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KHRC First Time Homebuyer Program (FTHB)

Kansas Housing Resources Corporation (KHRC) · Statewide (excludes Kansas City, Lawrence, Topeka, Wichita city limits and Johnson County), Kansas

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See what you qualify forOfficial program site →
Assistance

$1,000–$40,000

The maximum the program publishes — not an offer

Income limit

80% AMI

Of area median income; varies by county and household size

Price cap

$219,000

Highest purchase price the program allows

Repayment

Forgivable

Forgiven after 10 years

What is KHRC First Time Homebuyer Program (FTHB)?

KHRC First Time Homebuyer Program (FTHB) is a forgivable loan for homebuyers in Statewide (excludes Kansas City, Lawrence, Topeka, Wichita city limits and Johnson County), Kansas, administered by Kansas Housing Resources Corporation (KHRC).

  • The KHRC First Time Homebuyer Program provides HOME-funded forgivable second mortgage assistance of 15% or 20% of the purchase price (up to $40,000) for income-eligible first-time buyers anywhere in Kansas except Kansas City, Lawrence, Topeka, Wichita city limits, and Johnson County. No monthly payments are required and the loan is fully forgiven after 10 years of owner-occupancy. Buyers must invest at least 1% of the purchase price from personal funds and complete HUD-approved homebuyer counseling.
  • 15-20% of purchase price, up to $40,000.
  • 0% interest, no monthly payments.
  • Fully forgiven after 10 years.
  • No minimum credit score from KHRC.
  • Covers down payment and/or closing costs.
  • Funding comes from HUD HOME Investment Partnerships Program.

How much assistance does it provide?

KHRC First Time Homebuyer Program (FTHB) offers between $1,000 and $40,000 in assistance.

  • Award tiers: 15% of purchase price for households 51%-80% AMI; 20% of purchase price for households at or below 50% AMI; maximum $40,000.
  • Buyer contribution: Buyer must invest minimum 1% of sale price from own funds; maximum buyer contribution 10%. Gifts allowed above 1% but no more than 9%.
  • Amounts are the program's published maximums, not an offer — Kansas Housing Resources Corporation (KHRC) determines any individual award.

Do you have to pay it back?

KHRC First Time Homebuyer Program (FTHB) is forgiven after 10 years, so a buyer who stays that long does not repay it.

  • Repayment is triggered by Sale, rental conversion, or refinancing without KHRC approval within 10-year affordability period triggers partial or full recapture. Subsidy split equally: interest-free soft second (forgiven over 60 months if under $15,000, or 120 months if $15,000+) and interest-free portion (repaid in full on sale within 10 years).
  • The assistance is recorded in Second 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?

KHRC First Time Homebuyer Program (FTHB) 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: Displaced homemakers and single parents meeting specific criteria may qualify even if they owned within 3 years.
  • The home is occupied as a primary residence
  • On credit: No minimum credit score required by KHRC; must qualify for first mortgage at market-rate interest.
  • A completed homebuyer education course, through HUD-approved housing counseling agency; both one-on-one counseling session and homebuyer education course required.
  • Residency: Must reside in purchased home
  • Citizenship or immigration status: U.S. citizens or lawful permanent resident aliens only; valid Social Security number required.
  • DRAFT (dpa-gap-finder 2026-06-13): pending review. Not available in Kansas City, Lawrence, Topeka, Wichita city limits, or Johnson County. Properties must pass KHRC inspection per HOME Final Rule 92.251. Max $10,000 in non-retirement assets before spend-down required. 30-year first mortgage interest rate cannot exceed Freddie Mac PMMS by more than 0.65%. Co-signers not allowed. Income limits are HOME limits (county-specific), not LIHTC limits.

The program excludes

  • Purchases above the $219,000 price cap
  • 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?

KHRC First Time Homebuyer Program (FTHB) limits household income to 80% of the area median income, which varies by county and household size.

  • At or below 80% of HUD HOME area median income (county-specific). In 2026: Allen County 4-person limit $67,300; Sedgwick County $75,050; Leavenworth County $89,100. Full limits at kshousingcorp.org.
  • 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?

KHRC First Time Homebuyer Program (FTHB) caps the purchase price at $219,000.

  • Eligible property types include Single Family, Condo, Townhouse, and Manufactured.
  • New construction is eligible.
  • Manufactured homes are eligible.

Where does it apply?

KHRC First Time Homebuyer Program (FTHB) serves buyers purchasing in Statewide (excludes Kansas City, Lawrence, Topeka, Wichita city limits and Johnson County), Kansas.

How do you apply?

Applications for KHRC First Time Homebuyer Program (FTHB) go through Kansas Housing Resources Corporation (KHRC), which publishes the current terms and the application steps on its own site.

  1. Take a homebuyer education course

    Required by the program, through HUD-approved housing counseling agency; both one-on-one counseling session and homebuyer education course required..

  2. Contact Kansas Housing Resources Corporation (KHRC) 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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