Buy a Home in Oregon with Little to No Money Down Through Oregon Housing & Community Services (OHCS) Flex Lending Programs
Dreaming of owning a home in Oregon but worried about saving for a down payment? Oregon Flex Lending programs can help you buy your home with minimal upfront cash through the FirstHome and NextStep loan programs, both paired with down payment assistance.
Is Oregon Flex Lending right for you? This program could be perfect for you if you:
Want to buy a home anywhere in Oregon
Have limited savings for a down payment
Have a credit score of 620 or higher
Meet county-specific income limits
Are willing to complete a homebuyer education course
Want access to down payment assistance
Getting into your Oregon home through Flex Lending follows four straightforward steps.
We are an OHCS-approved lender and will help you find the best program for your budget and location, whether it’s FirstHome, NextStep, or Pathways. Get pre-qualified so you can shop with confidence.
Take an OHCS-approved homebuyer education course online or in person. This requirement ensures that you’re prepared for homeownership and typically takes just a few hours. We will help you identify the best training course for you.
Search for homes within your county’s purchase price limits (if applicable). The home must be your primary residence. While Oregon Flex Lending does not allow duplexes, our proprietary Pathways program does.
Combine your Flex Lending first mortgage with OHCS down payment assistance to cover up to 100% of your purchase costs, including down payment and closing costs.
Not sure which program fits your situation? Here’s a quick comparison:
| Feature | FirstHome | NextStep | Pathways |
|---|---|---|---|
| First-Time Buyer Required | Yes, with exceptions | No | No |
| Homebuyer Education | Required | Required | Required |
| Minimum Down Payment | 0% possible with DPA | 0% possible with DPA | 0% possible with DPA |
| Down Payment Assistance | Yes (4% or 5% of the loan) | Yes (4% or 5% of the loan) | Yes (3.5% or 5% of the loan) |
| Credit Score Minimum | 620 | 620 | 580 |
| Income Limits | Yes, varies by county | Yes, varies by county ($125,000 max statewide) | No income limits |
| Purchase Price Limits | Yes, varies by county | No purchase price limits, but there are some loan limits | No price limits, but loan limit is FHA limit for the county |
| Property Types | 1 unit, owner-occupied | 1 unit, owner-occupied | 1–2 units, owner-occupied |
| Reduced Mortgage Insurance | Yes, in some cases | Yes, in some cases | No |
The Oregon FirstHome Loan is for first-time buyers who meet the program’s income limits.
The FirstHome program is a special loan for first-time homebuyers. It offers competitive interest rates, reduced mortgage insurance, and access to down payment assistance. This program helps qualified buyers purchase homes throughout Oregon with minimal cash out of pocket.
To qualify for FirstHome, you must:
When you use FirstHome, you can access OHCS down payment assistance (DPA) in the form of a second mortgage. The terms vary based on income level.
Not sure if FirstHome is the right fit? A quick pre-qualification can help identify your eligibility, available assistance, and next steps.
See if You QualifyNo obligation — this helps match you with the best program for your budget and county.
NextStep is Oregon’s most flexible homebuyer loan program with no first-time buyer requirement.
NextStep is Oregon’s most flexible homebuyer loan program with no first-time buyer requirement. If you’ve owned a home before, this program opens doors that other programs can’t.
NextStep offers:
Like FirstHome, NextStep can be paired with OHCS down payment assistance (DPA). The most beneficial DPA (at the lowest income level) has:
Want to know which program you’re eligible for (and how much assistance may be available)? A quick pre-qualification can point you in the right direction.
See if You QualifyNo obligation — this helps identify the best program for your budget and county.
Alternative Down Payment Assistance for Oregon Homebuyers
The Pathways program provides an alternative down payment assistance option for Oregon buyers who need help with upfront costs. Unlike FirstHome and NextStep, Pathways is a private, proprietary offering and is not income-based.
Pathways works well if you don’t qualify for FirstHome or NextStep but still need help covering your down payment and closing costs.
Every buyer’s situation is different. Talk with our team to compare Pathways, FirstHome, NextStep, and other Flex Lending options.
