Redevelopment Agency Housing Programs

Home Ownership and Affordable Housing in South Jordan

South Jordan City is anticipated to remain a highly desirable place to live even as housing costs outpace local wages. Through the City’s Redevelopment Agency (RDA), the City funds affordable housing programs that support the community through economic growth as well as economic downturn.

Down Payment Assistance Program

The purpose of the Housing Down Payment Assistance Program (DPA) is to improve the quality of life for families and strengthen the community by helping qualified low- and moderate-income households to purchase housing in South Jordan City. The program seeks to assist households who otherwise would not be able to become homeowners in achieving this goal. Program funding is provided as a loan that converts to a grant if all terms of the program are met.

How much assistance can I get?

The maximum amount of assistance offered through the Down Payment Assistance Program is 7.5% of the actual purchase price of the residence or $20,000, whichever is less.

What are the terms?

  • The term of the agreement shall be for 10 years.
  • The residence purchased must be the permanent and primary residence of the homebuyer after closing.
  • The homebuyer shall continue to reside in the residence throughout the ten-year agreement term. If the homebuyer does this, no repayment of the assistance will be required upon resale or rental thereafter.
  • If the homebuyer sells the residence during the ten-year agreement term, they must repay a prorated amount. For example, if the DPA assistance was $20,000 and the homeowner sells the home after 5 years, 50% of the DPA ($10,000) must be repaid to the City RDA.
  • If the residence is leased, rented, sublet or the like at any time during the ten-year agreement term, the homeowner must repay the full amount of DPA assistance.
  • If the residence is sold or rented within the first two years of the term, the homeowner must pay a $5,000 penalty in addition to the above payback requirements.

Income Eligibility (Effective Thru 6/30/2024):

Household Size
Eligible Annual Income
$59,400 or below
2$67,850 or below
3$76,350 or below
4$84,800 or below
5$91,600 or below
6$98,400 or below
7$105,200 or below
$111,950 or below


The applicant, along with all others over the age of 18 who will reside in the residence to be purchased, shall have a combined family income that is no more than 80% of the current median annual income for Salt Lake County, as published annually by HUD (see above). Married applicants or applicants with a partner must co-apply for the DPA even if only one of them is obtaining the first mortgage.

Only owner-occupied units located within South Jordan City limits are eligible for consideration. Present ownership interest shall disqualify an applicant from eligibility.  The homebuyer must pay a down payment towards the purchase of the residence of at least $1,000. A maximum of $20,000 of the applicant’s own funds may be contributed toward the purchase of the property.

The applicant must qualify for and receive fixed-rate financing for the purchase of the residence through a customary mortgage lender before applying for DPA assistance.  The program does not allow for co-signers that will not be owner-occupants of the house being purchased.

Applicants must have a minimum mid-credit score of 650 or higher. Monthly Housing Expense Ratio (HER) cannot exceed 33% of the household monthly gross income if their mid-credit score is 650-699 and cannot exceed 35% if their mid-credit score is 700 or higher. Housing expenses or “PITI” includes taxes, insurance, principle payment and HOA fees of the new home loan.

Total debt-to-income ratio (DTI) cannot exceed 43% of the household monthly gross income if applicant’s mid-credit score is 650-699 and cannot exceed 45% if their mid-credit score is 700 or higher. This includes existing monthly debt payments and monthly payment of the new home loan.

How to Apply

  • Applicants must submit a complete application package including the following materials:
  • Completed and signed application
  • Copies of Federal tax returns
  • Proof of income
  • Copies of bank statements
  • Home Ownership Class certificate or receipt indicating course has begun
  • Loan pre-approval letter from lender (dated within the last 30 days)
  • Documentation for all debts
  • Proof of identity