Washington County Homebuyer Assistance Program

What is Washington County Homebuyer Assistance Program?

Washington County Homebuyer Assistance Program is a deferred second loan for homebuyers in Washington County, Pennsylvania, administered by Redevelopment Authority of the County of Washington (RACW).

• RACW's Homebuyer Assistance Program helps low- and moderate-income first-time buyers purchase (and rehabilitate) single-family homes in Washington County via two 0% deferred loans: a down payment loan of 17%-26% of price plus closing costs, and a rehabilitation loan up to $24,500 forgivable over 10 years.
• 0% deferred DPA of 17%-26% of price + closing costs.
• up to $24,500 rehab financing (forgiven over 10 yrs).
• first-come first-served.
• Funding comes from HUD HOME and CDBG funds allocated to Washington County.

How much assistance does it provide?

Washington County Homebuyer Assistance Program provides assistance worth 26% of the purchase price, as set by the program.

• Award tiers: Down payment assistance (0% deferred loan): low-income 26% of purchase price + closing costs (17% if funding limited); moderate-income 17% of price + closing costs. Separate rehabilitation loan up to $24,500, forgiven 10%/yr over 10 years.
• The program asks buyers to contribute 3% of the purchase price (cash) from buyer.
• Amounts are the program's published maximums, not an offer — Redevelopment Authority of the County of Washington (RACW) determines any individual award.

Do you have to pay it back?

Washington County Homebuyer Assistance 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 DPA loan due/payable on payoff of first mortgage, refinance, sale/disposition, or when property ceases to be principal residence; HOME recapture applies during the 5/10/15-year affordability period.
• The assistance is recorded in Subordinate (second/junior mortgage) position.
• Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

Washington County Homebuyer Assistance Program is open to first-time homebuyers and buyers who will live in the home as their primary residence.

What are the income limits?

Washington County Homebuyer Assistance Program limits household income to 80% of the area median income, which varies by county and household size.

• Household income must not exceed 80% of the Pittsburgh MSA median family income (HUD), adjusted for family size, throughout a 6-month eligibility window. Moderate (80% AMI) 4-person $88,300; low (50% AMI) 4-person $55,200. Limits subject to change.
• 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.

What kind of home can it be used for?

Washington County Homebuyer Assistance Program can be used for Single Family.

• New construction is not eligible.

Where does it apply?

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

How do you apply?

Applications for Washington County Homebuyer Assistance Program go through Redevelopment Authority of the County of Washington (RACW), 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 HUD-approved homebuyer pre-purchase counseling class.

2. 2

   Contact Redevelopment Authority of the County of Washington (RACW) to reserve funds

   Funds are reserved through Pre-applications accepted by mail only; reviewed first-come first-served as funding permits; waiting list., 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.