City of Leavenworth CDBG Home Ownership Program

City of Leavenworth CDBG Home Ownership Program is a forgivable loan for homebuyers in Leavenworth, Kansas, administered by City of Leavenworth Planning and Community Development Department. The City of Leavenworth Home Ownership Program provides up to $8,000 in CDBG funding to qualified low-to-moderate-income applicants purchasing their first home within city limits. Low-income applicants may receive up to 8% of purchase price or $8,000 (whichever is less); moderate-income applicants may receive up to 5% or $5,000. Funds must be used for down payment, principal buy-down, closing costs, or interest rate buy-down. A 5-year lien is placed on the property; if the home is sold, refinanced, or title changed within 5 years, the full grant amount must be repaid. Applicants must provide half the required down payment from their own funds and complete a HUD-approved homebuyer education course. Application is by appointment only. Up to $8,000 toward down payment/closing costs. 5-year forgivable lien structure. Two income tiers (low and moderate). Multiple mortgage product types accepted. City staff guidance throughout process. HQS inspection covered by City. Funding comes from HUD Community Development Block Grant (CDBG).

City of Leavenworth CDBG Home Ownership Program offers up to $8,000 in assistance. Award tiers: Low income tier: up to 8% of purchase price or $8,000 (lesser); Moderate income tier: up to 5% of purchase price or $5,000 (lesser). Amounts are the program's published maximums, not an offer — City of Leavenworth Planning and Community Development Department determines any individual award.

City of Leavenworth CDBG Home Ownership Program is forgiven after 5 years, so a homebuyer who stays that long does not repay it. Repayment is triggered by Sale, refinancing, title change, or rental of property within 5 years of closing; full repayment required. The assistance is recorded in Second position. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

City of Leavenworth CDBG Home Ownership Program is open to first-time homebuyers and homebuyers who will live in the home as their primary residence. "First-time homebuyer" usually means not having owned a home in the last three years, but the program sets its own definition. A homebuyer education course is required, through Any HUD-approved housing counseling agency; pre-purchase counseling or homebuyer education workshop; find at consumerfinance.gov/find-a-housing-counselor. Applicant must not have owned home in past 5 years. Must have credit-worthy fixed-rate preapproval from lender. Applicant must provide 1/2 of required down payment from own funds (earnest money counts). Prior CDBG recipients ineligible. Application by appointment only — call 913-680-2628. No email/drop-off without appointment. Application form effective 4-1-25.

City of Leavenworth CDBG Home Ownership Program limits household income to 80% of the area median income, which varies by county and household size. Low income: 1-person $39,000, 2-person $44,600, 3-person $50,150, 4-person $55,700. Moderate income (up to 80% AMI): 1-person $62,400, 2-person $71,300, 3-person $80,200, 4-person $89,100. Effective April 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.

City of Leavenworth CDBG Home Ownership Program caps the purchase price at $238,000. Eligible property types include Single Family. New construction is eligible. Manufactured homes are not eligible.

City of Leavenworth CDBG Home Ownership Program serves homebuyers purchasing in Leavenworth, Kansas.

Applications for City of Leavenworth CDBG Home Ownership Program go through City of Leavenworth Planning and Community Development Department, 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.