Home in Monroe - Down Payment Assistance

What is Home in Monroe - Down Payment Assistance?

Home in Monroe - Down Payment Assistance is a forgivable loan for homebuyers in Monroe, Louisiana.

• City of Monroe HOME/CDBG-funded comprehensive first-time homebuyer program. Tiered assistance: $5K standard DPA / $20K developer buy-down / $60K target-neighborhood buy-down / $1K IDA match. Includes financial coaching, HUD-certified housing counseling, homebuyer seminar, and rent-reporting platform. Partnership with Mid-City Redevelopment Alliance and Homeland Bank.
• Home in Monroe is a comprehensive first-time homebuyer support program operated by the City of Monroe Department of Planning and Urban Development in partnership with Mid-City Redevelopment Alliance and Homeland Bank. Program provides four assistance components: (1) Down Payment Assistance up to $5,000 anywhere in city limits.
• (2) Buy-Down Program providing up to $60,000 to buy down the cost of a home in a Target Neighborhood.
• (3) Builder Buy-Down up to $20,000 for homeowners working with a developer to build in a target neighborhood.
• (4) Individual Development Account (IDA) Program with $1:$1 match up to $1,000 of buyer savings (partnering with Cadence and Homeland Banks). The program also provides Financial Coaching, Financial Education, and HUD-Certified Housing Counseling. Sponsored by Beneficial Financial Apps with rent-reporting platform integration.
• Funding comes from Federal, HOME, CDBG, City, and Local.

Do you have to pay it back?

Home in Monroe - Down Payment Assistance is forgiven after 5 years, so a buyer who stays that long does not repay it.

• Repayment is triggered by HUD HOME-funded forgivable second mortgage typical structure - forgiven over affordability period (5 years for assistance under $15K, 10 years for $15K-$40K, and 15 years for over $40K per 24 CFR 92.254). Recapture limited to net proceeds if sold/transferred/vacated during affordability period.
• The assistance is recorded in 2nd Lien position.
• Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

Home in Monroe - Down Payment Assistance is open to first-time homebuyers and buyers who will live in the home as their primary residence.

What are the income limits?

Home in Monroe - Down Payment Assistance limits household income to 80% of the area median income, which varies by county and household size.

• HUD LMI (Low-to-Moderate Income) - typically 80% AMI for Ouachita Parish/Monroe MSA. 2024-2025 limits approximately $36,650 (1p) to $69,050 (8p) per seed range.
• The limit applies to total household income, not only the borrower’s.
• The program lists a maximum household size of 8.
• 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?

Home in Monroe - Down Payment Assistance caps the purchase price as follows: Per HUD HOME purchase price limits for Ouachita Parish (verify with Community Development Office).

• Eligible property types include Single-family detached, condominium, townhouse within City of Monroe. New construction eligible (Buy-Down component supports construction in target neighborhoods).
• New construction is eligible.
• Manufactured homes are not eligible.

Is there eligibility for specific groups?

Home in Monroe - Down Payment Assistance names veterans, active-duty service members, reservists and National Guard members, and surviving spouses among the groups it serves.

• Being named here means the program mentions the group, not that membership alone qualifies an applicant — the rest of the eligibility rules still apply.

Where does it apply?

Home in Monroe - Down Payment Assistance serves buyers purchasing in Monroe, Louisiana.

• The program targets specific areas: Designated Target Neighborhoods within City of Monroe receive enhanced Buy-Down assistance up to $60,000 (or $20,000 for builder/developer buy-downs). Specific neighborhood list maintained by Community Development Office.

How do you apply?

Applications for Home in Monroe - Down Payment Assistance go through the administering agency, which publishes the current terms and the application steps on its own site.

1. 1

   Take a homebuyer education course

   Required by the program, through Mid-City Redevelopment Alliance (HUD-Certified Housing Counseling). Home Buyer Seminars include local Realtors, Appraisers, Inspectors, and Closing Attorneys. Certificate of Completion issued upon attendance. One-on-one Financial Coaching sessions to review credit scores and establish a homeownership plan..

2. 2

   Contact the administering agency to reserve funds

   Funds are reserved through Apply through City of Monroe Community Development Office. Steps: (1) Attend Home in Monroe Information Session; (2) Complete Home in Monroe Application; (3) Complete Mid-City Redevelopment Alliance Application; (4) Participate in coaching/counseling sessions. Subject to HOME/CDBG annual allocation., and are subject to availability.

3. 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.