Montgomery County First-Time Homebuyers Program

Montgomery County First-Time Homebuyers Program is a deferred second loan for homebuyers in Montgomery County, Pennsylvania, administered by Montgomery County Office of Housing & Community Development. Helps low-, moderate-, and median-income households buy in Montgomery County with up to $10,000 (10% of affordable sales price) as a zero-interest deferred loan. Repayment triggered only if sold, transferred, vacated within 15 years, or used as investment property. Requires one-on-one counseling, county residency/employment, and a 3% buyer contribution. Up to $10,000 (10% of sales price). Zero-interest deferred loan. No monthly payment. Released after 15 years of owner-occupancy. Counseling included. Funding comes from Montgomery County Affordable Housing Trust Fund.

Montgomery County First-Time Homebuyers Program offers up to $10,000 in assistance. The program asks homebuyers to contribute 3% of sales price from applicant's own liquid assets; minimum $3,000 liquid assets; two months PITI reserve; home warranty required. The program can be combined with other assistance, subject to the rules of each. Amounts are the program's published maximums, not an offer — Montgomery County Office of Housing & Community Development determines any individual award.

Montgomery County First-Time Homebuyers Program is deferred, so no payments are due until the home is sold, refinanced, or the first mortgage is paid off. Repayment is triggered by Repayment due if home is sold, conveyed, transferred, vacated or abandoned as primary residence within 15 years, or used as investment property. 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.

Montgomery County First-Time Homebuyers 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 OR has not owned a home within the previous three years. A homebuyer education course is required, through County-referred one-on-one housing counseling, completed before any agreement of sale. Residency requirement: Applicant must reside and/or be employed full-time in Montgomery County at application and closing. County residency/employment required. $25 non-refundable fee. Income cannot exceed listed Median Income tier. Verified via official county page (updated June 2, 2026) and 2026 brochure PDF; no published min credit score, max DTI, or purchase-price cap.

Montgomery County First-Time Homebuyers Program limits household income to 100% of the area median income, which varies by county and household size. 2026 limits (household income cannot exceed Median Income): 1-person $85,900; 2 $98,200; 3 $110,500; 4+ $122,700. (80% AMI 4-person reference $98,150.). 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.

Montgomery County First-Time Homebuyers Program caps the purchase price as follows: No fixed cap; sales price may not exceed the Program's affordability determination for the household. Eligible property types include Single Family. New construction is eligible.

Montgomery County First-Time Homebuyers Program serves homebuyers purchasing in Montgomery County, Pennsylvania.

Applications for Montgomery County First-Time Homebuyers Program go through Montgomery County Office of Housing & Community Development, which publishes the current terms and the application steps on its own site. Funds are reserved through First-come, first-served; income- and loan-eligible before agreement of sale. $25 non-refundable application fee. 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.