Colorado Down Payment Assistance

First-Time Home Buyer Programs & Down Payment Assistance in Colorado

First-time home buyer programs for Colorado, explained once here and applied on every market page: the down payment assistance options, the eligibility categories, the mortgages, and the property rules.

See my offer Size My Down Payment

Current Program Snapshot

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 Colorado are the options in force.

Down Payment Help

Up to 5%

Of the purchase price

Measured on the purchase price or the appraised value, whichever is lower; the largest option covers the down payment and reaches closing costs, and the smaller options cover the 3.5% FHA minimum, in whole or, on the lowest tier, in part.

Nothing to Repay

3.5%

Covers the FHA down payment, in whole or in part

This covers the 3.5% FHA minimum down payment in whole or, on its lower tier, in part, and is forgiven at closing: no lien on the home, no monthly payment, no interest. It opens on the area income limit or on a qualifying category.

Income Limit

None

On the forgivable and repayable options

The forgivable and repayable options have no income limit at all — one of the biggest advantages of this program. Only the nothing-to-repay option asks for income at or below 140% of the area median, or a qualifying category.

Credit

620

Credit score to start

This is the lowest score that opens an option here — the nothing-to-repay option; the forgivable second liens start a little higher and the repayable options higher still, so a stronger score opens more choices.

Assistance options offered in Colorado — how much, what it costs to carry, and the credit it takes
Option	Assistance	What you repay	Credit · mortgage · units
Grant-style assistance — nothing to repay	2% or 3.5% of the price	Nothing — released at closing	620+ · FHA 203(b), FHA repair escrow, FHA Limited 203(k), FHA Standard 203(k) · 1–4 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 · six options offered in Colorado · no option requires a first-time buyer · no option combines with another assistance program · owner-occupied primary residences only.

Program Notice

This page describes down payment assistance at the program level. The option for any file comes from the credit tier, the first lien, the property, and the eligibility category; the first lien’s approval, the appraisal, and full underwriting decide the actual terms, subject to lender program eligibility. Nothing here is a quote, a fee, or a commitment to lend; the calculator’s rate is a market benchmark you can edit and its payment an estimate. Lendmire is never the lender and is not affiliated with FHA, USDA, HUD, or the federal government. Lendmire, LLC — NMLS #2371349. Equal Housing Opportunity.

Colorado Down Payment Assistance Guide

What down payment assistance is — and how the options differ.

First-time home buyer programs are not one program; they are a family of down payment assistance options paired with a government-backed first lien, and the right one for a Colorado buyer depends on credit, the first lien, the property, and whether the help needs to reach closing costs.

For the program overview, see Lendmire’s down payment assistance program; for the first lien, the FHA loan program.

01.

Assistance covers the FHA down payment

Every purchase option for a Colorado buyer is sized on the price (or the lesser of price and value), not on a fixed sum: the smaller options cover the minimum investment, in whole or, on the lowest tier, in part, and the larger repayable option covers it and reaches closing costs and prepaid items too; the refinance option is sized on the balance.

02.

Four shapes: grant, forgivable, repayable, refinance

The options differ in what they cost to carry: a nothing-to-repay option released at closing; forgivable second liens with no interest and no payment, released after an on-time payment period; a repayable second lien, amortized with a balloon, that reaches closing costs; and a refinance-cost option for an existing FHA loan.

03.

Credit floors, mortgage programs, and unit counts

Two-borrower files can qualify on a blended score on the second-lien options when the higher earner has the higher score and an automated approval is in hand; every borrower still needs a score of their own, and the first lien and the unit count place the file as the options table shows.

04.

Eligibility without a first-time-buyer rule

No option requires a first-time buyer. The nothing-to-repay option asks for one qualifying category — income at or below the area limit, a community-service occupation, a first purchase, or an underserved tract — and a homebuyer education course; the second-lien options ask for neither.

The Core Calculation

Mortgage plus assistance = the price; the shape of the assistance decides what is owed afterward

This is the whole test: the price sets the minimum investment, the option covers it, and the larger option leaves room for closing costs. The tool below applies it to your numbers and adds the FHA payment estimate.

