HouseCharlotte - Program 1B

HouseCharlotte - Program 1B is a deferred second loan for homebuyers in Charlotte, North Carolina. HouseCharlotte Program 1B is the City of Charlotte's down payment assistance tier for moderate-income first-time homebuyers (above 80% AMI up to approximately 110%-120% AMI) purchasing within Charlotte city limits. Provides up to $10,000 as a 0%-interest deferred forgivable second mortgage with a 10-year affordability period. Administered by DreamKey Partners on behalf of the City of Charlotte and funded primarily by City general funds. HouseCharlotte Program 1B is the City of Charlotte's higher-income DPA tier (typically 80%-110%/120% AMI), providing up to $10,000 in down payment and closing-cost assistance for first-time homebuyers purchasing within the Charlotte city limits. The DPA is structured as a 0%-interest deferred second mortgage with a shorter 10-year affordability period (vs. 15 years for Program 1A). No monthly payments. The lien is forgiven at the end of the 10-year period if the borrower has continuously occupied as a primary residence. Funding comes from City of Charlotte general funds and Housing Trust Fund; supplemented by City CDBG when eligible.

HouseCharlotte - Program 1B is forgiven after 10 years, so a homebuyer who stays that long does not repay it. Repayment is triggered by If borrower sells, refinances cash-out, transfers title, or stops occupying as primary residence during 10-year affordability period, full balance becomes due. After year 10, lien is forgiven and released. The assistance is recorded in 2nd Lien position. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

HouseCharlotte - Program 1B is open to first-time homebuyers and homebuyers who will live in the home as their primary residence. "First-time" has exceptions here: Displaced homemakers and single parents who only previously owned with a former spouse may qualify. On credit, the program states: 640 minimum FICO (per NCHFA / first-mortgage product pairing). A homebuyer education course is required, through DreamKey Partners 8-hour HUD-approved homebuyer education plus 1:1 pre-purchase counseling required. Residency requirement: Property must be within Charlotte city limits and occupied as primary residence for 10-year affordability period. Citizenship or immigration status: U.S. citizen or qualified non-citizen per first-mortgage product. Property must be located within the Charlotte city limits. Borrower must be a first-time homebuyer. Qualifying household income above 80% AMI but at or below approximately 110%-120% Charlotte MSA AMI (~$154,000 for 4-person household, 2025). Minimum $1,000 borrower contribution. Must complete DreamKey pre-purchase counseling. Property must serve as primary residence for 10-year affordability period. Funded primarily by City of Charlotte general funds (not federal HOME), so HOME affordability rules do not directly apply but City affordability covenant runs 10 years.

HouseCharlotte - Program 1B limits household income to 110% of the area median income, which varies by county and household size. Targeted to moderate-income buyers above 80% AMI but at or below approximately 110%-120% of Charlotte-Concord-Gastonia MSA AMI. 2025 4-person ~110% AMI approximately $154,000; lower entry threshold approximately $59,400 (60% AMI). Income includes all borrowers and non-borrower spouse on title. Verify current 1B income tier limits with DreamKey Partners at application. 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.

HouseCharlotte - Program 1B caps the purchase price at $315,000. Eligible property types include Single-family detached, townhomes, condos (must meet agency project approval), 1-unit owner-occupied and new and existing homes within Charlotte city limits. New construction is eligible. Manufactured homes are not eligible.

HouseCharlotte - Program 1B names veterans, active-duty service members, reservists and National Guard members, surviving spouses, American Indian and Alaska Native homebuyers, educators, law enforcement officers, firefighters, healthcare workers, and homebuyers with disabilities 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.

HouseCharlotte - Program 1B serves homebuyers purchasing in Charlotte, North Carolina. The program targets specific areas: City of Charlotte may identify priority neighborhoods (Corridors of Opportunity) that receive enhanced HouseCharlotte assistance amounts; verify with DreamKey Partners.

Applications for HouseCharlotte - Program 1B go through the administering agency, which publishes the current terms and the application steps on its own site. Funds are reserved through Lender reserves HouseCharlotte funds via DreamKey Partners' lender portal alongside first-mortgage reservation. 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.