Appalachian Community Action & Development Agency (AppCAA) - HOMEownership Down Payment Assistance

Appalachian Community Action & Development Agency (AppCAA) - HOMEownership Down Payment Assistance is a deferred second loan for homebuyers in Gate City, Virginia, administered by Appalachian Community Action & Development Agency, Inc. (AppCAA) - regional DPA provider for VA DHCD. AppCAA is the Virginia DHCD HOMEownership DPA regional administrator for Lee, Scott, Wise counties and the City of Norton. It offers DHCD down payment assistance of up to 15% of the home cost for qualified first-time buyers, paired with Virginia Housing's SPARC 1% rate reduction and the VIDA savings match. AppCAA also provides free HUD-certified housing counseling and 502 Direct loan packaging. Up to 15% of home cost in down payment assistance. 0% deferred, forgiven after affordability period. Stackable with SPARC (-1% rate) and VIDA ($10,000 match). Free HUD housing counseling with credit/collections paydown support. Funding comes from HUD HOME funds via Virginia DHCD HOMEownership DPA program; Virginia Housing SPARC; VIDA.

Appalachian Community Action & Development Agency (AppCAA) - HOMEownership Down Payment Assistance offers between $1,000 and $40,000 in assistance. The program asks homebuyers to contribute 1% of sales price if income 50-80% AMI; $500 if under 50% AMI. Amounts are the program's published maximums, not an offer — Appalachian Community Action & Development Agency, Inc. (AppCAA) - regional DPA provider for VA DHCD determines any individual award.

Appalachian Community Action & Development Agency (AppCAA) - HOMEownership Down Payment Assistance is forgiven after 10 years, so a homebuyer who stays that long does not repay it. Repayment is triggered by Sale, transfer, or loss of owner-occupancy during affordability period; HOME investment recaptured from net proceeds. The assistance is recorded in Second (silent/deferred deed of trust) position. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Appalachian Community Action & Development Agency (AppCAA) - HOMEownership Down Payment Assistance is open to first-time homebuyers and homebuyers who will live in the home as their primary residence. "First-time" has exceptions here: No primary ownership in most recent 3 years counts as first-time. On credit, the program states: Median FICO 620 per governing DHCD guidelines. A homebuyer education course is required, through AppCAA is a HUD-certified housing counseling agency providing pre-purchase counseling + credit-improvement; HUD-certified homebuyer education required.

Appalachian Community Action & Development Agency (AppCAA) - HOMEownership Down Payment Assistance limits household income to 80% of the area median income, which varies by county and household size. Household income at or below 80% AMI by HUD household size/locality. 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.

Appalachian Community Action & Development Agency (AppCAA) - HOMEownership Down Payment Assistance caps the purchase price as follows: Home value <=95% of area median sales price (HUD 203(b) limits). Eligible property types include Single Family, Townhouse, Condo, Modular, and Manufactured. New construction is eligible. Manufactured homes are eligible.

Appalachian Community Action & Development Agency (AppCAA) - HOMEownership Down Payment Assistance serves homebuyers purchasing in Gate City, Virginia. The program targets specific areas: Lee, Scott, Wise are DHCD-designated high-cost/chronically depressed localities eligible for up to 15% of sales price.

Applications for Appalachian Community Action & Development Agency (AppCAA) - HOMEownership Down Payment Assistance go through Appalachian Community Action & Development Agency, Inc. (AppCAA) - regional DPA provider for VA DHCD, which publishes the current terms and the application steps on its own site. Funds are reserved through First-come, first-served. 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.