A Guide to New Jersey's Local Down Payment Assistance Programs
Updated 1/23/2026
These programs can only be handled by approved lenders. If you would like help from a local realtor familiar with the programs and lenders, fill out this form here and I will connect you with one.
I've included all of the links and contact info needed to do this on your own, the form is meant to make it easier.
How Down Payment Assistance Works
I need to give a quick overview of how down payment assistance works. After that, the programs are listed.
With down payment assistance, you'll run into two different types:
- A grant
- A loan
A Grant
If we meet the qualifications up front, then it's money that does not need to be repaid.
A Loan
If the down payment assistance comes in the form of a loan, then pay attention to the three different types:
- Repayable
- Deferred
- Forgivable
Repayable is just as most imagine. It charges interest over a certain amount of time, with monthly payments until it's paid off.
Deferred loans usually don't require a monthly payment, and typically don't charge interest. It's due in full when you refinance, sell the home, or when it ceases to be your primary residence.
Forgivable loans will disappear if you meet the criteria, which usually comes down to keeping the home as your primary residence for a specific amount of time.
Okay with that, here are the programs!
New Jersey
NJHMFA Down Payment Assistance Program
- Assistance: Provides up to $15,000 for qualified first-time homebuyers to use as down payment and closing cost assistance when purchasing a home in New Jersey.
- Terms: Interest-free, five-year forgivable second loan with no monthly payments.
- Eligibility: First-time homebuyers purchasing a primary residence in New Jersey; income and purchase price limits apply.
- More Information: NJHMFA Homebuyer Assistance
NJHMFA First-Time Homebuyer Mortgage Program
- What It Offers: Competitive fixed-rate mortgages with low down payment options.
- Who Qualifies: First-time homebuyers who meet credit and income requirements.
- Income Limits: Based on area median income (AMI).
- Repayment: Standard mortgage repayment terms.
- More Information: NJHMFA Mortgage Programs
NJHMFA First-Generation Down Payment Assistance Program
- Assistance: Offers an additional $7,000 for first-generation homebuyers, which can be combined with the standard NJHMFA Down Payment Assistance Program for a total of up to $22,000.
- Terms: Interest-free, five-year forgivable second loan with no monthly payments.
- Eligibility: First-time homebuyers who are also first-generation buyers (defined as individuals whose parents or legal guardians do not have any present ownership interest in any residential real property).
- More Information: NJHMFA First-Generation Assistance
NJ Community Capital Address Yourself Program
- Assistance: Provides down payment assistance grants (often up to $30,000 depending on funding availability) for low-to-moderate income buyers.
- Terms: Typically offered as a grant or forgivable loan; requires housing counseling.
- Eligibility: Statewide program for buyers meeting specific income thresholds (often 80% AMI).
- More Information: https://www.newjerseycommunitycapital.org/programs-initiatives/current-programs/address-yourself/
NJCC Statewide Down Payment Assistance Program
- Assistance: Provides up to $30,000 in down payment assistance for primary residences.
- Terms: Offers forgivable grants; specific terms and eligibility criteria apply.
- More Information: NJCC Down Payment Assistance
City of Newark Live Newark Homebuyer Assistance
- Assistance: Provides up to $20,000 (Closing Cost Program) for first-time homebuyers.
- Who Qualifies: Buyers purchasing a primary residence within Newark city limits; typically requires 5 years of residency for full forgiveness.
- Terms: Forgivable loan. 20% of the loan is forgiven for each full year the recipient lives in the home (fully forgiven after 5 years). 0% interest.
- More Information: https://www.newarknj.gov/187/Live-Newark-Program
Gloucester County First Time Homebuyer Program
- Assistance: Offers 0% deferred payment loans of up to $25,000. Funds are applied first to closing costs, then to the down payment.
- Eligibility: Must purchase in one of Gloucester County's 24 municipalities and meet income limits (80% AMI).
- Terms: No monthly payments. Repayment is deferred until the home is sold, transferred, or refinanced. (Some terms allow for partial forgiveness after an extended affordability period).
- More Information: Gloucester County Homebuyer Program
Atlantic City Down Payment Assistance Program
- Assistance: Provides up to $30,000 (max 10% of purchase price + up to $5,000 for closing costs).
- Eligibility: Must have lived in Atlantic County or worked in Atlantic City for at least 12 months prior to application. Income caps apply (approx. $131,000 household max).
- Terms: Deferred 0% interest loan. Repaid only upon resale, refinance, or transfer of title.
- More Information: Atlantic City Assistance Program
City of Camden First-Time Homebuyer Program
- Assistance: Provides a deferred loan of up to $14,999 to help cover down payment and closing costs.
- Terms: Deferred loan with no monthly payments. Forgiven if the owner occupies the home for 5 years; otherwise, full repayment is due upon sale/transfer within that period.
- Eligibility: First-time buyers purchasing in Camden City; household income must be at or below 80% AMI.
- More Information: Camden City Housing Services
Updated 1/23/2026
These programs can only be handled by approved lenders. If you would like help from a local realtor familiar with the programs and lenders, fill out this form here and I will connect you with one.
I've included all of the links and contact info needed to do this on your own, the form is meant to make it easier.