Down payment assistance helps you cover your down payment as a first-time home buyer. When you buy a home, you’ll usually have to put money down that’s equal to a percentage of your home’s final purchase price. This is called your down payment.

The amount you’ll need will vary, and some mortgage programs don’t require a down payment at all. Coming up with this upfront cash may not be super-easy for everyone, which is why down payment assistance grants, loans and programs were created to help first-time buyers.

Down payment assistance comes in the form of grants, forgivable loans (at 0% interest), deferred payment loans (at 0% interest), low interest loans, and matched savings programs, and it’s typically reserved only for borrowers who qualify as first-time home buyers. Down payment assistance programs can be run by a variety of organizations, including the U.S. Department of Housing and Urban Development (HUD), your local or state housing authority, or a nonprofit.

Eligibility is determined by your household income and credit history, and it varies by state and program. You’ll typically need to apply for assistance by submitting a formal application, and sometimes you’re also required to attend training or home buyer education on the mortgage process and maintaining finances.

How much money you’re awarded differs depending on the program. Some programs offer a percentage based on the home’s sale price, while others cap assistance at a certain dollar amount. When looking at programs to apply for, research their requirements, whether it’s a grant or a loan, and how much assistance you can receive.  In addition, you should look to make sure the you’re applying for will be acceptable to your lender.