How to show Down Payment Assistance in MortgageCoach

If the assistance is actually a 2nd lien and incurs a payment, you would add it as a second lien. Most DPA programs usually don't require a payment unless the home is sold or refinanced, so you can enter the amount of the DPA as a credit in MortgageCoach to reduce the cash to close.

To show Down Payment Assistance (DPA) with no second lien payment (also known as a silent second lien), use the Closing Cost Details button to add the Down Payment Assistance fee option (click Add Fee, then select Down Payment Assistance from the dropdown menu). This fee has built-in logic that automatically reduces the borrower's cash to close based on this positive data entry. Because there is no monthly payment associated with this assistance, you do not need to add a second lien to the strategy at all.