Layton City Increases Home Down Payment Grant to Help Homebuyers

Mortgage rates in Utah recently increased from 3.76% in February to 5.87% in June, one of the most drastic increases on record in such a short timeframe. According to the University of Utah’s Kem C. Gardner Policy Institute consumers typically see prices moderate or even stall with such rapidly rising rates. However, Utah’s housing prices increased 24.4% between April 2021 and April 2022, all while rates increased from 3.06% to 4.98% in the same period.  The median monthly mortgage payment also increased from approximately $1,629 to $2,556 — rising 56%.

With the upsurge in interest rates and prices, close to 71% of Utah’s households are currently priced out of a median-priced home; or forcing buyers to spend ever-larger shares of their pay on housing costs. This widening chasm between the cost of available housing and what homebuyers actually pay is an underlying driver behind Utah’s current housing predicament.

With the current housing challenge in mind, Layton City’s home down payment assistance to qualified homebuyers can be substantial benefit. The city’s “At Home in Layton” program now provides a generous $10,000 in grant funding (previously $7,500) to assist with a home down payment, closing costs, or even principal reduction.

Grant monies set aside for down payment assistance are made possible by the U.S. Department of Housing and Urban Development’s (HUD) Community Development Block Grant (CDBG) program. The program allows for funding to be disbursed within qualified communities across the country, including Layton.

The CDBG program year covers July 1 through June 30. Grants are secured by a Promissory Note and Trust Deed against the property being purchased. If the home is sold before the end of the fifth year from the closing date, at least a portion of the funds would need to be repaid to the City.

To apply for home down payment assistance, contact Morgan Cloward, Layton City CDBG & Economic Development Specialist,, 801-336-3770.