HOME First-Time Homebuyers Program

What is HOME First-Time Homebuyers Program?

HOME First-Time Homebuyers Program is a deferred second loan for homebuyers in Augusta|Bath|Highland|Rockbridge|Rockingham County, Virginia.

• The Central Shenandoah PDC HOME First-Time Homebuyers Program is a regional DPA program serving the five-county Central Shenandoah PDC service area plus the cities of Buena Vista, Harrisonburg, Lexington, Staunton, and Waynesboro. Provides up to $30,000 as a 0% interest deferred-payment second mortgage. Funds are sourced from HUD HOME pass-through dollars. Maximum sales price $209,000 for existing homes and $271,000 for new construction.
• Up to $30,000 in down-payment and closing-cost assistance for first-time homebuyers purchasing in the Central Shenandoah Planning District. 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 and Federal.

Do you have to pay it back?

HOME First-Time Homebuyers Program 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?

HOME First-Time Homebuyers Program is open to first-time homebuyers and buyers who will live in the home as their primary residence.

What are the income limits?

HOME First-Time Homebuyers Program limits household income to 80% of the area median income, which varies by county and household size.

• Household income between $41,100 (1-person minimum threshold) and $94,950 (8-person maximum) at 80% AMI for the CSPDC service area. Updated annually.
• 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?

HOME First-Time Homebuyers Program caps the purchase price at $271,000.

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

Where does it apply?

HOME First-Time Homebuyers Program serves buyers purchasing in Augusta|Bath|Highland|Rockbridge|Rockingham County, Virginia.

How do you apply?

Applications for HOME First-Time Homebuyers Program 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 the Shenandoah Valley; CSPDC partner counseling providers..

2. 2

   Contact the administering agency to reserve funds

   Funds are reserved through Application through CSPDC; first-come, first-served subject to annual HUD HOME funding allocation., 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.