City of Norman Down Payment Assistance Program

What is City of Norman Down Payment Assistance Program?

City of Norman Down Payment Assistance Program is a forgivable loan for homebuyers in Norman, Oklahoma, administered by Neighborhood Housing Services Oklahoma (NHSOKLA) on behalf of the City of Norman.

• The City of Norman, with Neighborhood Housing Services Oklahoma, offers up to $14,999 in HOME-funded down payment assistance to low- and moderate-income homebuyers purchasing a primary residence in three of Norman's core neighborhoods. Assistance is a 0% interest five-year forgivable second mortgage, forgiven 1/60th per month. The program launched in April 2026 and is administered by NHSOKLA first-come, first-served.
• Up to $14,999 down payment and closing cost assistance.
• 0% interest forgivable second mortgage.
• Fully forgiven after 5 years.
• Free HQS property inspection.
• This is a federal program, so it is available beyond a single state or city.
• Funding comes from HOME Investment Partnerships Program (federal HUD via City of Norman).

How much assistance does it provide?

City of Norman Down Payment Assistance Program offers up to $14,999 in assistance.

• Buyer contribution: Buyer must invest a minimum of 1% of the sales price; no cash back at closing.
• Amounts are the program's published maximums, not an offer — Neighborhood Housing Services Oklahoma (NHSOKLA) on behalf of the City of Norman determines any individual award.

Do you have to pay it back?

City of Norman Down Payment Assistance Program is forgiven after 5 years, so a buyer who stays that long does not repay it.

• Repayment is triggered by Sale, refinance, or conveyance during the 5-year (plus 60 days) affordability period; forgiven 1/60th per month.
• The assistance is recorded in Second position.
• 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 Norman Down Payment Assistance Program is open to buyers who will live in the home as their primary residence.

What are the income limits?

City of Norman Down Payment Assistance Program limits household income to 80% of the area median income, which varies by county and household size.

• <=80% AMI (Taxable Gross Income method). Cleveland/Logan County limits (eff 06/01/2024): 1 $54,750; 2 $62,550; 3 $70,350; 4 $78,150; 5 $84,450; 6 $90,700; 7 $96,950; 8 $103,200.
• The limit applies to total household income, not only the borrower&rsquo;s.
• The program lists a maximum household size of 8.
• 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 Norman Down Payment Assistance Program caps the purchase price at $190,000.

• Eligible property types include Single Family.
• New construction is eligible.

Where does it apply?

City of Norman Down Payment Assistance Program is a federal program, so it is not limited to Oklahoma.

How do you apply?

Applications for City of Norman Down Payment Assistance Program go through Neighborhood Housing Services Oklahoma (NHSOKLA) on behalf of the City of Norman, 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 NHSOKLA certified Homebuyer Education Workshop (pre-closing)..

2. 2

   Contact Neighborhood Housing Services Oklahoma (NHSOKLA) on behalf of the City of Norman to reserve funds

   Funds are reserved through First-come, first-served; funds reserved on a fully executed purchase contract., 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.