Down Payment/Closing Cost Assistance Program (DPCC)

What is Down Payment/Closing Cost Assistance Program (DPCC)?

Down Payment/Closing Cost Assistance Program (DPCC) is a deferred second loan for homebuyers in Loudoun County, Virginia.

• DPCC is Loudoun County's standard tier Down Payment / Closing Cost Assistance Program for low- to moderate-income first-time homebuyers. It serves households at or below 70% AMI for the Washington-Arlington-Alexandria HMFA. Provides up to $25,000 as a 0% interest deferred-payment second mortgage. Funds are sourced from HUD HOME pass-through dollars and Loudoun County general fund. Administered by Loudoun County Department of Housing and Community Development.
• Up to $25,000 in down-payment and closing-cost assistance for low- to moderate-income first-time homebuyers purchasing in Loudoun County. Provided as a 0% interest deferred-payment second mortgage. No monthly payments.
• repaid upon sale, refinance with cash-out, transfer, or loss of primary-residence status.
• Funding comes from HOME, Federal, and Local Government.

Do you have to pay it back?

Down Payment/Closing Cost Assistance Program (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 Deferred 0% second-mortgage repayable in full upon sale, refinance with cash-out, transfer, or loss of primary-residence status.
• The assistance is recorded in 2 position.
• Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

Down Payment/Closing Cost Assistance Program (DPCC) is open to first-time homebuyers and buyers who will live in the home as their primary residence.

What are the income limits?

Down Payment/Closing Cost Assistance Program (DPCC) limits household income to 70% of the area median income, which varies by county and household size.

• Household income between $34,450 (1-person minimum threshold) and $151,500 (8-person maximum) tracking 30%-70% AMI for Washington-Arlington-Alexandria HMFA. Lower-income tier; the higher-income DPCC Plus tier serves households up to 100% AMI.
• 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?

Down Payment/Closing Cost Assistance Program (DPCC) caps the purchase price as follows: Tracks Virginia Housing maximum sales price for Loudoun County.

• Eligible property types include Single-family detached, Townhouse, and Condominium.
• New construction is eligible.
• Manufactured homes are not eligible.

Where does it apply?

Down Payment/Closing Cost Assistance Program (DPCC) serves buyers purchasing in Loudoun County, Virginia.

How do you apply?

Applications for Down Payment/Closing Cost Assistance Program (DPCC) go through the administering agency, 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 HUD-approved housing counseling agencies serving Loudoun County; 8-hour homebuyer-education certificate required..

2. 2

   Contact the administering agency to reserve funds

   Funds are reserved through Application through Loudoun County Department of Housing and Community Development; first-come, first-served subject to annual funding., 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.