Minneapolis Homes: Access Down Payment Assistance

Minneapolis Homes: Access Down Payment Assistance is a deferred second loan for homebuyers in Minneapolis, Minnesota. Minneapolis Homes: Access Down Payment Assistance is the City of Minneapolis CPED's primary income-tiered DPA program, administered by NeighborWorks Home Partners. The 0% interest deferred second-mortgage loan provides up to $40,000 (50% AMI tier) or up to $20,000 (51-80% AMI tier) for buyers purchasing in the City of Minneapolis. Funded by City of Minneapolis affordable housing trust funds and HUD HOME Consortium funds. Repayable at end of first-mortgage life, refinance with cash-out, transfer, or 30-year deferment - whichever occurs first. Mandatory homebuyer education plus 1:1 financial advising. Up to $40,000 (50% AMI tier) or up to $20,000 (51-80% AMI tier) as a 0% interest deferred second-mortgage loan with no monthly payment. Loan is repayable at the end of the life of the first mortgage, refinance with cash-out, transfer of title, or end of 30-year deferment period. Applies to homes purchased within City of Minneapolis. Requires homebuyer education certificate and 1:1 financial wellness advising prior to purchase agreement. Funding comes from HOME, Local Government, and CPED.

Minneapolis Homes: Access Down Payment Assistance offers up to $20,000 in assistance. Homebuyer contribution: Minimum buyer contribution per CPED guidelines. 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.

Minneapolis Homes: Access Down Payment Assistance is forgiven after 30 years, so a homebuyer who stays that long does not repay it. Repayment is triggered by Due in full at end of first-mortgage life, refinance with cash-out, transfer of title, loss of owner-occupancy, or end of 30-year term. 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.

Minneapolis Homes: Access Down Payment Assistance is open to first-time homebuyers and homebuyers who will live in the home as their primary residence. "First-time" has exceptions here: Open to non-first-time buyers per Minneapolis Homes Access guidelines (with priority for first-time). On credit, the program states: Per first-mortgage lender; typically 620+. A homebuyer education course is required, through Minnesota Homeownership Center / Framework, plus mandatory 1:1 financial wellness advising session through NWHP or partner agency. Residency requirement: Property must be located in City of Minneapolis and used as borrower's principal residence. Citizenship or immigration status: U.S. citizen or qualified non-citizen per HUD HOME rules. Property must be within City of Minneapolis. Income tiered: 50% AMI receives larger assistance, 51-80% AMI receives smaller. Income at or below 80% HUD AMI: 1-person ~$52,150 (50% AMI) to 8-person ~$129,100 (80% AMI). Required: homebuyer education certificate AND 1:1 financial wellness advising session prior to executing purchase agreement. Owner-occupancy.

Minneapolis Homes: Access Down Payment Assistance 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 Minneapolis-St. Paul-Bloomington MSA. 50% AMI tier and 51-80% AMI tier each have separate caps. Range: 1-person $52,150 (50% AMI) to 8-person $129,100 (80% AMI) FY2025. 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.

Minneapolis Homes: Access Down Payment Assistance caps the purchase price as follows: Subject to City of Minneapolis CPED Minneapolis Homes maximum acquisition cost. Eligible property types include Single-family detached, Duplex, Triplex, Fourplex, Townhome, and Condominium. New construction is eligible. Manufactured homes are not eligible.

Minneapolis Homes: Access Down Payment Assistance serves homebuyers purchasing in Minneapolis, Minnesota.

Applications for Minneapolis Homes: Access Down Payment Assistance go through the administering agency, which publishes the current terms and the application steps on its own site. Funds are reserved through Reservation through NWHP via approved lender; 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.