Homeownership Equity Program (HEP) Down Payment Assistance

What is Homeownership Equity Program (HEP) Down Payment Assistance?

Homeownership Equity Program (HEP) Down Payment Assistance is a forgivable loan for homebuyers in Burlington, Vermont, administered by Champlain Housing Trust.

• A Special Purpose Credit Program (under ECOA) created to address racial homeownership gaps. Provides 0.00% interest down payment assistance loans (0.06% APR) of up to $25,000 to qualified shared-equity homebuyers who identify as BIPOC. Fully forgiven if the buyer owns and occupies the home for three or more years. Available statewide through nine partner agencies.
• Up to $25,000 in DPA at 0.00% interest (0.06% APR); fully forgiven after 3 years of owner-occupancy.
• Funding comes from Champlain Housing Trust (Special Purpose Credit Program under ECOA).

How much assistance does it provide?

Homeownership Equity Program (HEP) Down Payment Assistance offers up to $25,000 in assistance.

• Amounts are the program's published maximums, not an offer — Champlain Housing Trust determines any individual award.

Do you have to pay it back?

Homeownership Equity Program (HEP) Down Payment Assistance is forgiven after 3 years, so a buyer who stays that long does not repay it.

• Repayment is triggered by Repayment required only if the buyer does not own and occupy the home for at least 3 years; after 3 years the loan is forgiven.
• Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

Homeownership Equity Program (HEP) Down Payment Assistance is open to first-time homebuyers and buyers who will live in the home as their primary residence.

What are the income limits?

Homeownership Equity Program (HEP) Down Payment Assistance limits household income to 100% of the area median income, which varies by county and household size.

• Household income at or below 100% of area median income.
• 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.

Is there eligibility for specific groups?

Homeownership Equity Program (HEP) Down Payment Assistance names American Indian and Alaska Native buyers among the groups it serves.

• Being named here means the program mentions the group, not that membership alone qualifies an applicant — the rest of the eligibility rules still apply.

Where does it apply?

Homeownership Equity Program (HEP) Down Payment Assistance serves buyers purchasing in Burlington, Vermont.

How do you apply?

Applications for Homeownership Equity Program (HEP) Down Payment Assistance go through Champlain Housing Trust, which publishes the current terms and the application steps on its own site.

1. 1

   Contact Champlain Housing Trust to reserve funds

   Funds are reserved with the provider and are subject to availability.

2. 2

   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.