Targeted Area DPA (TADPA)

Targeted Area DPA (TADPA) is a forgivable loan for homebuyers in Memphis, Tennessee. Memphis HCD's higher-subsidy DPA track for buyers in HUD-designated Neighborhood Revitalization Strategy Areas (NRSAs). Up to $25,000 forgivable second mortgage at 0% deferred, forgiven over 10 years. Drives concentrated homeownership investment in revitalization census tracts. $300K max purchase, 80% AMI ceiling, $500 buyer contribution. Memphis Targeted Area Down Payment Assistance (TADPA) is a HUD HOME / CDBG-funded forgivable second mortgage administered by the Memphis Division of Housing and Community Development with a higher subsidy ceiling for buyers purchasing homes in HUD-designated Neighborhood Revitalization Strategy Areas (NRSAs) and other targeted census tracts within Memphis. Eligible buyers receive up to $25,000 toward down payment and closing costs (vs. $10,000 in standard CWDPA) - the higher subsidy is intended to drive concentrated homeownership investment in revitalization neighborhoods. The loan is 0% interest, deferred, and forgivable over a 10-year HUD HOME affordability period (longer term reflecting the larger subsidy). Pre-1978 housing subject to Lead Safe Housing Rule. Funding comes from Federal, HOME, and City.

Targeted Area DPA (TADPA) offers up to $25,000 in assistance. Homebuyer contribution: Minimum $500 borrower contribution from own funds. 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.

Targeted Area DPA (TADPA) is forgiven after 10 years, so a homebuyer who stays that long does not repay it. Repayment is triggered by Forgiven over 10-year HOME affordability period (1/10 per year of owner-occupancy). 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.

Targeted Area DPA (TADPA) is open to first-time homebuyers and homebuyers who will live in the home as their primary residence. "First-time" has exceptions here: Standard HUD HOME exceptions apply. On credit, the program states: 620 typical minimum FICO. A homebuyer education course is required, through HUD-approved housing counseling agency required (certificate before closing). Memphis HCD-approved providers list at memphistn.gov. Residency requirement: Property within HUD-designated NRSA / targeted census tract within Memphis city limits; primary residence; 10-year affordability period. Citizenship or immigration status: Per HUD HOME federal eligibility. Property must be located within a HUD-designated Neighborhood Revitalization Strategy Area (NRSA) or other Memphis-designated targeted census tract. First-time homebuyer required. Household income at or below 80% AMI Memphis MSA ($45,400-$75,200 by HH size). Max purchase price $300,000. HUD-approved counseling required. Minimum $500 borrower contribution. Property must pass HUD HQS / NSPIRE inspection; pre-1978 housing subject to Lead Safe Housing Rule. 10-year HUD HOME affordability period (longer than CWDPA's 5 years due to higher subsidy amount).

Targeted Area DPA (TADPA) 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.

Targeted Area DPA (TADPA) caps the purchase price at $300,000. Eligible property types include Single-family detached, condominium, townhouse, PUD, 2-unit (1 unit owner-occupied) within targeted areas. New construction is eligible. Manufactured homes are not eligible.

Targeted Area DPA (TADPA) names 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.

Targeted Area DPA (TADPA) serves homebuyers purchasing in Memphis, Tennessee. The program targets specific areas: HUD-designated Neighborhood Revitalization Strategy Areas (NRSAs) and Memphis-designated targeted census tracts. Memphis HCD maintains current map and tract list.

Applications for Targeted Area DPA (TADPA) go through the administering agency, which publishes the current terms and the application steps on its own site. Funds are reserved through Apply through Memphis HCD; subject to annual HUD HOME / CDBG allocation. 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.