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First-Time Homebuyer Down Payment Assistance Program

Everett, Massachusetts

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See what you qualify forOfficial program site →
Income limit

150% AMI

Of area median income; varies by county and household size

Repayment

Forgivable

Forgiven after 5 years

What is First-Time Homebuyer Down Payment Assistance Program?

First-Time Homebuyer Down Payment Assistance Program is a forgivable loan for homebuyers in Everett, Massachusetts.

  • The City of Everett First-Time Homebuyer Down Payment Assistance Program is an ARPA-funded forgivable second-mortgage program providing up to $20,000 to income-qualified first-time buyers purchasing within the City of Everett. The 5-year forgivable loan is administered by the Department of Planning & Development Housing Division. The Mayor expanded eligibility in 2025 to allow households earning up to 150% AMI and liquid assets up to $100,000. Awards are distributed first-come, first-served by date/time of completed application; multilingual applications are available.
  • Up to $20,000 in forgivable down-payment assistance for income-qualified first-time buyers purchasing a 1-3 unit home or condominium in Everett. The forgivable second mortgage is forgiven 20% per year over 5 years, provided the home remains the buyer's primary residence and program requirements are met.
  • Funding comes from ARPA, Federal, and Local Government.

Do you have to pay it back?

First-Time Homebuyer Down Payment Assistance Program is forgiven after 5 years, so a buyer who stays that long does not repay it.

  • Repayment is triggered by Forgiven 20%/year over 5 years and unforgiven balance due upon sale, refinance with cash-out, transfer, or loss of owner-occupancy during the 5-year forgiveness period.
  • 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 Homebuyer Down Payment Assistance Program 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).
  • The home is occupied as a primary residence
  • On credit: Not formally published; lender minimums apply (typically 620+ for conforming/FHA)
  • A completed homebuyer education course, through Urban Edge, Metro Housing Boston, and other CHAPA-certified or HUD-approved counseling agencies
  • Residency: Property must be located within the City of Everett and used as the borrower's principal residence for the 5-year forgiveness period.
  • Citizenship or immigration status: U.S. citizen or eligible non-citizen per first-mortgage product
  • First-time buyer required (no homeownership in past 3 years). Property must be located in Everett, used as primary residence. Maximum household income up to 150% of HUD AMI for Boston-Cambridge-Newton HMFA. Liquid assets capped at $100,000 (per 2025 program expansion). Forgivable second mortgage at 20% per year over 5 years; if home is sold, refinanced, or no longer primary residence within 5 years, unforgiven balance is due. Funded by FY23 ARPA earmark of $400,000 plus subsequent allocations. Application available in English, Spanish, Portuguese, and Haitian Creole. Distributed first-come, first-served by date/time of completed application.

The program excludes

  • Manufactured homes
  • Households above 150% 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 Homebuyer Down Payment Assistance Program limits household income to 150% of the area median income, which varies by county and household size.

  • Up to 150% of HUD AMI for the Boston-Cambridge-Newton MSA (FY2025): approx. 1-person $62,340 to 8-person $178,250 across 80%-150% AMI bands.
  • 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 Homebuyer Down Payment Assistance Program caps the purchase price as follows: No published dollar cap; HUD HOME 95% median-value rule applies if HOME-funded portion is layered.

  • Eligible property types include Single-family detached, Condominium, and 2-3 unit owner-occupied.
  • New construction is eligible.
  • Manufactured homes are not eligible.

Where does it apply?

First-Time Homebuyer Down Payment Assistance Program serves buyers purchasing in Everett, Massachusetts.

How do you apply?

Applications for First-Time Homebuyer Down Payment Assistance Program 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 Urban Edge, Metro Housing Boston, and other CHAPA-certified or HUD-approved counseling agencies.

  2. Contact the administering agency to reserve funds

    Funds are reserved through First-come, first-served by date/time of completed application; paper applications available at City Planning Department and Everett Public Library locations (Parlin Memorial, Shute Memorial)., 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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