FHLBank Indianapolis Launch Down Payment Assistance (HOP)

FHLBank Indianapolis Launch Down Payment Assistance (HOP) is a grant for homebuyers in Michigan, administered by Federal Home Loan Bank of Indianapolis (via participating member financial institutions). Launch Down Payment Assistance (formerly the Homeownership Opportunities Program, HOP) is an annually recurring grant funded through FHLBank Indianapolis's Affordable Housing Program homeownership set-aside. It helps first-time homebuyers at or below 80% of area median income with down payment, closing costs, housing counseling costs, and buyer-broker's fee when purchasing a primary residence in Michigan or Indiana. FHLBank Indianapolis does not work directly with households; the grant is delivered through a participating member financial institution. Distinct from HomeBoost, a separate special-purpose credit DPA product. Grant up to $20,000 (or 20% of purchase price) for down payment, closing costs, counseling, and buyer-broker fee. Forgiven after a 5-year retention period. Funding comes from FHLBank Indianapolis Affordable Housing Program (AHP) Homeownership set-aside (12 CFR Part 1291).

FHLBank Indianapolis Launch Down Payment Assistance (HOP) offers between $1,000 and $20,000 in assistance. Homebuyer contribution: Minimum $500 personal cash contribution toward the purchase (earnest money, cash at closing, and/or expenses paid outside closing). Amounts are the program's published maximums, not an offer — Federal Home Loan Bank of Indianapolis (via participating member financial institutions) determines any individual award.

FHLBank Indianapolis Launch Down Payment Assistance (HOP) is structured as a grant, so it is not repaid. Repayment is triggered by Pro-rated repayment from net proceeds if the unit is sold or refinanced during the 5-year retention period, subject to exceptions (low/moderate-income transferee, death of all owners, calculated repayment under $2,500, etc.). Limited to available net proceeds. The assistance is recorded in Grant secured by a Real Estate Retention Agreement; first mortgage retains first lien position. position. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

FHLBank Indianapolis Launch Down Payment Assistance (HOP) is open to first-time homebuyers and homebuyers who will live in the home as their primary residence. "First-time" has exceptions here: First-time homebuyer = no ownership interest in a principal residence during the 3 years ending on the purchase date. On credit, the program states: No minimum credit score specified in the program guidelines. A homebuyer education course is required, through Homebuyer/homeowner counseling by an experienced organization; completion certificate required, generally completed within one year before enrollment and before closing. Residency requirement: Property must be in the FHLBank Indianapolis district (Indiana or Michigan); Michigan for this record. Member-delivered grant (formerly HOP, now branded Launch); FHLBI does not work directly with households. First-time buyer at or below 80% AMI. Minimum $500 personal cash contribution. Property subject to a 5-year Real Estate Retention Agreement. Front-end (housing) DTI not to exceed 40% of gross household income. Existing dwelling only; no construction-to-permanent loans or cash purchases.

FHLBank Indianapolis Launch Down Payment Assistance (HOP) limits household income to 80% of the area median income, which varies by county and household size. Household income at or below 80% of HUD area median income, adjusted for family size, based on the subject property's location at enrollment (HUD limits, AHP Implementation Plan Attachment D). 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.

FHLBank Indianapolis Launch Down Payment Assistance (HOP) caps the purchase price as follows: No fixed maximum; subsidy capped at the lesser of $20,000 or 20% of purchase price. First mortgage amount(s) may not exceed the sales price. Eligible property types include Single Family, 2-4 Unit, Townhouse, Condo, Co-op, and Manufactured. New construction is not eligible. Manufactured homes are eligible.

FHLBank Indianapolis Launch Down Payment Assistance (HOP) serves homebuyers purchasing anywhere in Michigan.

Applications for FHLBank Indianapolis Launch Down Payment Assistance (HOP) go through Federal Home Loan Bank of Indianapolis (via participating member financial institutions), which publishes the current terms and the application steps on its own site. Funds are reserved through Funds reserved and disbursed by participating members via the FHLBank Indianapolis online system; first-come, first-served until exhausted. Hey Prescott is not a lender and does not accept applications; this page describes the program so a homebuyer can take it to a lender or housing counselor.