City of Charleston Homeownership Initiative (HI) - First-Time Homebuyer Program

City of Charleston Homeownership Initiative (HI) - First-Time Homebuyer Program is a forgivable loan for homebuyers in Charleston, South Carolina, administered by City of Charleston Department of Housing and Community Development. The City of Charleston Homeownership Initiative (HI) creates affordable homeownership for low- and moderate-income first-time buyers and supports neighborhood revitalization. The City acquires and transfers properties to housing development partners that build or rehabilitate homes for sale to income-eligible buyers. Down payment and closing cost assistance is available as a zero-interest deferred forgivable loan; City funds are carried through long-term restrictive covenants governing resale value, while partner-agency funds may be secured by a 5- to 10-year note and mortgage. Households earn 50%-120% AMI, must not have owned a home in three years, and must occupy as a primary residence. City-developed homes carry a 90-year affordability covenant. Down payment and closing cost assistance. Zero-interest deferred forgivable loan. Access to newly built or rehabilitated affordable homes. Priority for residents of targeted revitalization neighborhoods. Homebuyer education and counseling. Funding comes from Federal (City of Charleston CDBG/HOME funds) and partner-agency funds.

City of Charleston Homeownership Initiative (HI) - First-Time Homebuyer Program is forgiven after 20 years, so a homebuyer who stays that long does not repay it. Repayment is triggered by Failure to occupy/retain the home as primary residence for the required period; buyer may repay a portion of the original loan. City funds also governed by long-term restrictive covenants on resale value. The assistance is recorded in Subordinate position. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

City of Charleston Homeownership Initiative (HI) - 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: Not owned a home in the past three years; exceptions for displaced homemaker, divorced single individual/parent no longer owning, and owner of a property not meeting codes. On credit, the program states: Must qualify for the first mortgage and pass a background check; no specific minimum credit score published. A homebuyer education course is required, through OriginSC (Homeownership Resource Center); Charleston Trident Urban League. Residency requirement: Home within the city limits of Charleston; first priority to current/former residents of five target neighborhoods. Zero-interest deferred forgivable DPA; City funds carried through long-term restrictive covenants determining resale value (City-developed homes carry a 90-year covenant); partner-agency funds may be secured by a 5- to 10-year note and mortgage. Buyer may owe repayment of a portion of the loan if occupancy/retention conditions are not met. First-time homebuyer (no ownership in 3 years), primary residence, background check, and ability to qualify for the first mortgage required. Exceptions to the 3-year rule: displaced homemaker; divorced single individual/parent no longer owning; owner of a property not meeting codes. Priority to current/former residents of five target neighborhoods. Homebuyer education via OriginSC or Charleston Trident Urban League; apply via Neighborly portal.

City of Charleston Homeownership Initiative (HI) - First-Time Homebuyer Program limits household income to 120% of the area median income, which varies by county and household size. Household income between 50% and 120% AMI for the Charleston-North Charleston-Summerville MSA by household size. Per City FY2025-2026 limits, 120% AMI = $133,080 (4-person); 100% AMI = $110,900 (4-person). 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.

City of Charleston Homeownership Initiative (HI) - First-Time Homebuyer Program can be used for Single Family. New construction is eligible.

City of Charleston Homeownership Initiative (HI) - First-Time Homebuyer Program serves homebuyers purchasing in Charleston, South Carolina. The program targets specific areas: First priority to current and former residents of five identified target/revitalization neighborhoods within the City of Charleston.

Applications for City of Charleston Homeownership Initiative (HI) - First-Time Homebuyer Program go through City of Charleston Department of Housing and Community Development, which publishes the current terms and the application steps on its own site. Funds are reserved through Applications via the Neighborly online portal. 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.