Northampton County First-Time Homebuyer Program

Northampton County First-Time Homebuyer Program is a forgivable loan for homebuyers in Northampton County, Pennsylvania, administered by Northampton County Department of Community & Economic Development. Provides income-eligible first-time buyers up to $10,000 toward purchase and closing costs as a zero-interest subordinated mortgage, forgiven 20%/year and fully forgiven after five years of owner-occupancy. Buyers use a partner lender, complete HUD counseling, and earn no more than 80% of Lehigh Valley AMI. Up to $10,000 forgivable subordinate loan. Zero interest, no monthly payments. 20% forgiven per year, fully forgiven after 5 years. Pairs with HOOP and First Front Door. Up to 4 units eligible. Funding comes from Northampton County Affordable Housing Program.

Northampton County First-Time Homebuyer Program offers up to $10,000 in assistance. Homebuyer contribution: Minimum 1.5% of purchase price from own assets (in deposit account 3+ months or cash on hand); at settlement liquid assets may not exceed 3% of purchase price. The program can be combined with other assistance, subject to the rules of each. Amounts are the program's published maximums, not an offer — Northampton County Department of Community & Economic Development determines any individual award.

Northampton County First-Time Homebuyer Program is forgiven after 5 years, so a homebuyer who stays that long does not repay it. Repayment is triggered by 20% forgiven per year; fully forgiven after 5 years. Unforgiven balance repaid if sold or transferred within 5 years. The assistance is recorded in Second (subordinate to fixed-rate first mortgages only) position. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Northampton County First-Time Homebuyer 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 for at least three years. A homebuyer education course is required, through Half-day HUD homebuyer education. Approved: Community Action Lehigh Valley (610-691-5620), Neighborhood Housing Services (610-372-8433). Residency requirement: Home purchased must be in Northampton County. Apply through a county partner lender (not open to all lenders). All-household-member income counts; FY2024 HUD limits in current handbook (verify annual update). Loan cap raised $5,000->$10,000 in 2023. Verified via official 2024 program brochure/handbook PDF; no published min credit score or DTI.

Northampton County First-Time Homebuyer Program limits household income to 80% of the area median income, which varies by county and household size. FY2024 HUD limits (all household members): 1 $55,100; 2 $62,950; 3 $70,800; 4 $78,650; 5 $84,950; 6 $91,250; 7 $97,550; 8 $103,850. 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.

Northampton County First-Time Homebuyer Program caps the purchase price as follows: No fixed cap; assistance limited to gap between lender commitment and borrower ability, up to $10,000. Eligible property types include Single Family and 2-4 Unit.

Northampton County First-Time Homebuyer Program serves homebuyers purchasing in Northampton County, Pennsylvania.

Applications for Northampton County First-Time Homebuyer Program go through Northampton County Department of Community & Economic Development, which publishes the current terms and the application steps on its own site. Funds are reserved through Accepted year-round through partner lender; lender submits to NCDCED at least 14 days before closing. 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.