, so a stronger score opens more choices.
| Option | Assistance | What you repay | Credit · mortgage · units |
|---|---|---|---|
| Forgivable second lien — three-year | 3.5% of the price | Nothing after 36 on-time mortgage payments | 640+ · FHA 203(b), FHA Limited 203(k), HUD-184, USDA · 1–2 units |
| Forgivable second lien — five-year | 3.5% of the price | Nothing after 60 on-time mortgage payments | 640+ · FHA 203(b), FHA Limited 203(k), HUD-184, USDA · 1–2 units |
| Repayable second lien — thirty-year amortization, ten-year balloon | 3.5% or 5% of the price | Second lien, 30-year amortization, balloon in year 10 | 660+ · FHA 203(b), FHA Limited 203(k), HUD-184, USDA · 1–2 units |
| Closing-cost repayable second lien | 3.5% or 5% of the price | Second lien, 30-year amortization, balloon in year 10 | 660+ · FHA 203(b) · 1–2 units |
| Refinance-cost second lien (repayable) | 1% to 3.5% of the balance | Second lien, repaid | 660+ · FHA 203(b) · 1–4 units |
Current down payment assistance snapshot · updated September 7, 2026 · five options offered in Washington · no option requires a first-time buyer · no option combines with another assistance program · owner-occupied primary residences only.
Nothing on this page is a Loan Estimate, an approval, a quote, or a commitment to lend. Down payment assistance eligibility, amounts, and terms depend on the first-lien program, the option, the property, the buyer’s credit and category, and full underwriting through select wholesale lenders licensed in sixteen states; the calculator’s rate is an editable benchmark and its payment an estimate. Lendmire is a mortgage broker and is never the lender, and is not affiliated with or acting on behalf of FHA, VA, USDA, HUD, or the federal government. Lendmire, LLC — NMLS #2371349. Equal Housing Opportunity.
What down payment assistance is — and how the options differ.
The first-time home buyer programs work the same way in Lacey, WA as anywhere in the footprint: a government first lien, an assistance option sized as a percentage of the price, and a set of rules about credit, units, and eligibility that decide which option fits.
For the program overview, see Lendmire’s down payment assistance program, or the statewide guide at Down Payment Assistance in Washington.
Assistance covers the FHA down payment
An FHA purchase asks for a minimum investment from the buyer; the assistance covers it, measured as a percentage of the lesser of price or value, and the largest option carries a further share for closing costs and prepaids.
Three shapes: forgivable, repayable, refinance
For a Lacey buyer the choice is about cost to carry. The forgivable options cost nothing if the first lien stays current through the forgiveness period; the repayable option is a second loan with its own disclosure and a balloon, and it reaches closing costs.
Credit floors, mortgage programs, and unit counts
A Lacey file is placed by three things — the credit tier, the first-lien program, and the property — and the options table on this page shows the floor, the first liens, and the unit limit for every option offered in Washington.
Eligibility without a first-time-buyer rule
No option requires a first-time buyer, and no option carries an income limit beyond the first lien’s own rules; a Lacey buyer who has owned before qualifies on credit, first lien, and property alone.
The assistance is measured on the price, so the calculator starts there. It then applies the option you choose, your own cash, and an editable benchmark rate to show the loan, the mortgage insurance, and the payment.
Where Lacey’s first-time and moderate-income buyers shop — and how the assistance fits.
Census estimates give the backdrop for a down payment assistance file: where Lacey, WA’s renters live, what a median home costs, and what a median household earns.
Read the figures as backdrop. Value and income rarely move at the same pace; the market figures below show what a Lacey home costs and how many households rent, and the calculator shows what that means for the minimum investment.
Data sources: U.S. Census Bureau — ACS 5-Year (2024) housing and population estimates, including tenure, home values, gross rents, and household income.
Distinct Lacey submarkets, distinct property rules.
Lacey’s entry-level stock is not one market. Each submarket below carries its own price points, its own property rules, and its own fit with the assistance options.
Older neighborhoods and renovation loans
The older streets of Lacey are full of homes that need work, and the assistance pairs with a renovation first lien: the assistance is figured on the purchase price, while the loan itself covers price plus repairs. Lacey itself counts a population near 58K; it sits within the Olympia-Lacey-Tumwater, WA area.
Small multi-unit homes, owner-occupied
A buyer who lives in one unit of a Lacey duplex can use the program on the whole building; a second-lien option, which stops at two units, makes a house-hacking purchase reachable with the minimum investment covered. Median gross rent in Lacey is about $1,870 a month — the payment many renters already carry.
New construction and infill
Infill and new-build homes in Lacey pair with the assistance as long as the property is the buyer’s primary residence and the first lien is a government program. About 44% of Lacey’s households rent — roughly 10,323 renter households, the pool the program exists for.
Condominiums close to work
In Lacey, a condominium near the job is the first home many buyers can reach; the program pairs with it as long as the project clears FHA review, and the assistance covers the minimum investment the same way it would on a house. Median household income in Lacey sits near $90,625 on the latest Census estimate.
