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City of Cranston Down Payment Assistance Program

City of Cranston Department of Community Development · Cranston, Rhode Island

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See what you qualify forOfficial program site →
Assistance

$15,000

The maximum the program publishes — not an offer

Repayment

Forgivable

Forgiven after 5 years

What is City of Cranston Down Payment Assistance Program?

City of Cranston Down Payment Assistance Program is a forgivable loan for homebuyers in Cranston, Rhode Island, administered by City of Cranston Department of Community Development.

  • Matching down payment assistance for income-eligible first-time homebuyers purchasing a home in the City of Cranston, administered by the city's Department of Community Development using CDBG/HOME funds. Provided as a forgivable grant secured by a recorded lien, forgiven after five years of owner-occupancy.
  • 50% match of the required down payment (dollar-for-dollar), not to exceed $15,000, given at closing as a forgivable grant/lien that is discharged after 5 years of owner-occupancy.
  • This is a federal program, so it is available beyond a single state or city.
  • Funding comes from Federal Community Development Block Grant (CDBG) / HOME funds via U.S. HUD (City of Cranston).

How much assistance does it provide?

City of Cranston Down Payment Assistance Program offers up to $15,000 in assistance.

  • Amounts are the program's published maximums, not an offer — City of Cranston Department of Community Development determines any individual award.

Do you have to pay it back?

City of Cranston Down Payment Assistance Program is forgiven after 5 years, so a buyer who stays that long does not repay it.

  • Repayment is triggered by Entire assistance must be repaid in full if, before the end of the 5-year period, the recipient sells, refinances, changes title, or no longer occupies the property as principal residence.
  • Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

City of Cranston Down Payment Assistance Program is open to first-time homebuyers and buyers who will live in the home as their primary residence.

The program requires

  • First-time homebuyer — the program sets its own definition
  • The home is occupied as a primary residence
  • A completed homebuyer education course
  • Property must be in the City of Cranston; administered first come, first served; recipient must complete a HUD-approved minimum 8-hour homebuyer class; buyer must obtain a State Lead Inspection / Lead Safe Certificate before assistance; no cash to buyer at closing; cannot be combined with the city's Closing Cost Assistance Program; cannot be subordinated and cannot be used to pay points or reduce interest rate; closing agent must furnish the CDBG office with the proposed settlement statement at least 3 business days before closing. A written 5-year owner-occupancy agreement (not a mortgage) is recorded as a lien at the City Clerk. NOTE: the department web summary lists 'not to exceed $5,000,' but the current program guidelines PDF revised November 2024 states 'not to exceed $15,000'; the PDF is the controlling document.

These are the program's own published rules, not a decision about any individual — the administering agency and a lender determine who actually qualifies.

What are the income limits?

City of Cranston Down Payment Assistance Program sets its income limit as follows: Income eligibility determined per HUD HOME/CDBG income limits by household size (low- to moderate-income).

  • Area median income figures are published by HUD and updated annually, so check the current table for the county before relying on a number.

Where does it apply?

City of Cranston Down Payment Assistance Program is a federal program, so it is not limited to Rhode Island.

  • The program gives priority to designated target areas, so the address matters as well as the county.

How do you apply?

Applications for City of Cranston Down Payment Assistance Program go through City of Cranston Department of Community Development, which publishes the current terms and the application steps on its own site.

  1. Take a homebuyer education course

    Required by the program before funds are reserved.

  2. Contact City of Cranston Department of Community Development to reserve funds

    Funds are reserved with the provider and are subject to availability.

  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.

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