RIHousing Extra Assistance Down Payment & Closing Cost Loan

What is RIHousing Extra Assistance Down Payment & Closing Cost Loan?

RIHousing Extra Assistance Down Payment & Closing Cost Loan is a repayable second loan for homebuyers in Rhode Island, administered by RIHousing (Rhode Island Housing and Mortgage Finance Corporation).

• A repayable second mortgage for down payment/closing of up to 6% of price (max $20,000), 15-year term, at the same rate as the RIHousing first mortgage, with no fees.
• Up to 6% of purchase price or $20,000 (lower of).
• Rate matches your RIHousing first mortgage.
• No fees.
• 15-year term.
• Funding comes from State.

How much assistance does it provide?

RIHousing Extra Assistance Down Payment & Closing Cost Loan offers up to $20,000 in assistance.

• The program can be combined with RIHousing first mortgage and RI REALTORS Homebuyer Grant.
• Amounts are the program's published maximums, not an offer — RIHousing (Rhode Island Housing and Mortgage Finance Corporation) determines any individual award.

Do you have to pay it back?

RIHousing Extra Assistance Down Payment & Closing Cost Loan is a repayable second loan and is repaid under the terms set by RIHousing (Rhode Island Housing and Mortgage Finance Corporation).

• Repayment is triggered by 15-year amortizing second mortgage (monthly payments); due on sale/refinance.
• The assistance is recorded in 2nd Lien position.
• Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

RIHousing Extra Assistance Down Payment & Closing Cost Loan is open to first-time homebuyers and buyers who will live in the home as their primary residence.

What are the income limits?

RIHousing Extra Assistance Down Payment & Closing Cost Loan sets its income limit as follows: Must meet RIHousing Price & Income Limits (Loan Center contact if income <$137,160 1-2 / <$160,020 3+). Max purchase price $838,592.

• 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?

RIHousing Extra Assistance Down Payment & Closing Cost Loan caps the purchase price at $838,592.

• Eligible property types include Single Family, Condo, and 2-4 Unit.

Where does it apply?

RIHousing Extra Assistance Down Payment & Closing Cost Loan serves buyers purchasing anywhere in Rhode Island.

How do you apply?

Applications for RIHousing Extra Assistance Down Payment & Closing Cost Loan go through RIHousing (Rhode Island Housing and Mortgage Finance Corporation), 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 RIHousing homebuyer education course.

2. 2

   Contact RIHousing (Rhode Island Housing and Mortgage Finance Corporation) to reserve funds

   Funds are reserved with the provider 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.