Mortgage Tips May 17, 2026 ⏱ 3 min read

Down Payment Assistance Programs in Colorado 2026

Down Payment Assistance Programs in Colorado 2026

The down payment is often the biggest barrier to homeownership in Colorado. The good news: multiple Colorado state and local programs exist specifically to help buyers overcome this hurdle — including outright grants that never need to be repaid. This guide covers the most important down payment assistance programs available to Colorado homebuyers in 2026.

Colorado Housing and Finance Authority (CHFA) Programs

CHFA is Colorado’s primary source of affordable mortgage programs and down payment assistance. CHFA works through approved lenders (like Mango Stock Mortgage) to provide below-market rate mortgages and down payment help to qualifying Colorado buyers.

CHFA Down Payment Assistance Grant

  • Amount: Up to 3% of the CHFA first mortgage loan amount
  • Type: Grant — does NOT need to be repaid
  • Requirement: Must use a CHFA first mortgage; must meet CHFA income and purchase price limits
  • Best for: Colorado buyers who qualify for CHFA’s first mortgage and want help with down payment or closing costs

CHFA Down Payment Assistance Loan (SDHAP)

  • Amount: Up to 4% of the first mortgage loan amount
  • Type: Second mortgage at 0% interest, due when you sell, refinance, or pay off the first mortgage
  • Requirement: Must use a CHFA first mortgage; income and purchase price limits apply
  • Best for: Buyers who need more help than the grant provides but don’t want monthly second mortgage payments

CHFA FirstStep & SmartStep

  • 30-year fixed-rate mortgages at below-market rates
  • Available with FHA, VA, USDA, or conventional financing
  • Income limits vary by Colorado county and household size
  • Purchase price limits also apply (vary by county)
  • Must complete CHFA-approved homebuyer education course

Colorado Local Down Payment Programs

Metro Mortgage Assistance Plus (Denver Area)

  • Provides 4% of the loan amount in down payment and closing cost assistance
  • Available in Denver, Jefferson, Arapahoe, Adams, Douglas, Broomfield, and Boulder counties
  • Income limits based on area median income for the Denver metro
  • Must be used with an approved first mortgage

City of Denver DOLA / Housing Programs

  • Denver’s Office of Housing periodically offers down payment assistance for city residents
  • Program availability changes — contact our team for current status

Colorado Springs / El Paso County Programs

  • El Paso County Homebuyer Assistance Program — provides deferred second mortgages for qualifying buyers in El Paso County
  • City of Colorado Springs may offer assistance through state and federal block grants

Federal Down Payment Resources Available in Colorado

  • FHA Loan: Only requires 3.5% down — the low threshold itself acts as affordability assistance
  • VA Loan: Zero down payment for eligible Colorado veterans and military
  • USDA Loan: Zero down payment for eligible rural Colorado communities
  • HUD Homeownership Vouchers: Section 8 vouchers may be converted to homeownership assistance in some Colorado areas

CHFA Income & Purchase Price Limits (2026)

CHFA limits vary by Colorado county and household size. For example, in the Denver metro area, income limits are higher than in rural eastern Colorado counties. Purchase price limits are also county-specific. Contact Mango Stock Mortgage to check your specific Colorado county limits — we access CHFA’s current limit tables directly.

How to Access Colorado Down Payment Assistance

  1. Contact a CHFA-approved Colorado lender like Mango Stock Mortgage
  2. We’ll check your eligibility for CHFA and local programs based on your income, county, and loan type
  3. If eligible, we’ll incorporate the assistance into your pre-approval and loan structure
  4. Complete the required CHFA homebuyer education course (typically available online)
  5. Purchase your Colorado home with your down payment assistance applied at closing

Colorado-Licensed Lender. Mango Stock Mortgage is a CHFA-approved lender operating exclusively in Colorado. Program availability, income limits, and purchase price limits are subject to change. Equal Housing Lender.

Have Questions About Mortgage Tips?

Our licensed loan officers can walk you through your options and find the right program for your situation.

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← VA Loan Eligibility Guide for Colorado Veterans When to Refinance Your Colorado Mortgage — 2026 Guide →