Townhomes and attached homes
In Lacey, a townhome in a planned development pairs cleanly with the program; the association’s rules and dues are read alongside the first lien, and the assistance covers the down payment. The median owner-occupied home value in Lacey runs near $457,100 on the latest Census estimate.
Manufactured homes on owned land
For Lacey buyers looking at manufactured housing, the assistance is available on owned land, with single-width homes reaching only the option that accepts them. On a home at Lacey’s median value, the FHA minimum investment comes to about $16,000 — the figure the assistance is built to cover.
Market context only. The option for a Lacey file comes from the credit tier, the first lien, the property, and the eligibility category, never from the submarket.
Four ways Lacey buyers put down payment assistance to work.
How Lacey buyers put the program to work depends on the first lien, the property, and what the help needs to cover; these four paths cover most files.
Buy a home that needs work with a renovation mortgage
Renovation purchases in Lacey, WA qualify for the assistance on the price before repairs, so the down payment help and the repair budget close together at one table.
Cover the costs of an FHA refinance
Owners in Lacey with an FHA loan and little cash for a refinance use the refinance-cost option, subject to its own credit floor and the combined-leverage limit it carries.
Pair the assistance with a USDA or HUD-184 mortgage
In USDA-eligible areas around Lacey, the forgivable and repayable options pair with a no-down-payment first lien (the separate closing-cost option is FHA only); HUD-184 first liens pair the same way.
Buy a first home with the down payment covered
The most common Lacey, WA file: an FHA first lien, the assistance covering the minimum investment, and the buyer’s own funds reserved for moving costs and reserves.
Size the assistance on a Lacey price before requesting a quote.
The calculator does what a loan officer’s first pass does for a Lacey file — sizes the minimum investment, applies the option, builds the FHA loan with mortgage insurance, and estimates the payment — using the current program figures and an editable benchmark rate.
Lacey FHA payment with assistance
Starting assumptions reflect Lacey’s home values; change any field and the loan, the mortgage insurance, and the payment are recalculated.
Editable benchmark: 7.28% as of October 1, 2026 · Freddie Mac 30-year average via FRED®. A conventional market reference, not an FHA loan quote.
Illustrative starting assumptions: a $455,000 price near Lacey’s median owner-occupied home value, the strongest assistance option offered in Washington applied against the FHA minimum investment, a thirty-year term at the current Freddie Mac benchmark, property taxes and insurance estimated for Washington (U.S. Census Bureau). Every field is editable.
Illustrative estimate only — not a Loan Estimate, approval, quote, or commitment to lend. The rate field carries the weekly Freddie Mac thirty-year conventional benchmark, a market reference and not an FHA loan quote; your rate is set by the lender at lock. FHA mortgage insurance follows HUD’s published schedule for the term, leverage and loan size entered; taxes, insurance and dues are editable estimates; closing costs are not included; a repayable second lien adds its own payment, which is not shown here. Consumer mortgage lending licensed in sixteen states. Lendmire is not affiliated with or acting on behalf of FHA, USDA, HUD, or the federal government.
Same buyer, three very different closings.
A Lacey, WA buyer can reach the closing table several ways; the difference is where the minimum investment comes from and what it costs to carry afterward.
Assistance on an FHA loan, your own down payment, or assistance on a USDA or HUD-184 loan.
Assistance that closes with the first lien: it covers the minimum investment; its shape is chosen by the credit tier and the first lien, and the second-lien options stay open to repeat buyers with no income limit.
Paying the minimum investment yourself keeps the closing simplest — no second lien, no category, no course; the trade is the months or years of saving that the assistance replaces. For the first lien itself, see Lendmire’s FHA loan program.
Where the property is USDA-eligible or the buyer qualifies for HUD-184, the forgivable options and the ten-year repayable option carry the Lacey file; the separate closing-cost option is FHA only. For the USDA first lien, see the USDA loan program.
If the payment fits but the cash to close does not, down payment assistance is the structure; if the cash is there, the plain purchase; if the property is USDA-eligible, the USDA first lien with assistance for costs.
What to prepare for a Lacey scenario review.
A typical starting file for a first purchase with assistance.
This is a general preparation guide, not a universal checklist. The selected lender may request additional information based on the mortgage, the assistance option, the property, and the eligibility category. Nothing here is legal or tax advice.
Local details that can change the loan.
These are the points a lender reads on a Lacey assistance file before the option is confirmed; each one can move the structure.
Use these checks to keep the Lacey file clean and fundable.
A clean Lacey file starts with the option chosen, the first lien matched to the property, and the homebuyer education course completed where it is required.
- Know the option: read the second lien as the loan it is.
- Understand the clock: expect no resubordination and no additional liens.
- Match the first lien: confirm the first-lien program for the property.
