Grant Directory

Verified government funding opportunities

FirstDown – Second Mortgage Down Payment & Closing Cost Assistance

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Housing New MexicoNMFirst-Time Homeowner

Funding: Fixed rate second mortgage providing up to 4 percent of the home sales price for down payment and closing costs.loanrollingDeadline: Scope: statewidestate

Updated: Dec 2, 2025

Summary

MFA’s FirstDown program is a fixed-rate second mortgage that provides up to 4% of the sales price to cover down payment and closing costs for FirstHome borrowers, making it easier for New Mexico first-time buyers to get into a home with less cash up front.

Benefits

Down payment assistanceClosing costsSecond mortgage

Who Can Apply

Individual

Eligible Locations

State of New Mexico; first time homebuyers using MFA FirstHome mortgage and meeting income, credit, property, and counseling requirements.

Eligibility

Exclusively for first-time homebuyers purchasing a home in New Mexico who are using MFA’s FirstHome first-mortgage program; must meet the same credit, income, property, and homebuyer-education requirements as FirstHome and work with a Housing New Mexico–approved participating lender.

Full Description

The FirstDown fact sheet describes a fixed-rate second mortgage loan program that must be combined with MFA’s FirstHome first mortgage. FirstDown offers multiple repayment term options with affordable interest rates, so buyers can choose a budget-friendly monthly payment structure. The program provides up to 4% of the home’s sales price that can be used toward both down payment and closing costs, and it follows the same credit score, property, and homebuyer-counseling requirements as the FirstHome program. Eligible borrowers must be first-time homebuyers purchasing an owner-occupied primary residence in New Mexico using an approved loan product such as FHA, VA, USDA, HUD Section 184, HFA Advantage, or HFA Preferred conventional financing, and they must work through MFA-approved participating lenders listed on HousingNM.org. In some cases, FirstDown may also be combined with other down payment assistance programs, allowing buyers to layer multiple sources of support to reduce cash-to-close and strengthen their overall financing package.

Verification & Details

Complexity: Moderate
Confidence: 90%
Status: open
Source: housingnm.org

Extracted from MFA FirstDown fact sheet; program operates on rolling basis contingent on funding and lender reservation availability.

Official source → housingnm.org
Apply on official siteUpdated Dec 2, 2025

Recommended Resource

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A complete first-time homebuyer toolkit: 9 checklists, timelines, grant guidance, worksheets + editable Excel/Google Sheet budget & affordability calculator.

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More statewide programs

Explore additional grants available throughout New Mexico that complement this opportunity.

HomeForward Down Payment Assistance (DPA) – Second Mortgage Loan

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Housing New MexicoNMFirst-Time Homeownerloan

Updated: Dec 2, 2025

HomeForward DPA is a 15-year fixed-rate second mortgage that gives New Mexico buyers up to 3% of the sales price toward down payment, pairing with MFA’s HomeForward first mortgage and supporting both first-time and repeat buyers statewide.

Eligible for: Open to first-time and repeat homebuyers using the HomeForward First Mortgage program to purchase an owner-occupied single-family property i…

Funding: Fixed rate 15 year second mortgage providing up to 3 percent of the home sales price for down payment. Closing costs are allowed only when the first mortgage is USDA, VA, or HUD Section 184.Deadline: Rolling / subject to program funding and rate reservationsrollingstatewideIndividualDown payment assistanceSecond mortgageClosing costs
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FirstDown Plus – Third Mortgage Down Payment Assistance

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Housing New MexicoNMFirst-Time Homeownergrant

Updated: Dec 2, 2025

State-level homebuyer mortgage & downpayment/closing-cost assistance programs via Housing NM, including low upfront cash requirement and multiple DPA/loan options.

Eligible for: First-time or repeat buyers (depending on sub-program), credit score min 620, complete homebuyer counseling, income/purchase price limits ap…

Deadline: Rolling / subject to limited rounds of funding, available on a first-come, first-served basisstatewide
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HomeNow – Second Mortgage Down Payment Assistance for Lower-Income First-Time Buyers

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Housing New MexicoNMFirst-Time Homeownerforgivable loan

Updated: Dec 2, 2025

HomeNow provides a $7,000, no-payment second mortgage for down payment and closing costs that’s forgivable after 10 years, targeting New Mexico first-time buyers at or below 80% AMI who pair it with MFA’s FirstHome loan.

Eligible for: Available to lower-income first-time homebuyers (and former homeowners who have not owned/occupied a home as a primary residence in the last…

Funding: Fixed 7000 dollar second mortgage for down payment and closing costs; no monthly payment and fully forgivable after 10 years if occupancy requirements are met.Deadline: Rolling / subject to funding and income/purchase-price limitsrollingstatewideIndividualDown payment assistanceClosing costsForgivable second mortgage
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Santa Fe County Downpayment Assistance Program

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Santa Fe County – Affordable Housing ProgramNMFirst-Time Homeownerdeferred loan

Updated: Dec 2, 2025

Santa Fe County’s Downpayment Assistance Program offers up to $20,000 in 0% deferred assistance as a subordinate loan, targeted by AMI band, to help first-time buyers close the gap on down payment and closing costs while preserving long-term affordability.

Eligible for: First-time homebuyers purchasing a home in Santa Fe County with household incomes at or under 100% of area median income, who have completed…

Funding: Zero percent deferred payment loans up to 20000 dollars (under 65 percent AMI), 15000 dollars (65 to 80 percent AMI), or 10000 dollars (80 to 100 percent AMI).Deadline: Rolling / subject to County funding and Loan Review Committee approvalrollingcountyIndividualDown payment assistanceDeferred loanClosing costs
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