Down Payment and Closing Cost Assistance Program

What is Down Payment and Closing Cost Assistance Program?

Down Payment and Closing Cost Assistance Program is a deferred second loan for homebuyers in Wellfleet, Massachusetts.

• Wellfleet's Down Payment and Closing Cost Assistance Program is a CPA-funded 0% deferred-payment second mortgage of $20,000-$50,000 for first-time and income-eligible homebuyers purchasing in Wellfleet. The Town also operates a separate 'Buy Down' program providing larger subsidies tied to deed-restricted units. The DPA program received supplemental funding via the FY26 MA Seasonal Communities grant program ($132,426).
• 0% interest deferred-payment second-mortgage loan of $20,000 to $50,000 for qualified moderate-income first-time homebuyers purchasing in the Town of Wellfleet. Funded by the Town through the Community Preservation Act (CPA) Community Housing reserve and FY26 Seasonal Communities grant ($132,426). Structured as a recorded subordinate lien repayable upon sale, transfer, or refinance.
• Funding comes from Local Government, CPA, State, and Seasonal Communities Grant.

Do you have to pay it back?

Down Payment and Closing Cost Assistance Program is deferred, so no payments are due until the home is sold, refinanced, or the first mortgage is paid off.

• Repayment is triggered by Deferred 0% second mortgage and repayable upon sale, refinance with cash-out, transfer of title, or loss of primary-residence status.
• The assistance is recorded in 2 position.
• Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

Down Payment and Closing Cost 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?

Down Payment and Closing Cost Assistance Program limits household income to 100% of the area median income, which varies by county and household size.

• Income limits set by Town for moderate-income/CPA-eligible households: approx $62,510 1-person to $103,588 8-person (FY26).
• 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?

Down Payment and Closing Cost Assistance Program caps the purchase price as follows: No fixed cap; lender debt-affordability determines (Town reviews reasonableness).

• Eligible property types include Single-family detached, Townhouse, and Condominium.
• New construction is eligible.
• Manufactured homes are not eligible.

Where does it apply?

Down Payment and Closing Cost Assistance Program serves buyers purchasing in Wellfleet, Massachusetts.

How do you apply?

Applications for Down Payment and Closing Cost Assistance Program 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 HUD-approved homebuyer counseling (Housing Assistance Corporation Cape Cod; HAC); 8-hour pre-purchase certificate required. Town reimburses Wellfleet residents for FTHB course registration..

2. 2

   Contact the administering agency to reserve funds

   Funds are reserved through Application accepted by Wellfleet Housing; awards subject to availability., 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.