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Homeownership Assistance Program (City of Auburn)

City of Auburn Community Services Department (with subrecipient North Auburn Housing Development Corporation) · Auburn, Alabama

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Assistance

$3,000

The maximum the program publishes — not an offer

Income limit

80% AMI

Of area median income; varies by county and household size

Repayment

Deferred

No payments until the home is sold or refinanced

What is Homeownership Assistance Program (City of Auburn)?

Homeownership Assistance Program (City of Auburn) is a deferred second loan for homebuyers in Auburn, Alabama, administered by City of Auburn Community Services Department (with subrecipient North Auburn Housing Development Corporation).

  • The City of Auburn uses CDBG funds to help low- and moderate-income first-time buyers by providing a deferred 3rd-mortgage of up to $3,000 toward closing costs and up-front expenses. In addition, the North Auburn Housing Development Corporation (NAHDC) offers qualified applicants a 30-year, low-interest amortized loan of up to $20,000, which lowers the buyer's interest costs and monthly payment. Applicants must be pre-approved for financing, contribute a minimum $500 down payment, have reasonably good credit, meet HUD income limits, and complete housing counseling.
  • Deferred 3rd-mortgage up to $3,000 for closing costs.
  • NAHDC 30-year low-interest loan up to $20,000.
  • Lowers monthly payment and interest costs.
  • Housing counseling provided.
  • Only $500 minimum buyer down payment required.
  • Funding comes from Community Development Block Grant (CDBG) from HUD; NAHDC financing.

How much assistance does it provide?

Homeownership Assistance Program (City of Auburn) offers up to $3,000 in assistance.

  • The program can be combined with other assistance, subject to the rules of each.
  • Amounts are the program's published maximums, not an offer — City of Auburn Community Services Department (with subrecipient North Auburn Housing Development Corporation) determines any individual award.

Do you have to pay it back?

Homeownership Assistance Program (City of Auburn) is deferred, so no payments are due until the home is sold, refinanced, or the first mortgage is paid off.

  • The assistance is recorded in Third position.
  • Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

Homeownership Assistance Program (City of Auburn) is open to first-time homebuyers and buyers who will live in the home as their primary residence.

The program requires

  • First-time homebuyer — the program sets its own definition
  • The home is occupied as a primary residence
  • On credit: Applicant must have reasonably good credit with no outstanding delinquent federal debt.
  • A completed homebuyer education course, through Housing counseling sessions coordinated by the City of Auburn Community Services Manager.
  • Residency: Home must be purchased within the City of Auburn.
  • Applicant must have a minimum down payment of $500 and be pre-approved for financing. Exact HUD income dollar limits, max purchase price, and credit score cutoff are not published on the official page and are omitted.

The program excludes

  • Households above 80% of area median income

These are the program's own published rules, not a decision about any individual — the administering agency and a lender determine who actually qualifies.

What are the income limits?

Homeownership Assistance Program (City of Auburn) limits household income to 80% of the area median income, which varies by county and household size.

  • Applicants must meet HUD income limits for the Auburn-Opelika, AL area (program serves low- and moderate-income individuals). Exact dollar table not published on this page.
  • The limit applies to total household income, not only the borrower’s.
  • Area median income figures are published by HUD and updated annually, so check the current table for the county before relying on a number.

What kind of home can it be used for?

Homeownership Assistance Program (City of Auburn) can be used for Single Family.

  • New construction is eligible.

Where does it apply?

Homeownership Assistance Program (City of Auburn) serves buyers purchasing in Auburn, Alabama.

How do you apply?

Applications for Homeownership Assistance Program (City of Auburn) go through City of Auburn Community Services Department (with subrecipient North Auburn Housing Development Corporation), which publishes the current terms and the application steps on its own site.

  1. Take a homebuyer education course

    Required by the program, through Housing counseling sessions coordinated by the City of Auburn Community Services Manager..

  2. Contact City of Auburn Community Services Department (with subrecipient North Auburn Housing Development Corporation) to reserve funds

    Funds are reserved through Application through the City of Auburn Community Services Department at Boykin Community Center; appointment with the Community Services Manager required., and are subject to availability.

  3. Work with a lender who handles the program

    Hey Prescott is not a lender and does not accept applications; this page describes the program so a buyer can take it to a lender or housing counselor.

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