HHDC Affordable Housing Entry Cost Assistance Program

HHDC Affordable Housing Entry Cost Assistance Program is a repayable second loan for homebuyers in Beltrami; Clearwater; Hubbard; Mahnomen; Lake of the Woods County, Minnesota, administered by Headwaters Housing Development Corporation (HHDC) / Headwaters Regional Development Commission (HRDC). The Headwaters Housing Development Corporation (HHDC) Entry Cost Assistance Program helps low- and moderate-income households in the Headwaters Region with up to $5,000 toward down payment and closing costs. The loan carries an interest rate 0.25% below the borrower's first mortgage rate, with interest-only payments for the first 12 months and amortization over 120 months thereafter. Borrowers complete homebuyer education and invest at least $500. Up to $5,000. Rate 0.25% below first mortgage. First 12 months interest-only. Five-county Headwaters Region. Funding comes from Headwaters Housing Development Corporation revolving entry-cost funds.

HHDC Affordable Housing Entry Cost Assistance Program offers up to $5,000 in assistance. Homebuyer contribution: Minimum $500 of own money invested. The program can be combined with other assistance, subject to the rules of each. Amounts are the program's published maximums, not an offer — Headwaters Housing Development Corporation (HHDC) / Headwaters Regional Development Commission (HRDC) determines any individual award.

HHDC Affordable Housing Entry Cost Assistance Program is a repayable second loan and is repaid under the terms set by Headwaters Housing Development Corporation (HHDC) / Headwaters Regional Development Commission (HRDC). Repayment is triggered by Amortizing repayable loan over 120 months (10 years); standard monthly repayment. The assistance is recorded in Subordinate position. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

HHDC Affordable Housing Entry Cost Assistance Program is open to homebuyers who will live in the home as their primary residence. A homebuyer education course is required, through Homestretch Workshop or Framework Homebuyer Education. Residency requirement: Property in Beltrami, Clearwater, Hubbard, Mahnomen, or Lake of the Woods County. Complete Homestretch or Framework; $500 minimum investment; no more than $7,500 liquid assets after closing; home must appraise for at least $60,000.

HHDC Affordable Housing Entry Cost Assistance Program limits household income to 110% of the area median income, which varies by county and household size. Household income cannot exceed 110% of state median income (not adjusted for family size); uses MHFA CRV income limits. No more than $7,500 liquid assets after closing. 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.

HHDC Affordable Housing Entry Cost Assistance Program caps the purchase price as follows: Home must appraise for at least $60,000; preference to properties 10 acres or less. Eligible property types include Single Family.

HHDC Affordable Housing Entry Cost Assistance Program serves homebuyers purchasing in Beltrami; Clearwater; Hubbard; Mahnomen; Lake of the Woods County, Minnesota.

Applications for HHDC Affordable Housing Entry Cost Assistance Program go through Headwaters Housing Development Corporation (HHDC) / Headwaters Regional Development Commission (HRDC), which publishes the current terms and the application steps on its own site. Funds are reserved through Application-based, subject to fund availability. 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.