These answers are right on. Down Payment Assistance programs such as AmeriDream that were helping 100,000 himeowners a year achieve the American dream were eliminated in October 2008. These were Seller participated programs where the Seller was willing to make a contibution to the AmeriDream Non-Profit from their proceeds at closing. In turn AmeriDream would gift the funds to the Buyer upfront to qualify and close the loan. It's a shame that the Government has hurt Buyers like you from participating in these programs. There is a stong effort by AmeriDream to have these programs inacted back into law. HR600 is a bill introduced in Congress to Modify Down Payment Assistance Programs with Seller participation. Get
involved and have your voice heard that you want these programs back so you too can have the American dream. Go to the link below and it will take you to AmeriDream's 'Call to Action'.