East Orange HOMEBuyers Purchase Program

What is East Orange HOMEBuyers Purchase Program?

East Orange HOMEBuyers Purchase Program is a forgivable loan for homebuyers in East Orange, New Jersey.

• East Orange HOME-funded $20,000 forgivable second for first-time homebuyers. 80% AMI cap. Tiered max purchase price. 10-year affordability period.
• Up to $20,000 in HOME-funded down payment and closing cost assistance for first-time homebuyers purchasing in the City of East Orange, NJ. 0% interest deferred-payment forgivable second mortgage. 10-year HOME affordability period (since amount exceeds $15K). Lien fully forgiven at end of term if continuously owner-occupied. 80% AMI cap (Essex County / New York-Newark HMFA). Tiered max purchase price: $452,000 non-target / $920,000 target census tracts.
• Funding comes from Federal HOME.

Do you have to pay it back?

East Orange HOMEBuyers Purchase Program is forgiven after 10 years, so a buyer who stays that long does not repay it.

• Repayment is triggered by 10-year HOME affordability period and lien forgiven at end of term. Prorated balance due on early sale, transfer, cash-out refi, or non-owner-occupancy.
• 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.

Who qualifies?

East Orange HOMEBuyers Purchase Program is open to first-time homebuyers and buyers who will live in the home as their primary residence.

What are the income limits?

East Orange HOMEBuyers Purchase Program limits household income to 80% of the area median income, which varies by county and household size.

• Household income at or below 80% AMI Essex County / New York-Newark HMFA. Approximate 2025: $66,300 (1-person) to $124,950 (8-person).
• 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.

What kind of home can it be used for?

East Orange HOMEBuyers Purchase Program caps the purchase price at $920,000.

• Eligible property types include Single-family detached, Townhome, Condominium, and 2-4 unit owner-occupied.
• New construction is eligible.
• Manufactured homes are not eligible.

Where does it apply?

East Orange HOMEBuyers Purchase Program serves buyers purchasing in East Orange, New Jersey.

• The program targets specific areas: HUD-designated target census tracts within East Orange qualify for higher purchase-price limit.

How do you apply?

Applications for East Orange HOMEBuyers Purchase Program go through the administering agency, which publishes the current terms and the application steps on its own site.

1. 1

   Take a homebuyer education course

   Required by the program, through HUD-approved housing counseling agencies (NJ Citizen Action, Brand New Day, Garden State Episcopal CDC)..

2. 2

   Contact the administering agency to reserve funds

   Funds are reserved through Application to East Orange Department of Neighborhood Housing & Revitalization. First-come, first-served subject to HOME funding cycle., 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.