Homebuyer Assistance Program

Homebuyer Assistance Program is a forgivable loan for homebuyers in Washington County, Pennsylvania. RACW Washington County HOME-funded DPA. Up to $7,500 0% forgivable soft second forgiven at 5 years. Washington County PA (excluding Washington and Monongahela cities), FTHB, 80% AMI, mandatory counseling. Redevelopment Authority of Washington County (RACW) Homebuyer Assistance Program provides HUD HOME-funded soft second mortgage assistance up to $7,500 for first-time homebuyers in Washington County PA. The DPA is a 0% interest deferred forgivable second mortgage forgiven at 5 years per HUD HOME affordability rules. Funds may be used for down payment, closing costs, and/or principal reduction. Pairs with FHA, VA, USDA, or Conventional first mortgage. Income range $56,700-$106,000 reflects Washington County 80% AMI for household sizes 1-8. Funding comes from Federal and HOME.

Homebuyer Assistance Program is forgiven after 5 years, so a homebuyer who stays that long does not repay it. Repayment is triggered by 5-year HUD HOME affordability period. If property is sold/refi/transferred or borrower vacates within 5 years, unforgiven balance due in full. Forgiven at 5 years of continuous owner-occupancy. 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.

Homebuyer Assistance Program is open to first-time homebuyers and homebuyers who will live in the home as their primary residence. "First-time" has exceptions here: First-time homebuyer required (no ownership in past 3 years), with HUD HOME exceptions for displaced homemakers and single parents. On credit, the program states: Per first-mortgage product (typically 620-640 minimum). A homebuyer education course is required, through RACW-approved pre-purchase homebuyer counseling (HUD-approved agencies including NeighborWorks Western Pennsylvania). Residency requirement: Property must be located in Washington County PA (excluding cities of Washington and Monongahela) and used as borrower's primary residence. Citizenship or immigration status: U.S. citizen, permanent resident, or qualifying non-permanent resident alien per first-mortgage product and HUD HOME rules. Property must be located in Washington County PA, excluding the cities of Washington and Monongahela (which administer their own CDBG/HOME homebuyer programs). First-time homebuyer required (no ownership in past 3 years). Income at or below 80% AMI for Washington County (range $56,700 1-person 80% AMI to $106,000 8-person 80% AMI). Borrower must complete pre-purchase homebuyer counseling. Property must be borrower's primary residence. Soft second forgiven at 5 years of continuous owner-occupancy per HUD HOME rules.

Homebuyer Assistance Program limits household income to 80% of the area median income, which varies by county and household size. Income range $56,700-$106,000 reflects Washington County 80% AMI for household sizes 1-8. The limit applies to total household income, not only the borrower’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.

Homebuyer Assistance Program caps the purchase price as follows: Per HUD HOME 95% area median sales price for Washington County and first-mortgage product loan limits. Eligible property types include 1- to 2-unit owner-occupied primary residence (single-family detached, duplex, condominium, townhouse). New construction is eligible. Manufactured homes are not eligible.

Homebuyer Assistance Program names veterans, active-duty service members, reservists and National Guard members, and surviving spouses 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.

Homebuyer Assistance Program serves homebuyers purchasing in Washington County, Pennsylvania.

Applications for Homebuyer Assistance Program go through the administering agency, which publishes the current terms and the application steps on its own site. Funds are reserved through Apply directly to RACW. Funds reserved on first-come, first-served basis subject to allocation. 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.