Size My Down Payment Call (828) 256-2183

Colorado Market Context

Where Colorado’s first-time and moderate-income buyers shop — and how the assistance fits.

Statewide Census figures give the backdrop for Colorado’s renters, home values, and household incomes; the market pages beneath this guide carry each city’s own numbers.

Statewide figures provide general market context, not an appraisal or an income calculation. The higher the median value, the larger the minimum investment in dollars; that is why the assistance is sized as a percentage of the price rather than a fixed sum, and why the larger option matters more in expensive markets.

6.01MPopulation (Census estimate, 2025)

$539,400Median owner-occupied home value (ACS 2020–2024)

40.3%Households that rent across the CO markets Lendmire tracks

555,455Renter households in the tracked CO markets

Data sources: U.S. Census Bureau — ACS 5-Year (2024) housing and population estimates, including tenure, home values, gross rents, and household income.

Colorado Down Payment Assistance Markets

Where Colorado’s renters live — market by market.

From Denver to Colorado Springs, these are the Colorado markets with the most renter households, each with its own down payment assistance page.

01.

Denver

Denver holds one of the largest pools of renter households among Lendmire’s Colorado markets — roughly 171,873, about 51% of households — a metropolitan market where the down payment is the hurdle for a large share of would-be buyers. Census context: median value near $616,000, median household income near $94,718, population near 719K.

Metro market · Down payment assistance in Denver

Market data: U.S. Census Bureau — Denver.

02.

Colorado Springs

In Colorado Springs, about 39% of households rent — near 79,251 renter households — and the metropolitan market there sees a steady flow of assisted first purchases. Census context: median value near $452,600, median household income near $84,818, population near 488K.

Metro market · Down payment assistance in Colorado Springs

Market data: U.S. Census Bureau — Colorado Springs.

03.

Aurora

Roughly 54,627 Aurora households rent, about 38% of the total, which makes it a metropolitan market where down payment assistance closes a great many first purchases. Census context: median value near $469,100, median household income near $88,368, population near 394K.

Metro market · Down payment assistance in Aurora

Market data: U.S. Census Bureau — Aurora.

04.

Fort Collins

Fort Collins ranks fourth by renter households among Lendmire’s Colorado markets — roughly 34,727, about 48% of households — a metropolitan market where the down payment is the hurdle for a large share of would-be buyers. Census context: median value near $577,900, median household income near $85,070, population near 170K.

Metro market · Down payment assistance in Fort Collins

Market data: U.S. Census Bureau — Fort Collins.

05.

Lakewood

In Lakewood, about 42% of households rent — near 29,247 renter households — and the metropolitan market there sees a steady flow of assisted first purchases. Census context: median value near $574,400, median household income near $89,792, population near 157K.

Metro market · Down payment assistance in Lakewood

Market data: U.S. Census Bureau — Lakewood.

06.

Boulder

Boulder ranks sixth by renter households among Lendmire’s Colorado markets — roughly 23,455, about 53% of households — a metropolitan market where the down payment is the hurdle for a large share of would-be buyers. Census context: median value near $1,039,500, median household income near $87,493, population near 106K.

Metro market · Down payment assistance in Boulder

Market data: U.S. Census Bureau — Boulder.

Market rankings describe where renters live, not the strength of any file; every Colorado purchase is underwritten on its own first lien, its own credit, and its own option.

How Colorado Buyers Use the Program

Four ways Colorado buyers put down payment assistance to work.

The same assistance serves several purposes in Colorado; four of the most common are below.

Government mortgages

Pair the assistance with a USDA or HUD-184 mortgage

A Colorado buyer on a USDA or HUD-184 first lien uses the second-lien options, forgivable or repayable; the nothing-to-repay option pairs only with FHA first liens.

Refinance

Cover the costs of an FHA refinance

A Colorado homeowner refinancing an existing FHA loan can use the refinance-cost option, a repayable second lien sized on the balance, to cover closing costs and keep the first lien inside FHA limits.

Renovation

Buy a home that needs work with a renovation mortgage

For an older Colorado home, the renovation first lien and the assistance fit together, with the assistance measured on the purchase price rather than the repaired value.

