KCDC Homeownership Program (Section 8 Housing Choice Voucher Homeownership)

What is KCDC Homeownership Program (Section 8 Housing Choice Voucher Homeownership)?

KCDC Homeownership Program (Section 8 Housing Choice Voucher Homeownership) is down payment assistance for homebuyers in Knoxville, Tennessee, administered by Knoxville's Community Development Corporation (KCDC).

• KCDC's Homeownership Program allows existing Section 8 Housing Choice Voucher participants to use their voucher assistance toward buying a home. Eligible first-time homebuyers must have participated in the voucher program for at least one year, be employed at least one year (elderly/disabled exempt), and have minimum annual earned income of $14,500. Participants make a 3% down payment (at least 1% from their own funds) and complete pre-purchase homeownership classes.
• Converts Section 8 voucher rental assistance into monthly homeownership assistance.
• Low 3% down payment requirement.
• Supports first-time buyers, elderly, and disabled households.
• Manufactured and newly constructed homes eligible.
• Homebuyer education and post-purchase support.
• This is a federal program, so it is available beyond a single state or city.
• Funding comes from HUD Section 8 Housing Choice Voucher Program (Housing Choice Voucher Homeownership).

Do you have to pay it back?

KCDC Homeownership Program (Section 8 Housing Choice Voucher Homeownership) is down payment assistance and is repaid under the terms set by Knoxville's Community Development Corporation (KCDC).

• Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

KCDC Homeownership Program (Section 8 Housing Choice Voucher Homeownership) is open to first-time homebuyers and buyers who will live in the home as their primary residence.

What are the income limits?

KCDC Homeownership Program (Section 8 Housing Choice Voucher Homeownership) sets its income limit as follows: Minimum income of $14,500 annual earned income (elderly/disabled exceptions). Standard HUD HCV income eligibility; at least one year of HCV participation. Disabled exempt from minimum income/employment.

• 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?

KCDC Homeownership Program (Section 8 Housing Choice Voucher Homeownership) can be used for Single Family, Condo, Manufactured, and Other.

• New construction is eligible.
• Manufactured homes are eligible.

Is there eligibility for specific groups?

KCDC Homeownership Program (Section 8 Housing Choice Voucher Homeownership) names buyers with disabilities 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?

KCDC Homeownership Program (Section 8 Housing Choice Voucher Homeownership) is a federal program, so it is not limited to Tennessee.

How do you apply?

Applications for KCDC Homeownership Program (Section 8 Housing Choice Voucher Homeownership) go through Knoxville's Community Development Corporation (KCDC), 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 KCDC pre-purchase homeownership classes..

2. 2

   Contact Knoxville's Community Development Corporation (KCDC) 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.