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Homes by CFE Down Payment Assistance Program

City First Homes, Inc. (dba Homes by CFE) · Washington, District of Columbia

Last verified
See what you qualify forOfficial program site →
Assistance

$100,000

The maximum the program publishes — not an offer

Income limit

120% AMI

Of area median income; varies by county and household size

Price cap

$584,400

Highest purchase price the program allows

Repayment

Shared appreciation

Settled on the terms set by City First Homes, Inc. (dba Homes by CFE)

What is Homes by CFE Down Payment Assistance Program?

Homes by CFE Down Payment Assistance Program is a shared-appreciation loan for homebuyers in Washington, District of Columbia, administered by City First Homes, Inc. (dba Homes by CFE).

  • Homes by CFE is a Special Purpose Credit Program from City First Homes (a DC-government-supported 501(c)(3), NMLS #1503997) that provides up to 20% of a home's purchase price (max $100,000) as down payment assistance, plus up to $10,000 in closing cost assistance for borrowers at or below 100% MFI. The borrower makes interest-only monthly payments, and the total assistance is repaid when the home is sold or refinanced. The program is designed to expand homeownership for African American/Black and Hispanic/Latinx households in DC.
  • Up to 20% of purchase price (max $100,000) DPA.
  • Up to $10,000 additional closing cost assistance for borrowers at/below 100% MFI.
  • Interest-only repayment during loan term.
  • Loan reduced if borrower contributes more own funds.
  • Designed to close the financing gap for Black and Hispanic/Latinx DC buyers.
  • Funding comes from City First Homes / City First Enterprises (CFE) nonprofit capital; supported by the DC government.

How much assistance does it provide?

Homes by CFE Down Payment Assistance Program offers up to $100,000 in assistance.

  • Award tiers: Up to 20% of purchase price (max $100,000) for borrowers at/below 120% MFI; borrowers at/below 100% MFI may also receive up to an additional $10,000 in closing cost assistance.
  • Buyer contribution: No stated minimum borrower contribution; if borrower contributes more own funds, Homes by CFE reduces the loan amount accordingly.
  • The program can be combined with Borrower must obtain a separate first trust mortgage; lender must accept the Homes by CFE DPA loan terms.
  • Amounts are the program's published maximums, not an offer — City First Homes, Inc. (dba Homes by CFE) determines any individual award.

Do you have to pay it back?

Homes by CFE Down Payment Assistance Program is a shared-appreciation loan and is repaid under the terms set by City First Homes, Inc. (dba Homes by CFE).

  • Repayment is triggered by Total assistance (down payment + any closing cost assistance) is repaid when the property is sold or refinanced. Borrower makes monthly interest-only payments for the term of the loan until then.
  • The assistance is recorded in Second (subordinate to first trust mortgage) position.
  • Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

Homes by CFE Down Payment Assistance Program 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: FHA first-time homebuyer definition (no principal-residence ownership in past 3 years). Exceptions: single parents/displaced homemakers who only owned with a former spouse; persons who only owned a non-permanently-affixed residence or non-code-compliant property.
  • The home is occupied as a primary residence
  • On credit: Not published; borrower must qualify for a first trust mortgage. Special Purpose Credit Program designed for borrowers locked out of homeownership.
  • A completed homebuyer education course, through Homeownership counseling (certificate required) plus the mandatory Homes by CFE homebuyer orientation.
  • Residency: Property must be purchased in the District of Columbia and occupied as primary residence.
  • DRAFT (dpa-gap-finder 2026-06-13): pending review. SPECIAL PURPOSE CREDIT PROGRAM: borrower must identify as African American/Black or Hispanic/Latinx to qualify (race/ethnicity restricted). After closing, borrower may not have more than six months of cash reserves (excludes 401(k)s). Gaps: exact min credit score, max DTI, annual funding cap, eligible mortgage products, and exact 4-person income dollar limit not published.

The program excludes

  • Purchases above the $584,400 price cap
  • Households above 120% 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?

Homes by CFE Down Payment Assistance Program limits household income to 120% of the area median income, which varies by county and household size.

  • Income must fall below 120% Median Family Income (MFI) for household size, based on DC DHCD Inclusionary Zoning income limits (updated annually). Co-borrower income included. Borrowers at/below 100% MFI qualify for additional $10,000 closing cost assistance.
  • 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?

Homes by CFE Down Payment Assistance Program caps the purchase price at $584,400.

  • Eligible property types include Single Family, Condo, and Cooperative.

Where does it apply?

Homes by CFE Down Payment Assistance Program serves buyers purchasing in Washington, District of Columbia.

How do you apply?

Applications for Homes by CFE Down Payment Assistance Program go through City First Homes, Inc. (dba Homes by CFE), which publishes the current terms and the application steps on its own site.

  1. Take a homebuyer education course

    Required by the program, through Homeownership counseling (certificate required) plus the mandatory Homes by CFE homebuyer orientation..

  2. Contact City First Homes, Inc. (dba Homes by CFE) to reserve funds

    Funds are reserved through Apply via online program application; a team member contacts applicant within 48 hours; approval to loan issuance within 3 business days of receiving all documentation., 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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