The News Aurora Homebuyers Have Been Waiting For
For many Aurora families, the barrier to homeownership is not the monthly mortgage payment. It is the upfront cost, the down payment, closing costs, and the gap between what they have saved and what they need to get to the closing table.
That barrier just got smaller.
According to the Sentinel Colorado (December 2025), Aurora launched a new statewide-backed down payment assistance program specifically designed to help moderate-income residents become homeowners. The program covers up to 10% of a home’s purchase price and runs through October 31, 2026, or until the city’s allocation is exhausted.
Sarah Pulliam, Aurora’s housing and community development manager, put it directly: “We are proud to launch the Down Payment Assistance Program to make homeownership more achievable for the families and individuals who call Aurora home.”
Denver7 also reported on the program in December 2025, quoting Pulliam: “We just found that getting people into their own homes was something that was missing in our programs, so we wanted to bring that down payment assistance program back to support our residents becoming home buyers.”
What Does Aurora’s Down Payment Assistance Program Cover? Aurora’s new program covers up to 10% of your home’s purchase price. Assistance starts at 4% and is structured as a “silent” second loan, no monthly payments, due only when you sell, refinance, or pay off the primary mortgage. The program runs through October 31, 2026. Contact the city at brcarter@auroragov.org or 303-739-7900. |
How the Aurora Program Works
What “Silent Second Loan” Means
A silent second loan is one of the best structures available for buyers. Here is how it works:
- You receive assistance funds at closing to cover part of your down payment
- You make zero monthly payments on the assistance loan
- You pay no interest on the assistance funds during the life of your loan
- The loan is “due” only when you sell the home, refinance, or pay off your primary mortgage
- It is not forgiven, it is repaid from the equity you build over time
In plain terms: the city helps you get in the door. You build equity. When you eventually sell, the assistance is repaid from your proceeds. You keep the rest.
Program Amount and Range
Assistance starts at 4% of the purchase price and goes up to 10%. On Aurora’s median home price of approximately $535,000, that represents $21,400 to $53,500 in assistance, a meaningful difference for families who have been saving but falling short.
Aurora Down Payment Assistance Program at a Glance
To apply: brcarter@auroragov.org | 303-739-7900 More info: auroragov.org/residents/home_improvement/down_payment_assistance Source: Sentinel Colorado, Denver7, City of Aurora (December 2025) |
Aurora’s Other Homeownership Program: HOAP
In addition to the new state-backed program, Aurora also has its own Home Ownership Assistance Program (HOAP), which offers:
- Up to $10,000 at zero interest for first-time buyers
- Covers down payment and closing costs
- Requires at least 1% contribution from the buyer’s own funds
- Silent loan structure — no monthly payments
- Requires completion of a homebuyer education course
HOAP details: auroragov.org/residents/home_improvement/down_payment_assistance
Statewide Programs Aurora Buyers Can Stack With Local Assistance
Aurora buyers are not limited to city programs. Multiple Colorado and federal programs can be combined for maximum benefit.
CHFA — Colorado Housing and Finance Authority
CHFA offers statewide first-time buyer programs including:
- CHFA FirstStep — 30-year fixed FHA loan, minimum 620 credit score
- CHFA Preferred — Conventional loan, starts at $1,000 buyer contribution
- CHFA Preferred Plus — Second mortgage up to 4% of first mortgage for down payment
- CHFA HomeAccess — Up to $25,000 second mortgage for down payment and closing costs
MetroDPA
MetroDPA is a Denver metro-area program offering down payment assistance specifically for moderate-income buyers in the Aurora region. Combine with CHFA or Aurora’s local program for maximum impact.
Colorado Housing Assistance Corporation (CHAC)
CHAC provides down payment assistance for buyers at or below 80% of area median income, plus homebuyer education courses available in English and Spanish.
FHA Loans — 3.5% Down
Colorado’s 2026 FHA loan limit is $816,500. FHA loans require only 3.5% down with a 580+ credit score. Pair with Aurora’s assistance to dramatically reduce out-of-pocket costs.
What The District Credit Union Can Do for Aurora Home Buyers DCU works with Aurora families at every stage of the homebuying journey:
APS staff and DCU members: ask us about programs designed specifically for educators and school employees. 303.360.0987 | districtcreditunion.com | 751 Chambers Road, Aurora CO |
Step-by-Step: How to Apply for Aurora’s Down Payment Assistance
Step 1: Check your eligibility.
The program targets moderate-income Aurora residents. Contact the city’s housing team to confirm income limits for your household size: brcarter@auroragov.org or 303-739-7900
Step 2: Complete a homebuyer education course.
Most assistance programs require this before you can apply. CHAC offers courses in English and Spanish for $75. Find courses at chac-colo.org
Step 3: Get pre-qualified for a mortgage.
Your pre-qualification tells you what price range you can afford and confirms you meet the mortgage requirements that accompany the assistance. Call DCU at 303.360.0987.
Step 4: Submit your application.
Visit auroragov.org/residents/home_improvement/down_payment_assistance to access the application. Apply as early as possible — the program runs until October 31, 2026 or until funds run out.
Step 5: Gather your documents.
You will typically need:
- Government-issued photo ID
- Most recent 2 years of tax returns
- 60 days of bank statements
- Pay stubs from the last 30 days
- Proof of homebuyer education completion
- Pre-qualification letter from your lender
Step 6: Work with an approved lender and find your home.
Once approved, you work with your lender to find a qualifying property. The assistance funds are applied at closing, you do not receive them directly.
What Aurora Families Should Know
The program runs through October 31, 2026, but “until funds are exhausted” is the more important phrase. Proposition 123 statewide funding saw $141.9 million in requests against $108.4 million awarded in the most recent cycle. Demand outpaces supply. Apply early.
The Colorado Department of Local Affairs (DOLA) reports that in the 2024–2025 fiscal year, down payment assistance funds helped support 114 home purchases statewide. That number will grow in 2026 and Aurora’s allocation will go to buyers who move first.
The Bottom Line
Aurora built this program because it recognized what its residents already knew: the monthly payment was manageable, but the upfront cost was the wall. For APS staff, young families, and longtime Aurora renters who have been watching the market and waiting, this program removes the biggest single obstacle between where you are and owning your home.
The District Credit Union is Aurora’s credit union. We are here to help you understand every program you qualify for, get pre-qualified, and move with confidence. Call us at 303.360.0987 or visit districtcreditunion.com
Sources and Resources
All sources verified March 2026:
- Sentinel Colorado — New Program Helps Aurora Homebuyers Overcome Down-Payment Hurdle (December 2025)
- Denver7 — Aurora Is Helping Make Homeownership Achievable Through a Down Payment Assistance Program (December 2025)
- City of Aurora — Down Payment Assistance Program
- Colorado DOLA — Down Payment Assistance (Proposition 123)
- CHFA — Colorado Housing and Finance Authority Down Payment Assistance
- The Mortgage Reports — Colorado First-Time Home Buyer Programs 2026
- Colorado Department of Housing — Homeownership Support
- City of Aurora Housing Contact: brcarter@auroragov.org | 303-739-7900
- The District Credit Union