Small multi-unit

Buy a small multi-unit home and live in one unit

For a Colorado buyer choosing a small multi-unit home, the assistance attaches to the first lien on the building, up to the option’s unit limit, with the buyer living in one of the units.

Assistance Sizer

Size the assistance on a Colorado price before requesting a quote.

This tool applies the program to a Colorado scenario: the price sets the minimum investment, the option and your cash set the down payment, and the FHA loan, mortgage insurance, and payment follow at the benchmark rate shown. Every field is editable; the rate is a market reference, not a quote.

Editable FHA scenario with assistance

Colorado FHA payment with assistance

Illustrative Colorado inputs; the calculator recalculates on every change.

Purchase price

Assistance option

Your own cash toward the down payment (% of price)

Term

Rate (%) — editable benchmark

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.

Property taxes (per year)

Homeowners insurance (per year)

Association dues (per month)

Gross monthly household income (optional)

Other monthly debt payments

—FHA minimum investment on this price.

—Annual mortgage insurance rate applied, and for how long.

Illustrative starting assumptions: a $540,000 price near Colorado’s median owner-occupied home value, the strongest assistance option offered in Colorado applied against the FHA minimum investment, a thirty-year term at the current Freddie Mac benchmark, property taxes and insurance estimated for Colorado (U.S. Census Bureau). Every field is editable.

Estimated total monthly housing payment

—

Principal and interest, FHA mortgage insurance, taxes, insurance and dues, on the total loan with the upfront premium financed.

—Total down payment (your cash plus assistance)

—Assistance applied to the down payment

—Assistance left toward closing costs and prepaids

—Your cash toward the down payment

—Base loan amount

—Upfront mortgage insurance premium, financed

—Total loan amount

—Principal and interest

—Monthly FHA mortgage insurance

—Taxes, insurance and dues

—Housing and total debt ratios (with income entered)

—Where the file lands

See my offer Call 828-256-2183

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.

Down Payment Assistance vs. the Alternatives

Same buyer, three very different closings.

Same Colorado buyer, three closings: assistance on an FHA loan, the buyer’s own minimum investment, or assistance on a USDA or HUD-184 loan.

Structure Comparison

Assistance on an FHA loan, your own down payment, or assistance on a USDA or HUD-184 loan.

FHA with down payment assistance

The structure for a Colorado buyer who qualifies for the payment but not the cash to close — the help is sized on the price and the option decides what, if anything, is owed afterward.

FHA with your own minimum investment

For a Colorado buyer with the cash in hand, the plain FHA purchase is the cleaner file; the assistance exists for the buyer who does not have it yet. For the first lien itself, see Lendmire’s FHA loan program.

USDA or HUD-184 with assistance

USDA and HUD-184 first liens pair with the forgivable options and the ten-year repayable option on a Colorado file; the separate closing-cost option is FHA only. For the USDA first lien, see the USDA loan program.

Where each one fits

Assistance fits the buyer short of cash to close; the plain purchase fits the buyer with savings; the USDA and HUD-184 pairing fits eligible properties and borrowers — Lendmire places the Colorado file where it reads best.

Typical File Components

What to prepare for a Colorado scenario review.

What a down payment assistance review usually starts with.

Eligibility categoryNothing-to-repay option: proof of one qualifying category (occupation, first-time buyer, census tract, or area income; any one of them), plus the signed application.

Property detailUnit count, condominium approval status, manufactured-home width and title, USDA eligibility, and any association documents on file.

Purchase contractThe executed purchase contract with the price the assistance is measured on; on a renovation loan, the price before the repairs are made.

Seasoned fundsAny gift funds or personal savings used alongside the assistance, documented in the way the first lien requires those funds to be.

Income documentationPay stubs, W-2s or tax returns, and any fixed income, read against the first lien’s rules and, for the nothing-to-repay option, the area income limit.

Credit reportA tri-merge report with a score for every borrower; the option’s floor and the first lien’s rules both apply, and a blended score may apply on the second-lien options.

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.

Colorado File Considerations

Local details that can change the loan.

A down payment assistance file in Colorado is won or lost on details a plain purchase never meets: the eligibility category, the forgiveness clock, the balloon on the repayable option, the county loan limit, the property type.

