Lift Up Homeownership

What is Lift Up Homeownership?

Lift Up Homeownership is a forgivable loan for homebuyers in Statewide County, Vermont, administered by FHLBank Boston.

• An enhanced down payment and closing cost grant program (launched April 1, 2026) for first-time, first-generation homebuyers earning no more than 120% of area median income. Provides a grant up to $40,000, forgivable after five years. Eligible properties include 1-4 family homes, townhouses, condos, co-ops, and manufactured housing deeded as real estate. Available in Vermont through participating FHLBank Boston members.
• Grant up to $40,000 for down payment and closing costs; up to 2 points rate buydown; forgivable after 5 years; layerable with non-FHLBB local/state/federal DPA.
• Funding comes from FHLBank Boston.

How much assistance does it provide?

Lift Up Homeownership offers up to $40,000 in assistance.

• Buyer contribution: Homebuyer must contribute $1,000 of their own funds (not a gift or gift of equity), shown on the purchase & sales agreement.
• Amounts are the program's published maximums, not an offer — FHLBank Boston determines any individual award.

Do you have to pay it back?

Lift Up Homeownership is forgiven after 5 years, so a buyer who stays that long does not repay it.

• Repayment is triggered by Forgiven 5 years after closing; on sale/transfer/refinance before 5 years FHLBank Boston conducts a repayment calculation based on net proceeds and the buyer's capital investment.
• The assistance is recorded in Subordinate (buyer signs a subordinate mortgage and note securing affordability provisions) position.
• Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

Lift Up Homeownership is open to first-time homebuyers and buyers who will live in the home as their primary residence.

What are the income limits?

Lift Up Homeownership limits household income to 120% of the area median income, which varies by county and household size.

• Household income no more than 120% of area median income; max asset cap of $150,000 (deposits + cash to close).
• 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.

What kind of home can it be used for?

Lift Up Homeownership can be used for 1-4 family, townhome, condo, cooperative, and manufactured home deeded as real estate.

• Manufactured homes are eligible.

Is there eligibility for specific groups?

Lift Up Homeownership names first-generation 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?

Lift Up Homeownership serves buyers purchasing in Statewide County, Vermont.

How do you apply?

Applications for Lift Up Homeownership go through FHLBank Boston, 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 FHLBank Boston-approved homebuyer education/counseling organization (at least one adult borrower).

2. 2

   Contact FHLBank Boston to reserve funds

   Funds are reserved with the provider 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.