The First-Generation Homebuyers Community Down Payment Assistance Fund will provide down payment assistance and closing cost assistance to borrowers seeking to purchase a home in Minnesota.
Eligibility
Minnesota's First-Generation Homebuyers Community Down Payment Assistance Fund defines a first-generation homebuyer as someone who has never owned a home in any country, or who owned a home at one point and lost it due to foreclosure AND whose parent or prior legal guardian never owned a home in any country, or owned a home and lost it due to foreclosure.
The total income of all buyers (everyone listed on the mortgage loan) must be at or below $132,400 for buyers currently living in the 11-county Twin Cities Metro area (Anoka, Carver, Chisago, Dakota, Hennepin, Isanti, Ramsey, Scott, Sherburne, Washington and Wright).
The first-generation buyer on the loan must have completed an approved homebuyer education workshop within the last 12 months. This workshop must be completed BEFORE executing a Purchase Agreement.
Loan Terms
Eligible recipients can receive up to ten percent of a home’s purchase price, capped at $32,000.
The down payment assistance provided under this program is a zero-interest loan that is forgiven over five years (20% forgiven each year), as long as the homebuyer lives in the home as their primary residence.
Application
Initial funding for the First-Generation Homebuyers Community Down Payment Assistance Fund has been exhausted. The application portal is closed for the remainder of the year. Sign up here to stay informed about future funding.