Neighbor Next Door DPCC

What is Neighbor Next Door DPCC?

Neighbor Next Door DPCC is a deferred second loan for homebuyers in Rapid City, South Dakota.

• NWDHR Neighbor Next Door target-neighborhood 0% deferred second mortgage up to $15,000 toward down payment and closing costs. FTHB requirement waived in target areas. Rapid City neighborhood revitalization.
• NeighborWorks Dakota Home Resources (NWDHR) Neighbor Next Door DPCC is a targeted variant of the DPCC program for buyers purchasing in NWDHR's designated 'Neighbor Next Door' target neighborhoods in Rapid City. Unlike other DPCC variants, the FTHB requirement is waived for buyers in target neighborhoods. The program provides 0% deferred-payment second mortgages of up to $15,000 toward down payment, closing costs, and prepaid items. No monthly payments.
• full balance due on sale, refinance, or non-owner-occupancy. Designed to support neighborhood revitalization through targeted homeownership in priority Rapid City neighborhoods.
• Funding comes from Other and Targeted.

Do you have to pay it back?

Neighbor Next Door DPCC is deferred, so no payments are due until the home is sold, refinanced, or the first mortgage is paid off.

• Repayment is triggered by Full balance due on sale, refinance, payoff of first mortgage, transfer of title, or non-owner-occupancy.
• 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?

Neighbor Next Door DPCC is open to buyers who will live in the home as their primary residence.

What are the income limits?

Neighbor Next Door DPCC limits household income to $123,300.

• 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?

Neighbor Next Door DPCC caps the purchase price at $385,000.

• Eligible property types include Single-family detached, condominium, townhouse, PUD within target neighborhood boundaries.
• New construction is eligible.
• Manufactured homes are eligible.

Is there eligibility for specific groups?

Neighbor Next Door DPCC names veterans, active-duty service members, reservists and National Guard members, surviving spouses, and American Indian and Alaska Native buyers among the groups it serves.

• Being named here means the program mentions the group, not that membership alone qualifies an applicant — the rest of the eligibility rules still apply.

Where does it apply?

Neighbor Next Door DPCC serves buyers purchasing in Rapid City, South Dakota.

• The program targets specific areas: NWDHR-designated Neighbor Next Door target neighborhoods within Rapid City, SD. Specific boundaries available from NWDHR.

How do you apply?

Applications for Neighbor Next Door DPCC go through the administering agency.

1. 1

   Take a homebuyer education course

   Required by the program, through NWDHR Homebuyer Education (required); also accepts SDHDA-approved providers..

2. 2

   Contact the administering agency to reserve funds

   Funds are reserved through Direct application to NWDHR; property must be verified within Neighbor Next Door target neighborhood boundary., 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.