Norristown Home Buyers Program

Norristown Home Buyers Program is a forgivable loan for homebuyers in Norristown, Pennsylvania, administered by Municipality of Norristown, Department of Planning and Economic Development. The Norristown Home Buyers Program provides $2,500 toward down payment and $2,500 toward closing costs (total up to $5,000) as a 0% interest, 5-year forgivable second mortgage to income-eligible buyers (at or below 80% AMI) purchasing in the Municipality of Norristown. Buyers contribute 3% of their own funds and complete mandatory homebuyer classes. Participants may also access reduced-rate mortgage products from local banks. $2,500 down payment + $2,500 closing cost assistance. 0% interest, no monthly payments. Forgiven after 5 years. Access to below-market bank mortgage products. Counseling provided. Funding comes from Federal HUD funds (CDBG/HOME) administered by the Municipality of Norristown.

Norristown Home Buyers Program offers up to $5,000 in assistance. Award tiers: $2,500 toward down payment and $2,500 toward closing costs. Homebuyer contribution: Applicants required to contribute 3% of their own funds toward the property cost. The program can be combined with other assistance, subject to the rules of each. Amounts are the program's published maximums, not an offer — Municipality of Norristown, Department of Planning and Economic Development determines any individual award.

Norristown Home Buyers Program is forgiven after 5 years, so a homebuyer who stays that long does not repay it. Repayment is triggered by Repayable if the home is sold, refinanced, rented, or transferred during the 5-year term. The assistance is recorded in Second mortgage position. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Norristown Home Buyers Program is open to first-time homebuyers and homebuyers who will live in the home as their primary residence. "First-time homebuyer" usually means not having owned a home in the last three years, but the program sets its own definition. A homebuyer education course is required, through Mandatory homebuyer classes (e.g., Genesis Housing Corporation / Montgomery County Partners for Homeownership). LOAN TERM is 5 years; repaid only if sold/refinanced/rented/transferred within the term. 3% buyer contribution required. Mandatory homebuyer classes. GAP: exact income-limit dollar table and annual funding cap not published online (corroborated via Montgomery County Partners for Homeownership).

Norristown Home Buyers Program limits household income to 80% of the area median income, which varies by county and household size. Household income not to exceed 80% of area median income. 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.

Norristown Home Buyers Program serves homebuyers purchasing in Norristown, Pennsylvania.

Applications for Norristown Home Buyers Program go through Municipality of Norristown, Department of Planning and Economic Development, which publishes the current terms and the application steps on its own site. 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.