RI AnchorHome

What is RI AnchorHome?

RI AnchorHome is a first mortgage for homebuyers in Rhode Island, administered by Rhode Island Office of the General Treasurer.

• RI AnchorHome is an initiative of the Rhode Island Office of the General Treasurer that uses strategic State deposits at participating local financial institutions to help first-time homebuyers obtain more affordable conventional mortgages. When a qualifying first-time buyer is approved, the State deposits matching funds at the same institution, giving the lender flexibility to offer a lower interest rate and eliminate private mortgage insurance (PMI). The mortgage is issued and serviced entirely by the lender, and the borrower has no obligations to the Treasury. Up to $80 million in State deposits may be deployed statewide.
• Traditional 30-year fixed mortgage through a trusted local lender.
• Lower monthly costs from reduced interest rates.
• No private mortgage insurance (PMI).
• Other DPA and closing-cost assistance programs may be layered.
• No obligation to the State Treasury.
• Funding comes from State of Rhode Island deposits (Treasury Community Deposit Program); up to $80 million in State deposits may be deployed statewide to support qualifying loans.

Do you have to pay it back?

RI AnchorHome is a first mortgage and is repaid under the terms set by Rhode Island Office of the General Treasurer.

• The assistance is recorded in first position.
• Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

RI AnchorHome is open to first-time homebuyers and buyers who will live in the home as their primary residence.

What are the income limits?

RI AnchorHome limits household income to 110% of the area median income, which varies by county and household size.

• Household income capped at 110% of statewide income limits. Specific dollar thresholds are set/applied by participating lenders; Treasury page states the cap as 110% of statewide income limits but does not publish a dollar table by household size.
• 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.

What kind of home can it be used for?

RI AnchorHome caps the purchase price as follows: No published purchase-price cap; loan amount is capped at $525,000 (single-family) / $575,000 (two-family).

• Eligible property types include single_family and two_family.

Where does it apply?

RI AnchorHome serves buyers purchasing anywhere in Rhode Island.

How do you apply?

Applications for RI AnchorHome go through Rhode Island Office of the General Treasurer, 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 Required homeownership counseling (provider arranged through participating lender); specific providers not named on Treasury page.

2. 2

   Contact Rhode Island Office of the General Treasurer to reserve funds

   Funds are reserved through Borrower works directly with a participating financial institution; State deposits matching funds into an account at the same institution upon loan approval, 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.