Housing Development Alliance - Homeownership Program

Housing Development Alliance - Homeownership Program is a first mortgage for homebuyers in Hazard, Kentucky, administered by Housing Development Alliance, Inc. (HDA). HDA's income-based Homeownership Program helps low-income families in Breathitt, Knott, Leslie, and Perry Counties become homeowners via subsidized mortgages on newly constructed Energy Star homes. No cash down payment - 150 hours of sweat equity instead. Average interest paid 1%-3% (varies by funding source). Payments structured at ~20%-30% of gross income; land purchase can be included. ~400 families helped to date. No cash down payment. Subsidized mortgage interest (avg 1%-3%). Energy Star new homes. Land purchase can be included. Free certified housing and credit counseling. 150 sweat-equity hours.

Housing Development Alliance - Homeownership Program is a first mortgage and is repaid under the terms set by Housing Development Alliance, Inc. (HDA). Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Housing Development Alliance - Homeownership Program is open to homebuyers who will live in the home as their primary residence. On credit, the program states: Credit score near 690 preferred; certified counselors help improve credit; free credit counseling. A homebuyer education course is required. Service area limited to Breathitt, Knott, Leslie, Perry Counties. DTI ~25%. Positive repayment history. Minimum monthly income by county. Rates/income limits vary by funding source (HOME, CDBG, state). dpa_interest_rate shown as 1 represents the ~1%-3% average subsidized rate.

Housing Development Alliance - Homeownership Program limits household income to 80% of the area median income, which varies by county and household size. Low-income households (generally <=80% AMI). Minimum gross monthly income $1,750 (Perry/Knott) or $1,900 (Leslie/Breathitt). Can assist annual incomes ~$17,000. Ceiling varies by funding source. The limit applies to total household income, not only the borrower&rsquo;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.

Housing Development Alliance - Homeownership Program can be used for Single Family. New construction is eligible. Manufactured homes are not eligible.

Housing Development Alliance - Homeownership Program serves homebuyers purchasing in Hazard, Kentucky.

Applications for Housing Development Alliance - Homeownership Program go through Housing Development Alliance, Inc. (HDA), 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.