03/19/2026
🏡 Delaware Down Payment Help: What’s a Grant vs. a Loan?
I get this question all the time, so here’s a quick, no‑jargon breakdown for anyone thinking about buying a home in Delaware 👇
🎁 Grants = money you don’t pay back
🏦 Down Payment Assistance (DPA) = usually a loan, sometimes forgivable, sometimes repayable
🧠 Why the confusion? Most programs are labeled as “assistance,” and when a loan has 0% interest and no monthly payment, it feels like a grant. Add terms like “silent second” or “forgivable,” and it’s easy to assume it’s free money — even when it’s still a loan tied to the home.
Here’s how the main Delaware programs really work:
🔹 DSHA (Delaware State Housing Authority)
• Home Again, Welcome Home, and Diamond in the Rough
• 0% second loan (“silent second”)
• ❌ Not a grant
• ❌ Not forgivable
• ✅ Repaid when you sell or refinance
🔹 New Castle County DPA
• 0% second loan up to $10,000
• ❌ Not a grant
• ❌ Not forgivable
• ✅ Must be repaid
🔹 Sussex County Housing Trust
• 0% second loan
• ✅ Forgiven over 10 years if you stay in the home
• ❌ Not a grant
🔹 City of Dover – First Start
• 0% second loan up to $20,000
• ✅ Forgiven after 10 years
• ❌ Not a true grant
🔹 City of Wilmington – First Start
• 0% second loan
• ✅ Forgiven over time if you remain in the home
• ❌ Not a grant
• ✅ Repaid only if you sell or move out early
✨ Bottom line: Most “down payment help” is not free money, but some programs feel like it if you stay in the home long enough. DSHA assistance is always repayable, so knowing the difference before you buy is huge.
If you’re unsure what you’re being offered — or what happens later — ask before you sign. I’m always happy to walk you through it.
Amanda Broomall
Senior Loan Officer
Guild Mortgage
NMLS # 900029
📞 302‑437‑9234
✉️ [email protected]
Equal Housing Lender | Not a commitment to lend | Program terms subject to change