Contact Us to Find Out Which Program Is Best for YouNo obligation — we’ll help you understand your options before you move forward.
Realistic scenarios showing how different Oregon buyers use Flex Lending programs to achieve homeownership.
Scenario: A Portland couple buying their first home. Combined income $95,000. Credit scores 680 / 695. Savings $3,000.
Solution: FirstHome loan paired with OHCS down payment assistance.
Scenario: A Bend resident purchasing again after selling a home. Income $120,000. Credit score 625. Savings $5,000.
Solution: NextStep loan with OHCS down payment assistance.
Scenario: A single parent in Eugene buying a duplex. Income $84,000. Credit score 650. Savings $6,000.
Challenge: FirstHome doesn’t allow duplexes.
Solution: Proprietary Pathways program with FHA financing.
NW Capital Mortgage, a division of American Pacific Mortgage, is an OHCS-approved lender, fully authorized to originate FirstHome and NextStep loans throughout Oregon. We combine approval with expertise and direct relationships to help your Flex Lending transaction run smoothly from application to closing.
Navigating down payment assistance programs can feel complex — our team guides you through every step. We help you:
Tap a prompt below to see what we’ll focus on first.
We’ll start by checking FirstHome eligibility, county income/price limits, and your education requirement — then map out DPA options to reduce upfront cash.
We’ll look at NextStep first (no first-time buyer requirement) and confirm you don’t currently own other real estate — then structure DPA to support your down payment and closing costs.
We’ll prioritize strategies that minimize cash-to-close: DPA pairing, seller credits (where appropriate), and a clear plan for prepaids and closing costs.
Whether you’re a first-time buyer in Portland, a previous homeowner in Bend, or anyone in between, we’re here to help you achieve Oregon homeownership.
FirstHome is designed for first-time buyers with county-specific income limits and county-specific purchase price limits. NextStep has no first-time buyer requirement.
The NextStep program has no first-time buyer requirement.
FirstHome is designed for first-time buyers. This means you must not have owned a home in the past three years. However, exceptions exist for single parents, displaced homemakers, veterans, and buyers purchasing in targeted areas.
You need a minimum credit score of 620 to qualify for FirstHome and NextStep.
No. But we offer a more flexible down payment assistance program that allows this.
It depends on your income level. In some cases, you will have to repay the down payment assistance. The income limits vary by county. We will help you determine this when we do your loan pre-approval.
The FirstHome income limits in Oregon vary by county. We can provide current limits for your specific county.
Yes, you can use Flex Lending if you’ve owned a home before. If you haven’t owned a home in the past three years, you may qualify as a “first-time buyer” for FirstHome. If it’s been less than three years or you don’t meet FirstHome exceptions, NextStep is designed for you since it has no first-time buyer requirement.
OHCS stands for Oregon Housing and Community Services, the state agency that develops and oversees affordable homeownership programs. Flex Lending is OHCS’s umbrella term for the FirstHome and NextStep loan products, which are first mortgages that can be paired with OHCS down payment assistance to help Oregonians buy homes with minimal upfront cash.
No. If you meet the other program requirements, you can buy anywhere in Oregon.
Most OHCS-approved homebuyer education courses take six to eight hours to complete. Online courses allow you to work at your own pace, while in-person courses may be completed in a single day or over several sessions. This is quite an investment of time. We suggest you let us help you determine the best loan program for you before you take the homebuyer education course. If you end up using a different loan program, you may need to take a different course.
When you sell your home, refinance your first mortgage, or pay off the loan, you repay the down payment assistance second mortgage. However, in some cases, if you meet all the requirements, you may not need to repay the second mortgage. The requirements have to do with your income at time of purchase and how long you have owned the home.
Yes, you can refinance your Flex Lending first mortgage. However, keep in mind that refinancing requires you to repay the down payment assistance second mortgage at that time. We can help you run the numbers to ensure that refinancing makes financial sense after accounting for repaying the DPA.
Ready to Start Your Oregon Homeownership Journey?
Stop letting the down payment barrier keep you from owning your Oregon home. Whether you qualify for FirstHome or NextStep, or want to explore Pathways, we’re here to guide you through every step.
