Great news for 2025: Utah’s First‑Time Homebuyer Program (S.B. 240) still offers up to $20,000 you can put toward a qualifying new construction home priced at ≤ $450,000. Funds can be used for a down payment, closing costs, or a permanent interest rate buydown on a Utah Housing first mortgage.
Up to $20,000New construction only≤ $450,000 purchase price0% interest; typically repaid at sale/refiAdministered by Utah Housing Corporation
Source: Utah Legislature S.B. 240 & Utah Housing Corporation.
How S.B. 240 Works in 2025
What you can use it for
- Down payment
- Closing costs
- Permanent mortgage rate buydown
Assistance is a 0% interest, no‑monthly‑payment loan recorded as a subordinate lien.
What qualifies
- Newly constructed, not yet occupied homes
- House, condo, townhome, or similar one‑unit dwelling (manufactured/modular on permanent foundation eligible)
- Owner‑occupied within 60 days of closing
- Purchase price at or under $450,000
Who qualifies
- First‑time buyer (no ownership interest in the past 3 years; exceptions apply for certain single parents/displaced homemakers)
- Utah resident for at least 12 months prior to closing
- Credit‑qualified for a Utah Housing first mortgage with a participating lender
- Meet Utah Housing program income limits
Repayment basics
- 0% interest; no monthly payment
- Due at sale or refinance: the lesser of the assistance received or 50% of home equity at that time
- Can be re‑subordinated if refinancing into another Utah Housing loan
2025 income snapshot (Salt Lake City metro)
Utah Housing sets income limits by loan program. For general context, HUD’s 2025 LOW‑income limits in the Salt Lake City Metro are:
- $68,750 for a 1‑person household
- $88,350 for a 3‑person household
- $98,150 for a 4‑person household
Check program‑specific limits with your Utah Housing participating lender.
Daybreak Homes Under $450,000
Here at Daybreak, you’ve got some choosing to do to find a home eligible for the first-time homebuyer program. We have oodles of new construction homes, from charming to magnificent and right size to king size.
See move-in ready homes in Daybreak for less than $450,000, here. If building a new home is in your future, you’ll want to review our floor plans for homes under $450,000.
Complete Guide for First-time Homebuyers in Utah
Being a first-time homebuyer in Utah can be a little overwhelming, afterall it is a big investment financially and emotionally. And since buying your first home is one of the biggest milestones of your adult life, you’re going to want to do it right. Here’s everything you need to know as a first-time home buyer in Utah. From financing to picking the right house- we’ll help you! Read the Complete Guide for First-time Home Buyers in Utah.
How to Use S.B. 240 in Daybreak
- Get pre‑qualified with a Utah Housing participating lender and ask about S.B. 240.
- Tour new construction in Daybreak that fits the ≤ $450,000 cap.
- Reserve funds (your lender submits a reservation; extensions may be available).
- Close + move in (owner‑occupied within 60 days).
FAQs
Is the program still available in 2025?Can I combine S.B. 240 with Utah Housing down payment assistance?Do I have to repay the assistance?Does it only apply to new construction?What price cap applies in 2025?
Plan a Visit to Daybreak
Start at the Daybreak Info Studio inside Cove House for maps, model home options and help connecting with participating lenders.
Next step: See current model homes
Address: 6650 W. Lake Avenue, South Jordan, UT 84009
Hours: Monday–Saturday, 10am–6pm
