Down Payment Assistance Loan

Apply for a down payment assistance loan for first-time homebuyers in Portland. This program provides 0% interest loans of $80,000 to $100,000 (depending on funding source and location) with a 30-year deferred-payment term. No monthly payments are required. The loan is progressively forgiven: 50% at year 15, then 3% per year, with full forgiveness at year 30. Applications must be submitted through one of five community partner organizations. Applicants must complete a HUD-approved homebuyer education course, meet household income requirements (at or below 100% AMI), and have no more than $10,000 in liquid assets at closing.

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Program Overview
Important information about the Down Payment Assistance Loan.

Program Details

IMPORTANT: Applications for the Down Payment Assistance Loan must be submitted through one of the five approved community partner organizations listed below. You cannot apply directly to the City of Portland. Please contact a partner organization to begin the application process. This form collects your information for referral to a partner.

Loan Terms: $80,000-$100,000 (varies by funding source); 0% interest (0.012% APR); 30-year term; no monthly payments required (deferred payment). Forgiveness schedule: 50% of the loan is forgiven at year 15, then 3% per year thereafter, with the full remaining balance forgiven at year 30 if the home remains your primary residence.

Key eligibility requirements: First-time homebuyer (no ownership in past 3 years); household income at or below 100% Area Median Income (AMI); no more than $10,000 in liquid assets at closing; must invest minimum $500 of your own funds (gifts allowed); US citizen or legal resident; property must be within Portland city limits; single-family, existing condo, or townhome (short sales generally ineligible).

Community Partner Organizations

Select the community partner organization you are working with or would like to be referred to. All applications must go through one of these partners.