Lafayette First Time Home Buyer Down Payment and Closing Costs Assistance Program

What is Lafayette First Time Home Buyer Down Payment and Closing Costs Assistance Program?

Lafayette First Time Home Buyer Down Payment and Closing Costs Assistance Program is a repayable second loan for homebuyers in Lafayette, Louisiana, administered by Lafayette Consolidated Government, Community Development Department, Housing Loans Section.

• Lafayette Consolidated Government offers a First Time Home Buyer Down Payment and Closing Costs Assistance Program providing a 2% interest loan of up to $11,000 toward down payment and/or closing costs for qualified, income-eligible first-time buyers using an affordable first mortgage from a private lender. The loan is secured by a second mortgage with a 15-year (180-month) term ($70.79/month if the full amount is taken) and the balance is due in full if owner-occupancy ceases before the term ends. No prepayment penalty.
• Up to $11,000 toward down payment and/or closing costs.
• Low 2% interest rate.
• 15-year (180-month) term.
• No prepayment penalty.
• Pairs with an affordable first mortgage.
• Funding comes from HUD HOME Investment Partnerships Program (HOME), administered by LCG Community Development Department.

How much assistance does it provide?

Lafayette First Time Home Buyer Down Payment and Closing Costs Assistance Program offers up to $11,000 in assistance.

• Amounts are the program's published maximums, not an offer — Lafayette Consolidated Government, Community Development Department, Housing Loans Section determines any individual award.

Do you have to pay it back?

Lafayette First Time Home Buyer Down Payment and Closing Costs Assistance Program is a repayable second loan and is repaid under the terms set by Lafayette Consolidated Government, Community Development Department, Housing Loans Section.

• Repayment is triggered by Repaid in monthly installments over a 15-year (180-month) term; full $11,000 = $70.79/month. Outstanding balance due in full if the borrower ceases to occupy the home as principal residence before the term ends.
• 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.

Who qualifies?

Lafayette First Time Home Buyer Down Payment and Closing Costs Assistance Program is open to first-time homebuyers and buyers who will live in the home as their primary residence.

What are the income limits?

Lafayette First Time Home Buyer Down Payment and Closing Costs Assistance Program limits household income to 80% of the area median income, which varies by county and household size.

• Household income must not exceed HUD Low-Income (80% AMI) for Lafayette. FY2025: 1 $47,450; 2 $54,200; 3 $61,000; 4 $67,750; 5 $73,200; 6 $78,600; 7 $84,050; 8 $89,450.
• 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.

What kind of home can it be used for?

Lafayette First Time Home Buyer Down Payment and Closing Costs Assistance Program can be used for Single Family, Townhouse, and Condo.

• New construction is eligible.
• Manufactured homes are not eligible.

Where does it apply?

Lafayette First Time Home Buyer Down Payment and Closing Costs Assistance Program serves buyers purchasing in Lafayette, Louisiana.

How do you apply?

Applications for Lafayette First Time Home Buyer Down Payment and Closing Costs Assistance Program go through Lafayette Consolidated Government, Community Development Department, Housing Loans Section, 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 LCG Home Ownership Training (HOT) Course via the Community Development Department Human Services Division, Jessie Livingston Taylor Center, 111 Shirley Picard Dr., Lafayette LA 70501; (337) 291-5450..

2. 2

   Contact Lafayette Consolidated Government, Community Development Department, Housing Loans Section to reserve funds

   Funds are reserved with the provider 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.