Grant Directory

Verified government funding opportunities

HomeNow – Second Mortgage Down Payment Assistance for Lower-Income First-Time Buyers

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Housing New MexicoNMFirst-Time Homeowner

Funding: $7,000–$7,000forgivable loanrollingDeadline: Scope: statewidestate

Updated: Dec 2, 2025

Summary

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.

Benefits

Down payment assistanceClosing costsForgivable second mortgage

Who Can Apply

Individual

Eligible Locations

State of New Mexico; first time homebuyers and qualified former homeowners at or below 80 percent AMI using MFA FirstHome first mortgage.

Eligibility

Available to lower-income first-time homebuyers (and former homeowners who have not owned/occupied a home as a primary residence in the last three years) purchasing a single-family residence in New Mexico with MFA’s FirstHome program, at or below 80% of area median income, within county- and household-specific income and purchase-price limits, with a minimum 620 credit score (or acceptable alternative credit) and completion of pre-purchase homebuyer counseling.

Full Description

The HomeNow fact sheet explains that HomeNow is a second-mortgage loan program for first-time homebuyers with lower incomes and for former owners who haven’t occupied a home as their primary residence in the last three years. It must be used in conjunction with MFA’s FirstHome first mortgage, and income/purchase-price limits vary by county and household size. HomeNow finances owner-occupied single-family homes, condos, townhomes, PUD units, and eligible manufactured homes that are permanently affixed and assessed as real property in New Mexico. The quick-facts section highlights that HomeNow provides a fixed amount of $7,000, requires no monthly payment, and can be fully forgiven after a 10-year period if the borrower continues to occupy the property as their primary residence and does not sell, refinance, transfer title, or rent out the home. Borrowers must meet a minimum 620 credit score (or qualify with acceptable alternative credit), fall at or below 80% of area median income, complete pre-purchase counseling through MFA’s online eHome America course or a HUD-approved agency, and work with MFA-approved participating lenders listed on HousingNM.org. In some cases, HomeNow may be layered with other down payment assistance programs, giving income-restricted first-time buyers multiple ways to cover upfront costs and achieve sustainable homeownership.

Verification & Details

Complexity: Moderate
Confidence: 92%
Status: open
Source: housingnm.org

Extracted from HousingNM HomeNow fact sheet; funding appears ongoing and offered on a rolling basis.

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

Recommended Resource

First-Time Homebuyer Starter Pack (2025 Edition)

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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FirstDown – Second Mortgage Down Payment & Closing Cost Assistance

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Housing New MexicoNMFirst-Time Homeownerloan

Updated: Dec 2, 2025

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.

Eligible for: Exclusively for first-time homebuyers purchasing a home in New Mexico who are using MFA’s FirstHome first-mortgage program; must meet the sa…

Funding: Fixed rate second mortgage providing up to 4 percent of the home sales price for down payment and closing costs.Deadline: Rolling / subject to funding and reservation availabilityrollingstatewideIndividualDown payment assistanceClosing costsSecond 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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