City of Columbia Homeownership Assistance Program

What is City of Columbia Homeownership Assistance Program?

City of Columbia Homeownership Assistance Program is a forgivable loan for homebuyers in Columbia, Missouri, administered by City of Columbia Housing Programs Division (Housing and Neighborhood Services).

• The Homeownership Assistance Program makes homeownership more affordable for low-to-moderate income, first-time homebuyer households by providing down payment and/or closing cost assistance for the purchase of an existing single-family or condominium home within the Columbia city limits. Applications are only considered when a qualified buyer is under contract on a property. Assistance is provided through federal HOME funds.
• $10,000 to $20,000 in assistance provided as a 10-year forgivable loan at 0% interest, used for down payment and closing costs or to reduce the loan principal. A $500 grant is also available at closing toward lead hazard remediation if applicable.
• This is a federal program, so it is available beyond a single state or city.
• Funding comes from Federal HOME Investment Partnerships Program (HUD) funds administered by the City of Columbia.

How much assistance does it provide?

City of Columbia Homeownership Assistance Program offers between $10,000 and $20,000 in assistance.

• The program can be combined with other assistance, subject to the rules of each.
• Amounts are the program's published maximums, not an offer — City of Columbia Housing Programs Division (Housing and Neighborhood Services) determines any individual award.

Do you have to pay it back?

City of Columbia Homeownership Assistance Program is forgiven after 10 years, so a buyer who stays that long does not repay it.

• Repayment is triggered by If the property is sold or rented within the initial 10-year period, assistance is repaid on a prorated basis (balance of unforgiven amount).
• 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 Columbia Homeownership Assistance Program is open to first-time homebuyers and buyers who will live in the home as their primary residence.

What are the income limits?

City of Columbia Homeownership Assistance Program sets its income limit as follows: HUD income guidelines by household size (effective April 1, 2025): 1 person $59,300; 2 $67,750; 3 $76,200; 4 $84,650; 5 $91,450; 6 $98,200; 7 $105,000; 8 $111,750.

• 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 Columbia Homeownership Assistance Program caps the purchase price at $249,000.

Where does it apply?

City of Columbia Homeownership Assistance Program is a federal program, so it is not limited to Missouri.

• The program gives priority to designated target areas, so the address matters as well as the county.

How do you apply?

Applications for City of Columbia Homeownership Assistance Program go through City of Columbia Housing Programs Division (Housing and Neighborhood Services), which publishes the current terms and the application steps on its own site.

1. 1

   Take a homebuyer education course

   Required by the program before funds are reserved.

2. 2

   Contact City of Columbia Housing Programs Division (Housing and Neighborhood Services) to reserve funds

   Funds are reserved with the provider and are subject to availability.

3. 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.