Before You Move Forward

Use these checks to keep the Colorado file clean and fundable.

A clean Colorado 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.
Confirm the category: identify the category that opens the nothing-to-repay option.
Match the first lien: check the price against the county loan limit.

The option decides what you owe afterward

The same minimum investment can be covered three ways on a purchase in Colorado, and the difference is entirely in what happens after closing: nothing, nothing if the first lien stays current, or a second loan that comes due; the options table shows what is offered.

ii.

The eligibility category for the nothing-to-repay option

The category is checked at application on the nothing-to-repay option, together with the signed assistance application and the education certificate; no option requires a first-time buyer, and the second-lien options carry no income limit.

iii.

The mortgage and the county loan limit

In Colorado, the first-lien program is chosen with the property: USDA where the address is eligible, HUD-184 where the buyer qualifies, FHA everywhere. The county loan limit then decides whether a larger first lien can still carry an assistance option.

iv.

Escrow holdbacks for minor repairs

A Colorado 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.

Blended scores for two-borrower files

Blending is a qualification tool on the second-lien options and nothing more; a Colorado file that blends still needs each borrower to have a representative score, and manual underwriting is off the table.

A Clear Process

From a Colorado pre-approval to keys with the assistance in place.

The path from a Colorado pre-approval to keys with the assistance in place runs through the option first and the paperwork second.

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 Colorado buyer — settled before anything is ordered.

ii.

Get the mortgage approved

Lendmire packages the Colorado 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.

iii.

Clear the property

The property side of a Colorado file is where the option can change: unit count, project approval, and the loan limit are confirmed before the closing is scheduled.

iv.

Close both loans together

The Colorado 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.

Why Lendmire

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

A Colorado scenario is placed on the right option first — the credit tier, the first lien, and the category — and the rest of the file is then built to fit it, before anything is ordered.

ii.

The mortgage, matched to the property

USDA where the address is eligible, HUD-184 where the buyer qualifies, FHA everywhere; the Colorado first lien is the foundation the assistance stands on.

iii.

The right wholesale program

Not every wholesale lender carries down payment assistance, and the ones that do differ on shape, floors, and states; Lendmire knows which is which.

Client Experiences

Trusted by first-time buyers & families alike.

Verified Google Reviews

    
 
 
          Joseph Edwards 
 
 
 
 Trustindex verifies that the original source of the review is Google. Highly recommend, Cori was awesome to work with and had great communication. She was very helpful and got us through everything to close.
  
 
         K Star Real Estate LLC 
 
 
 
 Trustindex verifies that the original source of the review is Google. Cori on the Lendmire team was phenomenal! She was two steps ahead through the entire process of purchasing an investment property.  She was solving problems before anyone knew there could have been a problem.  Great communication,  great availability,  all around a great person to work with.  She is the reason our deal closed.  We look forward to working with her again in the very near future!
  
 
         Tristen Mosley 
 
 
 
 Trustindex verifies that the original source of the review is Google. Alayna Pack is very knowledgeable, helpful, communicative, and transparent. Highly recommend.
  
 
         J Mills 
 
 
 
 Trustindex verifies that the original source of the review is Google. Leigh is absolutely the best! Professional yet personable, diligent, and incredibly responsive. She was with us throughout the process and helped us secure a competitive rate. Leigh went above and beyond to make sure all of our questions were answered, and offered deep explanations for questions that arose. We felt supported through the entire process and trust her expertise completely. 5 stars!
  
 
         Tyjuana Atkinson 
 
 
 
 Trustindex verifies that the original source of the review is Google. Awesome experience!!!!!!! Leigh had our best interest at heart from beginning to the end.
  
 
         Anna Hernandez 
 
 
 
 Trustindex verifies that the original source of the review is Google. Curt Galbraith was a Great Loan Originator and goes above and beyond for his clients, working with him on this transaction was so easy. I would recommend him for any Buyers looking to Buyer or Refinance. Great Service all around
  
 
         RustynKelli Shelton 
 
 
 
 Trustindex verifies that the original source of the review is Google. Brenda is absolutely one of the most professional hardworking lenders we have ever dealt with; she’s helped clients of ours and now us personally. Her communication is top notch, you never feel like you’re forgotten or left to figure things out on your own, great to answer questions and explain each step. Definitely recommend Brenda to walk along beside you in your purchase process!
  
