CBC Mortgage Chenoa Fund FHA Forgivable DPA: Complete Guide 2026

Are you dreaming of buying a home in Las Vegas but struggling to save for a down payment? CBC Mortgage’s Chenoa Fund FHA forgivable down payment assistance (DPA) could be the solution you’ve been looking for. This innovative program combines the benefits of FHA financing with forgivable down payment assistance, making homeownership accessible to more Nevada families.

In this guide, you’ll discover exactly how the CBC Mortgage Chenoa Fund works, who qualifies, and how Las Vegas homebuyers can take advantage of this powerful financing tool. With over 15 years helping families navigate Las Vegas real estate, I’ve seen firsthand how DPA programs transform dreams into keys in hand.

What is CBC Mortgage Chenoa Fund FHA Forgivable DPA?

The CBC Mortgage Chenoa Fund FHA forgivable DPA is a down payment assistance program that provides up to 3.5% of your home’s purchase price to cover your FHA down payment. The key word here is “forgivable” – this isn’t a loan you’ll pay back monthly.

Instead, the assistance is forgiven over time as long as you remain in your home. CBC Mortgage partners with FHA lending to offer this program, making it easier for moderate-income families to achieve homeownership without the burden of saving thousands for a down payment.

The program works alongside your primary FHA mortgage, covering the typical 3.5% down payment requirement. For a $400,000 home in Summerlin – a common price point in today’s Las Vegas market – this could mean $14,000 in down payment assistance.

How CBC Mortgage Chenoa Fund Works

The Chenoa Fund operates as a second mortgage that sits behind your primary FHA loan. Here’s how the structure works:

Your primary FHA mortgage covers 96.5% of the home’s value, while the Chenoa Fund covers the remaining 3.5% down payment. This creates a true zero-down financing solution for qualified buyers.

The “forgivable” aspect means the second mortgage balance decreases each year you live in the home. Typically, the loan forgives at a rate of 20% per year over five years. If you stay in your home for the full five-year period, the entire DPA amount is forgiven – you never have to pay it back.

CBC Mortgage handles both loans, streamlining the process and ensuring smooth coordination between your primary mortgage and the down payment assistance. This single-lender approach eliminates many of the complications that can arise with multiple financing sources.

Eligibility Requirements for Las Vegas Buyers

To qualify for CBC Mortgage Chenoa Fund FHA forgivable DPA in Nevada, you must meet specific income and credit requirements. The program targets moderate-income homebuyers, with income limits varying by family size and location.

In Clark County, which includes Las Vegas, Henderson, and North Las Vegas, a family of four can typically earn up to $95,000 annually and still qualify. Single buyers can earn up to approximately $85,000, though these limits are updated annually based on area median income.

Credit score requirements align with FHA standards, meaning you can qualify with a credit score as low as 580 for the 3.5% down payment option. Some CBC Mortgage programs may accept scores as low as 560 with additional compensating factors.

The property must serve as your primary residence – you can’t use this program for investment properties or vacation homes. Additionally, you’ll need to complete a homebuyer education course, which many Las Vegas housing counseling agencies offer both online and in-person.

Benefits Beyond the Down Payment

While the forgivable down payment assistance is the headline benefit, CBC Mortgage Chenoa Fund offers additional advantages for Las Vegas homebuyers. The program allows for gift funds to cover closing costs, making it possible to purchase with minimal out-of-pocket expenses.

Seller concessions up to 6% of the purchase price are permitted, which can cover most or all of your closing costs. In competitive markets like Green Valley or Anthem, this flexibility can make your offer more attractive while keeping your cash requirements low.

The program also accepts non-traditional credit sources, which helps buyers who may not have extensive credit histories but demonstrate responsible payment patterns through rent, utilities, or other regular obligations.

Interest rates on the primary FHA mortgage remain competitive with standard FHA loans. The DPA portion typically carries a higher rate, but since it’s designed to be forgiven, this has minimal long-term impact on most borrowers.

Application Process and Timeline

Starting your CBC Mortgage Chenoa Fund application begins with finding an approved lender. CBC Mortgage works with a network of approved loan officers who understand the program’s specific requirements and can guide you through the process.

Pre-qualification typically takes 24-48 hours, giving you a clear picture of your buying power before you start shopping for homes. This is crucial in Las Vegas’s competitive market, where sellers often prefer buyers with solid financing commitments.

The complete application process mirrors standard FHA timelines, usually taking 30-45 days from application to closing. However, the additional DPA component may add a few days for final underwriting approval.

You’ll need standard mortgage documentation: pay stubs, tax returns, bank statements, and employment verification. The DPA portion requires additional income verification to ensure you fall within the program’s guidelines.

Getting Expert Help with Down Payment Assistance

Navigating DPA programs like CBC Mortgage’s Chenoa Fund requires expertise in both FHA lending and assistance program requirements. Grand Prix Realty works with qualified Las Vegas buyers to connect them with approved lenders and guide them through the homebuying process.

Our buyer specialists understand how DPA programs work with Las Vegas market conditions and can help you identify properties that work well with this financing structure.

👉 Search Las Vegas Homes Perfect for DPA Programs →

Key Takeaways

• CBC Mortgage Chenoa Fund provides up to 3.5% forgivable down payment assistance for FHA loans
• The assistance is forgiven over five years, creating true zero-down financing for qualified buyers
• Income limits in Las Vegas allow families earning up to $95,000 to potentially qualify
• Credit scores as low as 580 are acceptable, making the program accessible to many buyers
• The program combines with seller concessions and gift funds to minimize out-of-pocket costs

Frequently Asked Questions

What happens if I sell my home before the five-year forgiveness period?

If you sell before the forgiveness period ends, you’ll need to repay the remaining unforgiven balance from your sale proceeds. For example, if you sell after three years, you’d repay 40% of the original DPA amount.

Can I use CBC Mortgage Chenoa Fund for condos in Las Vegas?

Yes, the program works for FHA-approved condominiums. Many Las Vegas condo complexes are FHA-approved, but your lender will verify approval status during the application process.

Are there restrictions on the type of home I can buy?

The property must be your primary residence and meet FHA property standards. This includes single-family homes, townhomes, and approved condominiums throughout the Las Vegas valley.

Conclusion

CBC Mortgage Chenoa Fund FHA forgivable DPA opens doors for Las Vegas families who thought homeownership was out of reach. By combining FHA financing with forgivable down payment assistance, this program addresses the biggest barrier most buyers face – saving for a down payment.

Whether you’re looking in Henderson, North Las Vegas, or anywhere in the valley, understanding your DPA options can accelerate your path to homeownership. Grand Prix Realty’s experienced team helps buyers navigate these programs and find their perfect Las Vegas home with confidence.