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HomeFirst Down Payment Assistance Program

NYC Department of Housing Preservation and Development (HPD) · New York City, New York

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Assistance

$100,000

The maximum the program publishes — not an offer

Income limit

120% AMI

Of area median income; varies by county and household size

Repayment

Forgivable

Forgiven once the program's conditions are met

What is HomeFirst Down Payment Assistance Program?

HomeFirst Down Payment Assistance Program is a forgivable loan for homebuyers in New York City, New York, administered by NYC Department of Housing Preservation and Development (HPD).

  • HomeFirst provides qualified first-time homebuyers with up to $100,000 toward the down payment or closing costs on a 1-4 family home, condominium, or cooperative in one of the five boroughs of New York City. It is a forgivable loan secured against the property with a long-term owner-occupancy requirement.
  • Forgivable down payment / closing cost loan of up to $100,000 for first-time buyers in NYC.
  • This is a federal program, so it is available beyond a single state or city.

How much assistance does it provide?

HomeFirst Down Payment Assistance Program offers up to $100,000 in assistance.

  • Amounts are the program's published maximums, not an offer — NYC Department of Housing Preservation and Development (HPD) determines any individual award.

Do you have to pay it back?

HomeFirst Down Payment Assistance Program is a forgivable loan, so the balance is forgiven once the program's conditions are met.

  • The assistance is recorded in subordinate position.
  • Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

HomeFirst Down Payment Assistance Program is open to first-time homebuyers and buyers who will live in the home as their primary residence.

The program requires

  • First-time homebuyer — the program sets its own definition
  • The home is occupied as a primary residence
  • A completed homebuyer education course
  • Must work with an HPD-approved HUD-certified counseling agency to complete the HomeFirst Loan Application and homebuyer education. Property must pass a Housing Quality Standards (HQS) inspection before purchase. Borrower must contribute a minimum down payment / contract deposit of at least 3% of purchase price from their own funds. Occupancy term: 10 years if loan <= $40,000; 15 years if loan > $40,000; 15 years for City-funded loans regardless of amount. Purchase price must be at or below 95% of HUD purchase price limits for existing homes (varies by borough/unit count).

The program excludes

  • Households above 120% of area median income

These are the program's own published rules, not a decision about any individual — the administering agency and a lender determine who actually qualifies.

What are the income limits?

HomeFirst Down Payment Assistance Program limits household income to 120% of the area median income, which varies by county and household size.

  • Maximum household income up to 120% AMI (e.g., 1-person $136,080; 4-person $194,400; 8-person $256,680). Effective 6/01/24, per HUD.
  • 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?

HomeFirst Down Payment Assistance Program caps the purchase price as follows: Existing homes must be at or below 95% of HUD purchase price limits. Effective 12/1/2025, 1-unit limits: Bronx/New York/Richmond $661,000; Kings $732,000; Queens $699,000 (higher limits apply for 2-4 units).

Where does it apply?

HomeFirst Down Payment Assistance Program is a federal program, so it is not limited to New York.

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

How do you apply?

Applications for HomeFirst Down Payment Assistance Program go through NYC Department of Housing Preservation and Development (HPD), which publishes the current terms and the application steps on its own site.

  1. Take a homebuyer education course

    Required by the program before funds are reserved.

  2. Contact NYC Department of Housing Preservation and Development (HPD) to reserve funds

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

  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.

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