The option decides what you owe afterward
A forgivable second lien costs nothing if the first lien stays current through the forgiveness period; a repayable second lien is a loan with a balloon, and it reaches closing costs. A Lacey buyer chooses by cost to carry first and by amount second.
The forgiveness clock on the forgivable options
The clock starts at closing and runs with the first lien’s payments; a Lacey buyer who plans to sell or refinance inside the period should expect the second lien to be paid at that point, since it is not resubordinated.
The mortgage and the county loan limit
A Lacey buyer near the county loan limit should settle the first lien’s size first; a high-balance first lien narrows the options to the repayable ones, and the choice of USDA or HUD-184 narrows them further.
Escrow holdbacks for minor repairs
A Lacey home with a small repair list does not have to wait for the work before closing; the escrow holdback carries it, within the program’s cap and timeline, with an inspection when the work is done.
No stacking with other assistance
A Lacey buyer eligible for a local or employer program chooses between it and these options; they do not stack, so the comparison is made program against program before the contract is signed.
From a Lacey pre-approval to keys with the assistance in place.
The process for a Lacey, WA purchase with assistance is deliberate, because the details around the assistance are what stall closings.
Pick the option
The first step is the option: which ones the credit opens, which the first lien allows, and which costs the least to carry for a Lacey, WA buyer — settled before anything is ordered.
Get the mortgage approved
Lendmire packages the Lacey file for the first lien first, because the assistance follows its approval; the option’s floor and the first lien’s rules both have to clear.
Clear the property
The property side of a Lacey, WA file is where the option can change: unit count, project approval, and the loan limit are confirmed before the closing is scheduled.
Close both loans together
The Lacey closing carries both instruments: the first lien and the assistance, each documented on its own and closed together, with the education certificate in the file where it applies.
A brokerage that pairs the assistance to the loan.
An assistance file rewards preparation, and preparation is what a brokerage built for first-time and moderate-income buyers provides.
The option, matched to the buyer
Lendmire reads the options offered in Washington against a Lacey buyer’s credit, first lien, property, and category before anything is ordered, and names the fit by cost to carry.
The mortgage, matched to the property
A Lacey file is matched to the first-lien program that carries the property — FHA everywhere, USDA or HUD-184 where they fit — and the assistance option follows that choice.
The right wholesale program
Assistance programs differ across wholesale lenders in what they offer and where; Lendmire places a Lacey, WA file where its credit, its first lien, and its property read best, subject to lender program eligibility.
Trusted by first-time buyers & families alike.
Lacey down payment assistance FAQs
Plain answers to the questions Lacey buyers ask most about down payment assistance, before you request a review. Every file is underwritten individually; nothing here is a commitment.
Do I have to be a first-time homebuyer?
No. None of the options requires a first-time buyer; a Lacey buyer who has owned before qualifies on credit, first lien, and property alone.
Is there an income limit?
No. The options offered in Washington carry no income limit beyond the first lien’s own rules; a USDA first lien has its own limits, and an FHA or HUD-184 first lien has none.
What first-time home buyer programs are available in Lacey?
Assistance measured as a percentage of the price, in shapes that differ by what you owe afterward: nothing if the first lien stays current, or a second loan with a balloon. Credit, the first lien, and the property decide which fits.
Do I have to pay the assistance back?
The forgivable second liens: no interest and no payment, released after the on-time payment period on the first lien, and they pair with FHA, USDA, and HUD-184 first liens. The repayable option is a loan with its own payment.
What credit score do I need?
A Lacey buyer’s credit tier decides which options are open — the options table on this page shows the floor for every option offered in Washington.
Can I use the assistance on a second home or a rental?
Primary residences only. Investment properties and second homes are outside the program.
What does Lendmire do on a Lacey first-time home buyer file?
Reads the options offered in Washington against the credit, the first lien, the property, and the category; chooses the wholesale program that carries the fit; packages the first lien and the assistance together; and manages both liens through closing. Lendmire is the broker, never the lender, and is not affiliated with FHA, USDA, HUD, or the federal government.
How does a forgivable second lien work — the small second loan behind the mortgage?
You do not pay it as long as the first lien stays current through the period; after the period it is forgiven. A sale or refinance inside the period pays it off.
What is the rate on the mortgage and on the assistance?
A scenario review produces the actual terms; the calculator here shows an estimate at a benchmark rate you can change, with the assistance sized on the price you enter.
Can I combine this with another assistance program?
One option, one first lien, one closing — no combination with other assistance.
Talk through a Lacey assistance file before the contract is signed.
A first read of a Lacey assistance scenario takes a few minutes and commits you to nothing; the option, the category, and the property rules are explained before anything is ordered.
This guide covers Lacey — for the statewide options, categories, and property rules, see Down Payment Assistance in Washington, part of Lendmire’s down payment assistance program.
Nearby markets in Washington: Olympia · Tumwater · Lakewood · Tacoma · Federal Way · Auburn · Bremerton · Port Orchard
Related programs: FHA Loans · USDA Loans · FHA 203(k) Rehab Loans