 
         Isaac Alonzo 
 
 
 
 Trustindex verifies that the original source of the review is Google. As a first time home buyer Curt Galbraith was a wonderful man, he explained everything i had questions about and took time out of his day to meet up late at nights after my night shift, to explain things to me .Over all  Curt was really helpful all through closing and always there when you needed him. Thank you so much Curt for helping me through out the whole process.
  
 
         Jason Fleck 
 
 
 
 Trustindex verifies that the original source of the review is Google. Brenda, Samantha and the Lendmire team were absolutely fantastic to work with. We had to jump through some major hurdles to get this home done, which most lenders would have gave up, they kept pushing to get this home done for us. I would absolutely recommend Brenda and team to anybody. Thank you so much for your commitment, communication, perseverance through the whole process.

Jason & Brooke

Questions Colorado Buyers Ask

Colorado down payment assistance FAQs

The questions a Colorado buyer asks before requesting an assistance review, answered plainly.

Do I have to be a first-time homebuyer?

No — and that surprises most Colorado buyers. The program has no first-time requirement; owning a home before does not close a single option, and being a first-time buyer is simply one of the doors into the nothing-to-repay option.

Is there an income limit?

Only on the nothing-to-repay option, and only when no other category applies: household income at or below the area-median-income ceiling in the snapshot, measured where the property sits. The forgivable and repayable second-lien options carry no income limit beyond the mortgage’s own rules.

What first-time home buyer programs are available in Colorado?

Four shapes paired with a government mortgage: a nothing-to-repay option released at closing; forgivable second liens with no interest and no payment, released after an on-time payment period; a repayable second lien with a balloon that also reaches closing costs and prepaids; and a refinance-cost option for an existing FHA loan. The options table on this page shows what is offered in Colorado.

Do I have to pay the assistance back?

For a Colorado buyer, the nothing-to-repay option where offered, otherwise a forgivable second lien; the options table on this page shows what each costs to carry.

What credit score do I need?

Scores in the low six hundreds open the first option, and each step up in score opens more of them. The mortgage program has its own rules too, so the credit score, the mortgage, and the property are read together before the option is named.

What property types are eligible?

A Colorado home that the first lien accepts and the option’s property rules allow; the property side is checked before the option is confirmed.

What is the repayable option and when does it make sense?

It is a loan — the repayable options are the only purchase options with a payment — in exchange for covering the most. A Colorado buyer chooses it for the closing-cost coverage or the high-balance pairing.

Can the assistance cover closing costs too?

Yes, on the larger repayable option, which covers the minimum investment and a further share of the price for closing costs and prepaid items, including costs paid outside closing. The nothing-to-repay and forgivable options cover the minimum investment only.

Can I use the assistance on a second home or a rental?

No. Every option is for an owner-occupied primary residence; on the forgivable and repayable options the home must stay the primary residence for the term of the second lien.

What is the rate on the mortgage and on the assistance?

The first lien’s rate is set by the lender at lock; the calculator on this page seeds its rate field from the weekly Freddie Mac conventional benchmark as a market reference, not an FHA quote, and every field stays editable. The repayable second lien’s terms are set by the program and disclosed on its own documents; the forgivable and nothing-to-repay options carry no interest.

Get Started

The down payment is the hurdle. The option clears it.

Share the property, the price, and a little about your situation; a Lendmire loan officer names the option that fits and follows up.

See my offer Size My Down Payment

Continue Exploring

This guide covers Colorado — for the program overview and the options, see Lendmire’s down payment assistance program.

All Colorado city guides (27): Arvada · Aspen · Aurora · Boulder · Breckenridge · Broomfield · Castle Rock · Centennial · Colorado Springs · Commerce City · Crested Butte · Denver · Estes Park · Fort Collins · Grand Junction · Greeley · Lakewood · Longmont · Loveland · Parker · Pueblo · Steamboat Springs · Telluride · Thornton · Vail · Westminster · Winter Park

Related programs: FHA Loans · USDA Loans · FHA 203(k) Rehab Loans