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Down Payment Assistance Programs

There are several options available to assist you in obtaining funds for a down payment on a new home. Let's explore a few of them. However, keep in mind that qualification guidelines may vary, and certain programs may only work with specific loan types. To determine the best fit for your situation, it's advisable to consult with a trusted lender.

  1. Gift Money: One option is to receive gift money from friends or family to help with your down payment. However, depending on the type of mortgage you are using, there may be limits on the amount you can receive as a gift. Additionally, there are specific guidelines on how the funds should be transferred, and documentation will be required. Typically, the funds must be traceable from the donor's account to your account, and bank statements from both parties may be necessary.
  2. North Carolina Housing and Finance Agency Programs: The North Carolina Housing and Finance Agency offers various grant programs designed to assist homebuyers. While some of these programs are marketed as first-time buyer programs, the definition of a first-time buyer is flexible. In general, you may be considered a first-time buyer if you haven't owned a home in the past three years. Veterans may also qualify regardless of previous homeownership. The Home Advantage group of products includes a mortgage, a down payment assistance grant, and a tax credit program. Income limits and credit score requirements apply, and these programs are limited to US citizens purchasing owner-occupied properties in North Carolina.
  3. Lender and Builder Credits: Lenders and builders often provide credits that can be used towards your down payment or closing expenses. These credits may be targeted toward specific groups such as first responders, teachers, or other community members. Credit unions may also offer funds to their existing members when purchasing a home.

If you are eager to become a homeowner, reach out to our team, and we can connect you with a lender who can help you navigate the options available and determine the best approach for making your homeownership dreams a reality.

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