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People Incorporated of Virginia - HOMEownership Down Payment & Closing Cost Assistance (DPA)

People Incorporated of Virginia (regional DPA provider for VA DHCD) · Bristol, Virginia

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See what you qualify forOfficial program site →
Assistance

$1,000–$40,000

The maximum the program publishes — not an offer

Income limit

80% AMI

Of area median income; varies by county and household size

Repayment

Forgivable

Forgiven after 10 years

What is People Incorporated of Virginia - HOMEownership Down Payment & Closing Cost Assistance (DPA)?

People Incorporated of Virginia - HOMEownership Down Payment & Closing Cost Assistance (DPA) is a deferred second loan for homebuyers in Bristol, Virginia, administered by People Incorporated of Virginia (regional DPA provider for VA DHCD).

  • People Incorporated of Virginia is the regional administrator of Virginia DHCD's HOMEownership Down Payment & Closing Cost Assistance (DPA) program for far-Southwest Virginia. Income-eligible first-time homebuyers (<=80% AMI) receive a 0% deferred second-mortgage loan of up to 10% (15% in high-cost areas) of the sales price plus up to $2,500 in closing costs, max $40,000, forgiven after a 5- or 10-year affordability period. People Inc. also packages USDA 502 Direct loans and pairs DPA with Virginia Housing first mortgages.
  • 0% interest, no monthly payments.
  • Forgiven after 5-10 year affordability period.
  • Up to $40,000 toward down payment and closing costs.
  • Pairs with Virginia Housing/USDA/FHA/VA/Conventional first mortgages.
  • Free HUD-certified housing counseling and homebuyer education.
  • This is a federal program, so it is available beyond a single state or city.
  • Funding comes from HUD HOME funds via Virginia DHCD HOMEownership DPA program.

How much assistance does it provide?

People Incorporated of Virginia - HOMEownership Down Payment & Closing Cost Assistance (DPA) offers between $1,000 and $40,000 in assistance.

  • The program asks buyers to contribute 1% of sales price from personal funds if income 50-80% AMI; $500 if income under 50% AMI (may be appraisal/inspection/credit/closing costs with receipts).
  • Amounts are the program's published maximums, not an offer — People Incorporated of Virginia (regional DPA provider for VA DHCD) determines any individual award.

Do you have to pay it back?

People Incorporated of Virginia - HOMEownership Down Payment & Closing Cost Assistance (DPA) is forgiven after 10 years, so a buyer who stays that long does not repay it.

  • Repayment is triggered by Sale, transfer of title, refinance with cash-out, or ceasing to occupy as primary residence during the affordability period; HOME investment recaptured from net proceeds.
  • The assistance is recorded in Second (silent/deferred deed of trust behind first mortgage) position.
  • Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

People Incorporated of Virginia - HOMEownership Down Payment & Closing Cost Assistance (DPA) is open to first-time homebuyers and buyers who will live in the home as their primary residence.

The program requires

  • First-time homebuyer — with exceptions: Treated as first-time if no primary ownership interest in most recent 3-year period; mobile home titled as personal property or inherited/investment property not occupied in last 3 yrs also qualifies.
  • The home is occupied as a primary residence
  • On credit: Median FICO of 620; at least 3 open/current trade lines (alternative credit of 3 trades may be considered).
  • A completed homebuyer education course, through HUD-certified Homebuyer Education through Virginia Housing, NeighborWorks, or HUD-certified agency; plus housing counseling from a HUD-certified counselor.
  • DRAFT (dpa-gap-finder 2026-06-12): pending review. Min 90-day work history required; collections >=$1,000 and all judgments must be paid before closing. GAP NOTES: People Inc.'s own page states only that down-payment assistance 'may be available'; money/term details confirmed from the governing DHCD HOMEownership DPA Program Guidelines (Rev. Oct 2024), which People Inc. administers per the DHCD DPA Local Provider Contact List (Rev. March 2026). Exact 4-person dollar income limits not published on provider page.

The program excludes

  • Households above 80% of area median income

These are the program's own published rules, not a decision about any individual — the administering agency and a lender determine who actually qualifies.

What are the income limits?

People Incorporated of Virginia - HOMEownership Down Payment & Closing Cost Assistance (DPA) limits household income to 80% of the area median income, which varies by county and household size.

  • Total household income at or below 80% AMI by HUD household size/locality (HUD HOME limits, updated ~June/July annually). Section 8 income definition used.
  • The limit applies to total household income, not only the borrower&rsquo;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.

What kind of home can it be used for?

People Incorporated of Virginia - HOMEownership Down Payment & Closing Cost Assistance (DPA) caps the purchase price as follows: Home value may not exceed 95% of area median sales price (HUD 203(b) limits).

  • Eligible property types include Single Family, Townhouse, Condo, Modular, Manufactured, and 2-4 Unit (owner-occupied deeded unit only).
  • New construction is eligible.
  • Manufactured homes are eligible.

Where does it apply?

People Incorporated of Virginia - HOMEownership Down Payment & Closing Cost Assistance (DPA) is a federal program, so it is not limited to Virginia.

  • The program targets specific areas: High-Cost/Chronically Economically Depressed localities (incl. Buchanan, Dickenson, Lee, Russell, Scott, Tazewell, Wise, Wythe, Smyth, Grayson, Carroll, Bland) qualify for up to 15% of sales price vs. 10% elsewhere.

How do you apply?

Applications for People Incorporated of Virginia - HOMEownership Down Payment & Closing Cost Assistance (DPA) go through People Incorporated of Virginia (regional DPA provider for VA DHCD), which publishes the current terms and the application steps on its own site.

  1. Take a homebuyer education course

    Required by the program, through HUD-certified Homebuyer Education through Virginia Housing, NeighborWorks, or HUD-certified agency; plus housing counseling from a HUD-certified counselor..

  2. Contact People Incorporated of Virginia (regional DPA provider for VA DHCD) to reserve funds

    Funds are reserved through First-come, first-served; funds reserved only after lender pre-approval and DPA eligibility met, and are subject to availability.

  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.

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