Of all the county DPA programs in Utah, Davis County''s is one of the cleanest. No complex application portal. No lottery. The $10,000 forgivable loan is a genuine program with real money, and if you''re buying in Davis County and haven''t owned in 3 years, it''s worth knowing about before you get into contract.
What the program actually is
Davis County runs a first-time home buyer assistance program through their housing office. The core offer: a loan of up to $10,000, recorded as a second lien against your property. Every year you live in the home as your primary residence, 20% of the original balance is forgiven. After 5 years, the balance is zero — no payoff, no refinance required.
If you sell before 5 years, you repay the unforgiven portion at closing. It comes out of proceeds, not out of pocket.
The forgiveness schedule
| Point in time | Amount forgiven | Remaining balance |
|---|---|---|
| Closing day | 0% | $10,000 |
| After year 1 | 20% | $8,000 |
| After year 2 | 40% | $6,000 |
| After year 3 | 60% | $4,000 |
| After year 4 | 80% | $2,000 |
| After year 5 | 100% | $0 — fully forgiven |
No monthly payments. No interest. It just sits there and shrinks as long as you''re living in the home.
Who qualifies
- First-time buyer: Haven''t owned a primary residence in the past 3 years.
- Income limits: Household income at or below 80% AMI for Davis County — roughly $68,000–$79,000 depending on household size in 2026.
- Primary residence: You have to live in the home.
- Homebuyer education: HUD-approved course required before closing.
- Approved lender: Must use a Davis County program-approved lender — not all lenders qualify.
Which cities are covered
The program covers the entire county — not just Layton or Bountiful. Every city within Davis County qualifies: Bountiful, Woods Cross, North Salt Lake, Centerville, Farmington, Kaysville, Layton, Clearfield, Clinton, West Point, Syracuse, South Weber, Fruit Heights, and all unincorporated Davis County areas.
What $10,000 looks like at closing
Here''s a rough example on a $340,000 home with an FHA loan:
| Item | Amount |
|---|---|
| Purchase price | $340,000 |
| FHA down payment (3.5%) | $11,900 |
| Closing costs (est.) | $8,500 |
| Total needed | $20,400 |
| Davis County DPA | −$10,000 |
| Seller concession (negotiated) | −$8,500 |
| Out of pocket at closing | ~$1,900 |
That $1,900 covers earnest money already paid. For most buyers using this structure, actual cash at closing is close to zero.
The Hill AFB combination
Layton and Clearfield sit directly adjacent to Hill Air Force Base. For veterans using a VA loan, the combination is hard to beat:
- VA loan: zero down payment, no PMI
- Davis County DPA: $10,000 forgiven over 5 years
- VA seller concession: up to 4% of purchase price for closing costs
Run these together and the cash required at closing can genuinely be zero. The main variable is whether the seller agrees to a concession — in a competitive situation that''s a negotiation, not a guarantee, but it''s a real option.
Stacking with UHC
The Davis County DPA is specifically designed to work alongside Utah Housing Corporation loan programs. Stack both on a $350,000 purchase:
- UHC first mortgage: $350,000 (30-year fixed)
- UHC DPA second mortgage: $21,000 (6% of loan)
- Davis County forgivable loan: $10,000
- Total assistance: $31,000
Not every lender knows how to structure this. Ask specifically whether they''ve done UHC + Davis County DPA in the same transaction before.
What can go wrong
Income too high: The 80% AMI limit is stricter than UHC''s limits. If your household income is $85,000, you may miss Davis County DPA but still qualify for UHC. Worth checking both.
Wrong lender: Not every mortgage lender is on the Davis County approved list. Confirm before you get pre-approved.
Selling early: Sell after 18 months and you''ll repay about $8,000 of the $10,000 — it comes out of your equity at closing, not out of pocket. But some buyers are surprised at the settlement table.
Not primary residence: Rent the home out within the 5-year period and the entire remaining balance becomes due. Don''t count on renting it out later without repaying.
Questions? Here''s where to start
The fastest way to know if you qualify is a 15-minute call where we look at your income, the price range you''re targeting, and whether the program makes sense for your situation. Reach out here or call (801) 414-2212.