Utah Housing News: What First-Time Buyers in Davis County Need to Know About 1% Down Payment and Grant Programs

Dreaming of owning your first home in Davis County, Utah? You’re not alone! With its family-friendly neighborhoods, top-rated schools, and easy access to both Salt Lake City and the great outdoors, Davis County is a magnet for first-time buyers. But with rising prices and competitive listings, it’s natural to wonder: Is now the right time, and how can you afford that all-important down payment?

What’s Happening in Davis County’s Housing Market?

The Davis County market has seen steady growth in both home prices and demand. While this means more competition, it also signals a healthy, vibrant community with long-term value. First-time buyers should be ready for quick-moving listings and may need to act fast when they find the right fit. The good news? New loan programs and grants are making it easier than ever to get your foot in the door—even if you don’t have a huge nest egg saved up.

How Does a 1% Down Payment Program Work?

Traditionally, buyers have needed at least 3-5% down to qualify for a mortgage. But new 1% down payment programs are changing the game. Here’s how they generally work:

• Low Upfront Cost: You contribute just 1% of the home’s purchase price as your down payment.
• Lender or Grant Match: The lender or a partnered grant program contributes additional funds (often 2%), bringing you up to the minimum required for a conventional loan.
• Who Qualifies: These programs are typically for first-time buyers with good credit and stable income, but requirements can vary by lender.

Grant Programs: Free Money for Your First Home

Utah offers several grant and down payment assistance programs designed to help first-time buyers, including those in Davis County. These grants can cover part or all of your down payment and sometimes even help with closing costs. Some popular options include:

• Utah Housing Corporation (UHC): Offers down payment assistance loans and grants for qualified buyers.
• Community Development Block Grants (CDBG): Available in certain cities and can be used for down payment and closing costs.
• Employer-Assisted Housing: Some local employers offer grants or forgivable loans to help employees buy homes nearby.

Each program has its own eligibility rules, so it’s wise to talk to a local lender or housing counselor early in your search.

Tips for First-Time Buyers in Davis County

• Get Pre-Approved Early: In a fast-paced market, having your financing lined up gives you a big advantage.
• Work with a Local Agent: An experienced agent knows the ins and outs of Davis County neighborhoods and can help you spot deals—even before they hit the market.
• Ask About Assistance: Not all lenders advertise 1% down or grant programs, so be proactive and ask what’s available.
• Be Flexible: Consider a wider range of neighborhoods or home types to increase your chances of finding the right fit.

Buying your first home is a big step—but with the right resources and a little determination, Davis County could soon be home sweet home. Have questions or want to explore your options? Reach out today and let’s make your homeownership dream a reality!