Saving for a down payment can be one of the biggest hurdles for first-time home buyers in Utah, especially with median home prices hovering around $566,000 as of early 2025. But the good news? Utah offers a range of assistance programs designed to make entry-level homeownership more accessible, particularly through initiatives like Governor Cox’s Utah First Homes program, which invests $150 million to support 35,000 new starter homes by 2028.
Start with the Utah Housing Corporation (UHC), the state’s go-to resource. Their FirstHome Loan program provides up to 6%* of your mortgage amount as a second loan for down payments and closing costs — ideal if you’re buying a home under $450,000. For new construction, Utah Senate Bill 240 offers up to $20,000 in non-repayable assistance if you haven’t owned a home in the last three years. Programs like Foyer Savings encourage consistent saving with matching funds, while FHA loans require as little as 3.5%** down for those with credit scores around 620.
Eligibility often includes income limits (typically under $100,000 for a family of four), being a first-time buyer (or not owning in the past three years), and completing a homebuyer education course. Trends show these programs are popular among millennials in growing areas like Salt Lake County, where population influx from tech jobs has boosted demand but also highlighted affordability needs.
To maximize benefits, combine programs — e.g., UHC with local grants in cities like Ogden. Research shows buyers using assistance close deals 20-30% faster. If you’re a W-2 employee new to the process, these can bridge the gap without draining savings.
Curious how these apply to you? Exploring options with a local lender can clarify your path. Feel free to reach out for guidance on getting started.
Disclaimer
*Loan with 0% down payment on a 30-year, fixed-rate loan of $400,000 with an interest rate of 6.00% APR will have 360 monthly principal and interest payments of $2,398.20. Payments shown do not include taxes, homeowners’ insurance, or mortgage insurance (if applicable). Actual payments will be higher. Not all borrowers will qualify.
**Loan with 3.5% down payment on a 30-year, fixed-rate FHA loan of $400,000 with an interest rate of 6.00% APR will have 360 monthly principal and interest payments of $2,398.20. Payments shown do not include taxes, homeowners’ insurance, or mortgage insurance, which is required for FHA loans. Actual payments will be higher. Not all borrowers will qualify, and a minimum credit score of approximately 620 is typically required.