hey prescott.
See what you qualify for

Memphis Housing Authority (MHA)

Memphis, Tennessee

Last verified
See what you qualify forOfficial program site →
Assistance

$10,000

The maximum the program publishes — not an offer

Income limit

80% AMI

Of area median income; varies by county and household size

Price cap

$300,000

Highest purchase price the program allows

Repayment

Forgivable

Forgiven after 5 years

What is Memphis Housing Authority (MHA)?

Memphis Housing Authority (MHA) is a forgivable loan for homebuyers in Memphis, Tennessee.

  • Memphis HCD DPA track specifically for current/former MHA public housing residents and HCV families transitioning to homeownership. Up to $20,000 forgivable second mortgage at 0%, forgiven over 5 years. Higher subsidy ceiling than CWDPA reflecting public-housing family asset position. $300K max purchase, 80% AMI ceiling.
  • The Memphis Housing Authority (MHA) DPA program is a HUD HOME-funded forgivable second mortgage administered by the City of Memphis Division of Housing and Community Development specifically for current and former Memphis Housing Authority public housing and Housing Choice Voucher (HCV) participants who are transitioning to homeownership. Eligible families receive up to $20,000 toward down payment and closing costs - a higher subsidy than standard CWDPA in recognition of the typically lower wealth/asset position of public-housing families. The loan is 0% interest, deferred, and forgivable over a 5-year HUD HOME affordability period.
  • Funding comes from Federal, HOME, and City.

How much assistance does it provide?

Memphis Housing Authority (MHA) offers up to $10,000 in assistance.

  • Buyer contribution: Minimum $500 borrower contribution.
  • The program can be combined with other assistance, subject to the rules of each.
  • Amounts are the program's published maximums, not an offer — the administering agency determines any individual award.

Do you have to pay it back?

Memphis Housing Authority (MHA) is forgiven after 5 years, so a buyer who stays that long does not repay it.

  • Repayment is triggered by Forgiven over 5-year HOME affordability period (1/5 per year). Unforgiven balance due on sale, transfer, refinance (cash-out), or non-occupancy before period end, limited to net proceeds.
  • 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?

Memphis Housing Authority (MHA) is open to first-time homebuyers and buyers who will live in the home as their primary residence.

The program requires

  • First-time homebuyer — with exceptions: Standard HUD HOME exceptions apply (displaced homemakers, single parents, manufactured homes without permanent foundations).
  • The home is occupied as a primary residence
  • On credit: 620 typical minimum FICO; some lenders require higher.
  • A completed homebuyer education course, through HUD-approved housing counseling agency required (certificate before closing). MHA family self-sufficiency program counseling typically counts. Memphis HCD-approved providers list at memphistn.gov.
  • Residency: Property within Memphis city limits; primary residence; 5-year affordability period.
  • Citizenship or immigration status: Per HUD HOME federal eligibility.
  • Applicant must be a current or former MHA public housing resident or Housing Choice Voucher (HCV) family. First-time homebuyer required (standard HOME exceptions apply). Household income at or below 80% AMI Memphis MSA ($45,400-$75,200 by HH size). Property in Memphis city limits, primary residence. Max purchase price $300,000. HUD-approved counseling required. Minimum $500 borrower contribution. Property must pass HQS/NSPIRE; pre-1978 lead-paint compliance. 5-year HOME affordability period.

The program excludes

  • Manufactured homes
  • Purchases above the $300,000 price cap
  • Households above 80% of area median income

These are the program's own published rules, not a decision about any individual — the administering agency and a lender determine who actually qualifies.

What are the income limits?

Memphis Housing Authority (MHA) limits household income to 80% of the area median income, which varies by county and household size.

  • Household income at or below 80% AMI Memphis MSA - 2025 limits $45,400 (1p) to $75,200 (8p).
  • The limit applies to total household income, not only the borrower’s.
  • The program lists a maximum household size of 8.
  • 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?

Memphis Housing Authority (MHA) caps the purchase price at $300,000.

  • Eligible property types include Single-family detached, condominium, townhouse, PUD, 2-unit (1 unit owner-occupied).
  • New construction is eligible.
  • Manufactured homes are not eligible.

Is there eligibility for specific groups?

Memphis Housing Authority (MHA) names veterans, active-duty service members, reservists and National Guard members, and surviving spouses 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?

Memphis Housing Authority (MHA) serves buyers purchasing in Memphis, Tennessee.

How do you apply?

Applications for Memphis Housing Authority (MHA) go through the administering agency, which publishes the current terms and the application steps on its own site.

  1. Take a homebuyer education course

    Required by the program, through HUD-approved housing counseling agency required (certificate before closing). MHA family self-sufficiency program counseling typically counts. Memphis HCD-approved providers list at memphistn.gov..

  2. Contact the administering agency to reserve funds

    Funds are reserved through Apply through Memphis HCD / MHA family self-sufficiency program coordination; annual HOME/CDBG allocation., and are subject to availability.

  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.

Other programs in Memphis, Tennessee

See every program in Memphis, Tennessee →

90-second match

Not sure which you qualify for?

Answer 9 questions and we'll match you to every program you can actually use — in about 90 seconds. No SSN, no credit pull.

Find my programs