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Home Purchase Assistance Program (HPAP)

DC Dept. of Housing & Community Development (DHCD) · Washington, District of Columbia

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Assistance

$202,000

The maximum the program publishes — not an offer

Income limit

110% AMI

Of area median income; varies by county and household size

Repayment

Deferred

No payments until the home is sold or refinanced

What is Home Purchase Assistance Program (HPAP)?

Home Purchase Assistance Program (HPAP) is a deferred second loan for homebuyers in Washington, District of Columbia, administered by DC Dept. of Housing & Community Development (DHCD).

  • DHCD interest-free deferred gap-financing loan (up to $202,000) plus up to $4,000 closing assistance for first-time buyers of a single-family home, condo, or co-op in DC; amount scales by income, household size, and need.
  • Up to $202,000 gap financing + up to $4,000 closing.
  • 0% interest.
  • Fully deferred below 80% MFI.
  • 5-yr deferral then 40-yr principal-only (80-110% MFI).
  • Funding comes from State.

How much assistance does it provide?

Home Purchase Assistance Program (HPAP) offers up to $202,000 in assistance.

  • The program asks buyers to contribute $500 or 50% of liquid assets over $3,000, whichever is greater (waivable for elderly/disabled/displaced).
  • The program can be combined with EAHP, DC4ME, and DC Open Doors.
  • Amounts are the program's published maximums, not an offer — DC Dept. of Housing & Community Development (DHCD) determines any individual award.

Do you have to pay it back?

Home Purchase Assistance Program (HPAP) is deferred, so no payments are due until the home is sold, refinanced, or the first mortgage is paid off.

  • Repayment is triggered by Sale/transfer, Cash-out refinance, and No longer primary residence.
  • The assistance is recorded in 2nd Lien position.
  • Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

Home Purchase Assistance Program (HPAP) is open to first-time homebuyers and buyers who will live in the home as their primary residence.

The program requires

  • First-time homebuyer — with exceptions: No ownership interest in residential real estate within the prior 3 years.
  • The home is occupied as a primary residence
  • A completed homebuyer education course, through DHCD-funded CBOs: Housing Counseling Services, Latino Economic Development Center, Lydia's House, University Legal Services (8-hr training)
  • Residency: DC residents prioritized; non-residents must have worked in DC 1 year or lived in DC 3 consecutive years.
  • Head of household + first-time buyer; apply through a DHCD-funded CBO; 8-hr training; FY2026 funding first-come. No seller-backed financing.

The program excludes

  • Households above 110% 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?

Home Purchase Assistance Program (HPAP) limits household income to 110% of the area median income, which varies by county and household size.

  • Very low- to moderate-income up to 110% MFI, scaled by household size/tier (eff. for loans closed after 6/1/2025).
  • 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?

Home Purchase Assistance Program (HPAP) can be used for Single Family, Condo, and Cooperative.

Is there eligibility for specific groups?

Home Purchase Assistance Program (HPAP) names buyers with disabilities among the groups it serves.

  • Being named here means the program mentions the group, not that membership alone qualifies an applicant — the rest of the eligibility rules still apply.

Where does it apply?

Home Purchase Assistance Program (HPAP) serves buyers purchasing in Washington, District of Columbia.

How do you apply?

Applications for Home Purchase Assistance Program (HPAP) go through DC Dept. of Housing & Community Development (DHCD), which publishes the current terms and the application steps on its own site.

  1. Take a homebuyer education course

    Required by the program, through DHCD-funded CBOs: Housing Counseling Services, Latino Economic Development Center, Lydia's House, University Legal Services (8-hr training).

  2. Contact DC Dept. of Housing & Community Development (DHCD) to reserve funds

    Funds are reserved with the provider 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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