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City of Woodbury First-Time Homeownership Assistance Program

Washington County CDA on behalf of City of Woodbury HRA · Woodbury, Minnesota

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See what you qualify forOfficial program site →
Assistance

3.5%

Of the purchase price, as the program sets it

Income limit

$158,000

The household income limit the program publishes

Price cap

$451,500

Highest purchase price the program allows

Repayment

Deferred

No payments until the home is sold or refinanced

What is City of Woodbury First-Time Homeownership Assistance Program?

City of Woodbury First-Time Homeownership Assistance Program is a deferred second loan for homebuyers in Woodbury, Minnesota, administered by Washington County CDA on behalf of City of Woodbury HRA.

  • The City of Woodbury First-Time Homeownership Assistance Program offers deferred loans of up to 3.5% of the purchase price to income-qualified first-time buyers purchasing in Woodbury, MN. Loans carry a fixed 3% rate with interest-only monthly payments; veterans and buyers age 65+ get 2.75%; first-generation buyers get 0% with no required monthly payments. Principal is deferred (max 30-year term) until sale, transfer, first-mortgage payoff, or loss of owner-occupancy. Administered by the Washington County CDA on behalf of the Woodbury HRA.
  • Up to 3.5% of purchase price (deferred).
  • 3% fixed (interest-only); 2.75% veterans/seniors; 0% first-generation.
  • 30-year deferred principal.
  • Stackable with CDA First-Gen Grant.
  • Online application.
  • $25 processing fee.
  • Funding comes from City of Woodbury Housing and Redevelopment Authority (HRA) fund balance.

How much assistance does it provide?

City of Woodbury First-Time Homeownership Assistance Program provides assistance worth 3.5% of the purchase price, as set by the program.

  • Award tiers: Standard: 3% fixed, interest-only monthly payments, 30-year deferred term, Veterans or age 65+: 2.75% fixed, and First-generation homebuyers: 0% interest, no monthly payments. Up to 3.5% of purchase price.
  • Buyer contribution: Minimum $1,000 paid by/for the buyer from seasoned funds (90-day history). Gifts allowed with gift letter. Personal loans/credit cards NOT acceptable.
  • The program can be combined with Washington County CDA First-Generation Grant ($5,000); First-Generation Community DPA Fund; Minnesota Housing Start Up DPA.
  • Amounts are the program's published maximums, not an offer — Washington County CDA on behalf of City of Woodbury HRA determines any individual award.

Do you have to pay it back?

City of Woodbury First-Time Homeownership 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 Sale, transfer of title, payoff of primary mortgage, or property no longer owner-occupied; maximum 30-year term.
  • The assistance is recorded in Second (subordinate to first mortgage; HRA mortgage) position.
  • Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

City of Woodbury First-Time Homeownership 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: Standard 3-year lookback. Exception for certain foreclosed properties where the buyer is the first owner-occupant after foreclosure.
  • The home is occupied as a primary residence
  • A completed homebuyer education course, through 8 hours pre-purchase education from a HUD-approved agency (National Industry Standards); certificate dated within 12 months of closing. Providers include Washington County CDA HomeStretch and NeighborWorks Home Partners.
  • Residency: Property must be in City of Woodbury, MN; no prior Woodbury residency required.
  • DRAFT (dpa-gap-finder 2026-06-11): pending review. Apply at least 35 days before closing; full manual underwriting; buyer must be pre-approved by a first mortgage lender. $1,000 minimum contribution (seasoned funds). Flood-plain properties ineligible. Income limit $158,000 flat (not AMI). 2022 guidelines PDF lists superseded terms ($30,000 max / 3.5% min contribution); the current web page governs.

The program excludes

  • Manufactured homes
  • Purchases above the $451,500 price cap
  • Households above $158,000

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?

City of Woodbury First-Time Homeownership Assistance Program limits household income to $158,000.

  • 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?

City of Woodbury First-Time Homeownership Assistance Program caps the purchase price at $451,500.

  • Eligible property types include Single Family, Townhome, Twin Home, and Condo.
  • Manufactured homes are not eligible.

Is there eligibility for specific groups?

City of Woodbury First-Time Homeownership Assistance Program names veterans and first-generation buyers among the groups it serves.

  • Being named here means the program mentions the group, not that membership alone qualifies an applicant — the rest of the eligibility rules still apply.

Where does it apply?

City of Woodbury First-Time Homeownership Assistance Program serves buyers purchasing in Woodbury, Minnesota.

  • The program targets specific areas: City of Woodbury, MN (Washington County).

How do you apply?

Applications for City of Woodbury First-Time Homeownership Assistance Program go through Washington County CDA on behalf of City of Woodbury HRA, which publishes the current terms and the application steps on its own site.

  1. Take a homebuyer education course

    Required by the program, through 8 hours pre-purchase education from a HUD-approved agency (National Industry Standards); certificate dated within 12 months of closing. Providers include Washington County CDA HomeStretch and NeighborWorks Home Partners..

  2. Contact Washington County CDA on behalf of City of Woodbury HRA to reserve funds

    Funds are reserved through Rolling; application required at least 35 days before closing., 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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