Loudoun County Public Employee Homeownership Grant Program (PEG)

Loudoun County Public Employee Homeownership Grant Program (PEG) is a forgivable loan for homebuyers in Leesburg, Virginia, administered by Loudoun County Department of Housing and Community Development. The PEG Program helps full- or part-time employees (>=20 hrs/week, 12+ months service) of Loudoun County government, Loudoun County Public Schools, and Courts/Constitutional Officers buy a home in Loudoun County. It provides a 0% forgivable second of up to 10% of sales price (max $25,000) for down payment and closing costs, forgiven 20%/yr over 5 years while the employee keeps their job and occupies the home. Educator-eligible because LCPS staff are a primary eligible group. Up to $25,000 for county & school employees. 0% interest, no monthly payments. Forgivable over 5 years. Down payment & closing cost coverage. Educators (LCPS) eligible. Funding comes from Loudoun County Housing Fund (local).

Loudoun County Public Employee Homeownership Grant Program (PEG) offers up to $25,000 in assistance. Homebuyer contribution: Min $1,000 of borrower's own funds. The program can be combined with Conventional/FHA/VA/VHDA first-trust loans. Amounts are the program's published maximums, not an offer — Loudoun County Department of Housing and Community Development determines any individual award.

Loudoun County Public Employee Homeownership Grant Program (PEG) is forgiven after 5 years, so a homebuyer who stays that long does not repay it. Repayment is triggered by Forgiven 20% ($5,000)/yr over 5 years; unforgiven balance due if borrower stops County/LCPS employment, sells, or ceases owner-occupancy before term. The assistance is recorded in Subordinate (second) lien position. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Loudoun County Public Employee Homeownership Grant Program (PEG) is open to homebuyers who will live in the home as their primary residence. A homebuyer education course is required, through Virginia Housing Homebuyer Education certificate required for all borrowers before settlement. Residency requirement: Must purchase a home within Loudoun County. Employer-restricted (Loudoun County govt / LCPS / Courts & Constitutional Officers); annual forgiven amount is taxable. DTI over 34/45 may be ineligible (exceptions to 35/46 with 3+ compensating factors). Net worth cap 50% of sales price. Cash-out refi/HELOC requires full payoff.

Loudoun County Public Employee Homeownership Grant Program (PEG) limits household income to 70% of the area median income, which varies by county and household size. Gross household income 30%-70% AMI; eligible range ~$49,850-$116,300 regardless of family size. Loudoun 4-person: 70%=$116,300, 80%=$132,900. 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.

Loudoun County Public Employee Homeownership Grant Program (PEG) names educators among the groups it serves. The program is also limited to employees of Loudoun County Government, Loudoun County Public Schools, Courts and Constitutional Officers. Being named here means the program mentions the group, not that membership alone qualifies an applicant — the rest of the eligibility rules still apply.

Loudoun County Public Employee Homeownership Grant Program (PEG) serves homebuyers purchasing in Leesburg, Virginia.

Applications for Loudoun County Public Employee Homeownership Grant Program (PEG) go through Loudoun County Department of Housing and Community Development, which publishes the current terms and the application steps on its own site. Funds are reserved through First-come, first-served; Loan Committee approval; reservation valid 90 days; waitlist when depleted. 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.