Town of Chapel Hill Employee Housing Program - Homebuyer Assistance

Town of Chapel Hill Employee Housing Program - Homebuyer Assistance is a forgivable loan for homebuyers in Chapel Hill, North Carolina, administered by Town of Chapel Hill - Affordable Housing and Community Connections. Down payment and/or closing cost assistance for permanent Town of Chapel Hill employees in good standing purchasing a primary residence within 5 miles of the Town's Corporate Limits. A one-time award paid to the closing attorney as a 0% loan forgiven 20% per year over 5 years of continued Town employment. Up to $12,500 inside Town Corporate Limits. Up to $7,500 within 5-mile radius. 0% interest. Forgiven 20% per year over 5 years. Funding comes from Town of Chapel Hill (municipal funds).

Town of Chapel Hill Employee Housing Program - Homebuyer Assistance offers between $7,500 and $12,500 in assistance. Award tiers: Inside Town Corporate Limits: up to $12,500 and Within 5-mile radius: up to $7,500. Amounts are the program's published maximums, not an offer — Town of Chapel Hill - Affordable Housing and Community Connections determines any individual award.

Town of Chapel Hill Employee Housing Program - Homebuyer Assistance is forgiven after 5 years, so a homebuyer who stays that long does not repay it. Repayment is triggered by Repay unforgiven balance at 20% per year under 5 years if the employee leaves Town employment or moves within 5 years of purchase. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Town of Chapel Hill Employee Housing Program - Homebuyer Assistance is open to homebuyers who will live in the home as their primary residence. A homebuyer education course is required, through Approved homebuyer and/or budget counseling program (not named). Residency requirement: Home within 5 miles of the Town of Chapel Hill Corporate Limits (max $12,500 only within the Corporate Limits).

Town of Chapel Hill Employee Housing Program - Homebuyer Assistance limits household income to 115% of the area median income, which varies by county and household size. Household income at/below 115% AMI. Per Oct 2025 overview: 1 $93,150; 2 $106,375; 3 $119,715; 4 $132,940; 5 $143,635. 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.

Town of Chapel Hill Employee Housing Program - Homebuyer Assistance can be used for Single Family.

Town of Chapel Hill Employee Housing Program - Homebuyer Assistance is limited to employees of Town of Chapel Hill (permanent employees in good standing only). Being named here means the program mentions the group, not that membership alone qualifies an applicant — the rest of the eligibility rules still apply.

Town of Chapel Hill Employee Housing Program - Homebuyer Assistance serves homebuyers purchasing in Chapel Hill, North Carolina.

Applications for Town of Chapel Hill Employee Housing Program - Homebuyer Assistance go through Town of Chapel Hill - Affordable Housing and Community Connections, which publishes the current terms and the application steps on its own site. 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.