Heart of Paducah Homebuyer Program

Heart of Paducah Homebuyer Program is a forgivable loan for homebuyers in Paducah, Kentucky, administered by Paducah Alliance of Neighbors (PAN). A homebuyer program run by the Paducah Alliance of Neighbors that lets income-qualified, mortgage-ready families purchase newly constructed or completely renovated affordable homes (1,000-1,500 sq ft) in heart-of-Paducah neighborhoods, with the City of Paducah's Southside/Walter Jetton area as an initial focus. To make the homes affordable, the construction/loan-cost gap is filled by layered subsidies from Kentucky Housing Corporation (HOME/Affordable Housing Trust Fund), the City of Paducah, and the Paducah Alliance of Neighbors or FHLB Cincinnati. Each subsidy is structured as a forgivable mortgage: live in the home 5-10 years (depending on the source) and owe nothing; move or sell during the period and repay the pro-rated unforgiven portion. Affordable newly-built or fully-renovated home. Layered down payment/gap subsidy. Forgivable mortgages. Buyer choice of finishes. Homebuyer counseling with partial reimbursement. Funding comes from Kentucky Housing Corporation (federal HOME/HUD + Affordable Housing Trust Fund), City of Paducah, Paducah Alliance of Neighbors, and/or Federal Home Loan Bank of Cincinnati Affordable Housing Program.

Heart of Paducah Homebuyer Program is forgiven after 10 years, so a homebuyer who stays that long does not repay it. Repayment is triggered by If the buyer moves out or sells during the 5-10 year forgiveness period (varies by funding source), the pro-rated unforgiven portion is repaid. The assistance is recorded in Forgivable second/subordinate mortgage(s) position. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Heart of Paducah Homebuyer Program is open to first-time homebuyers and homebuyers who will live in the home as their primary residence. "First-time" has exceptions here: Must not have owned a home in the last three years; exceptions for divorcees who do not retain ownership of the marital home and for owners of substandard mobile homes. On credit, the program states: Credit score above the 660 range. A homebuyer education course is required, through Online Homebuyer Counseling program (certificate of completion required). Residency requirement: Homes built/renovated in heart-of-Paducah neighborhoods (initial focus: Walter Jetton / Southside area).

Heart of Paducah Homebuyer Program limits household income to $50,900. 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.

Heart of Paducah Homebuyer Program caps the purchase price as follows: Homes financed with mortgages in the $80,000-$120,000 range depending on home size. Eligible property types include Single Family (newly constructed or fully renovated, 1,000-1,500 sq ft). New construction is eligible. Manufactured homes are not eligible.

Heart of Paducah Homebuyer Program serves homebuyers purchasing in Paducah, Kentucky. The program targets specific areas: Heart-of-Paducah neighborhoods; initial focus on Walter Jetton / Southside area. Targeted neighborhoods: Walter Jetton Area / Southside, Paducah.

Applications for Heart of Paducah Homebuyer Program go through Paducah Alliance of Neighbors (PAN), which publishes the current terms and the application steps on its own site. Funds are reserved through Submit program application; PAN verifies income, then buyer obtains lender pre-approval; qualified applicants placed on an Approved Homebuyer List worked top-down as homes/funding allow. 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.