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.

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

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.

Home Purchase Assistance Program (HPAP) is open to first-time homebuyers and homebuyers who will live in the home as their primary residence. "First-time" has exceptions here: No ownership interest in residential real estate within the prior 3 years. A homebuyer education course is required, through DHCD-funded CBOs: Housing Counseling Services, Latino Economic Development Center, Lydia's House, University Legal Services (8-hr training). Residency requirement: 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.

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.

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

Home Purchase Assistance Program (HPAP) names homebuyers 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.

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

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