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First Time Home Buyers Program (FTHB)

Lawrence, Massachusetts

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See what you qualify forOfficial program site →
Assistance

5%

Of the purchase price, as the program sets it

Income limit

80% AMI

Of area median income; varies by county and household size

Price cap

$821,000

Highest purchase price the program allows

Repayment

Deferred

No payments until the home is sold or refinanced

What is First Time Home Buyers Program (FTHB)?

First Time Home Buyers Program (FTHB) is a deferred second loan for homebuyers in Lawrence, Massachusetts.

  • The City of Lawrence First Time Home Buyers (FTHB) Program assists low-to-moderate-income families purchasing residential, owner-occupied 1-4 unit property in Lawrence. Funded by HUD HOME and CDBG funds and administered by the City's Community Development Department, the program provides up to 5% of purchase price (not to exceed $25,000) as a 0% deferred second-lien loan with no monthly payments. Buyers must contribute 1.5% of the purchase price (or minimum $2,000) from their own funds and complete a CHAPA/HUD-approved homebuyer class. Awarded on a first-come, first-served basis once the buyer is under contract.
  • Up to 5% of the purchase price (not to exceed $25,000) in down payment and eligible closing-cost assistance for income-qualified first-time buyers purchasing an owner-occupied 1-4 unit residential property in the City of Lawrence. Provided as a zero-interest deferred second-lien loan with no monthly payment for the life of the loan.
  • Funding comes from HOME, CDBG, Federal, and Local Government.

How much assistance does it provide?

First Time Home Buyers Program (FTHB) provides assistance worth 5% of the purchase price, as set by the program.

  • The program asks buyers to contribute 1.5% of the purchase price (or minimum $2,000 if purchase price below $100,000) from buyer's own funds.
  • The program can be combined with other assistance, subject to the rules of each.
  • Amounts are the program's published maximums, not an offer — the administering agency determines any individual award.

Do you have to pay it back?

First Time Home Buyers Program (FTHB) is deferred, so no payments are due until the home is sold, refinanced, or the first mortgage is paid off.

  • Repayment is triggered by Due in full at sale, refinance, transfer of title, or when property is no longer the borrower's principal residence (deferred for life of first mortgage).
  • 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?

First Time Home Buyers Program (FTHB) is open to first-time homebuyers and buyers who will live in the home as their primary residence.

The program requires

  • First-time homebuyer — with exceptions: First-time buyer required; no ownership in past 3 years (single-parent and displaced-homemaker exceptions apply).
  • The home is occupied as a primary residence
  • On credit: Not formally published; per City underwriting standards, generally 620+ minimum (matches first-mortgage product floor)
  • A completed homebuyer education course, through ACT Lawrence, Merrimack Valley Housing Partnership (MVHP), and HUD-approved housing counseling agencies (CHAPA-certified)
  • Residency: Property must be located within the City of Lawrence and used as the borrower's principal residence.
  • Citizenship or immigration status: U.S. citizen or eligible non-citizen per HUD HOME and first-mortgage rules
  • First-time buyer required (no homeownership in past 3 years). Buyer must contribute 1.5% of the purchase price toward the down payment, or a minimum $2,000 on purchase prices below $100,000. Property must be located in Lawrence, owner-occupied, principal residence. Buyer must complete a CHAPA-approved homebuyer class and obtain pre-approval letter prior to scheduling an Intake Session at the Community Development Department. Apply only after acquiring an executed offer to purchase. Loan is a zero-interest deferred second-lien with no monthly payment, repayable upon sale, transfer, refinance, or change of occupancy. Property must meet HUD HOME / lead-paint standards.

The program excludes

  • Manufactured homes
  • Purchases above the $821,000 price cap
  • Households above 80% of area median income

These are the program's own published rules, not a decision about any individual — the administering agency and a lender determine who actually qualifies.

What are the income limits?

First Time Home Buyers Program (FTHB) limits household income to 80% of the area median income, which varies by county and household size.

  • Household income at or below 80% HUD AMI for the Lawrence MA-NH HMFA: 1-person $55,950 to 8-person $86,300 (rounded; FY2025 HUD limits, current as of April 2026).
  • 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?

First Time Home Buyers Program (FTHB) caps the purchase price at $821,000.

  • Eligible property types include Single-family detached, Condominium, and 2-4 unit owner-occupied.
  • New construction is eligible.
  • Manufactured homes are not eligible.

Where does it apply?

First Time Home Buyers Program (FTHB) serves buyers purchasing in Lawrence, Massachusetts.

How do you apply?

Applications for First Time Home Buyers Program (FTHB) go through the administering agency, which publishes the current terms and the application steps on its own site.

  1. Take a homebuyer education course

    Required by the program, through ACT Lawrence, Merrimack Valley Housing Partnership (MVHP), and HUD-approved housing counseling agencies (CHAPA-certified).

  2. Contact the administering agency to reserve funds

    Funds are reserved through Applicant schedules an Intake Session with City Community Development; first-come, first-served once buyer has executed offer to purchase., and are subject to availability.

  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.

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