Down Payment / Closing Cost Assistance

What is Down Payment / Closing Cost Assistance?

Down Payment / Closing Cost Assistance is a deferred second loan for homebuyers in Multiple County, Washington.

• Spokane Indian Housing Authority NAHASDA-funded down payment and closing cost assistance program for enrolled Spokane Tribe of Indians members purchasing a primary residence within the Spokane tribal service area in eastern Washington.
• Down payment and closing cost assistance for enrolled members of the Spokane Tribe of Indians purchasing a primary residence within the Spokane tribal service area. NAHASDA/IHBG-funded 0% deferred forgivable second mortgage — no monthly payment, forgiven over an affordability period if owner-occupancy maintained.
• Funding comes from Federal, HUD, NAHASDA, IHBG, and Tribal.

Do you have to pay it back?

Down Payment / Closing Cost Assistance is forgiven after 5 years, so a buyer who stays that long does not repay it.

• Repayment is triggered by Forgiven over affordability period if owner-occupied and payable in full on sale, refinance with cash-out, or vacating primary residence.
• The assistance is recorded in 2nd Lien position.
• Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

Down Payment / Closing Cost Assistance is open to buyers who will live in the home as their primary residence.

What are the income limits?

Down Payment / Closing Cost Assistance limits household income to 80% of the area median income, which varies by county and household size.

• Household income $21,200 (1 person, ~30% AMI) to $106,500 (8 person, ~80% AMI) per HUD NAHASDA / IHBG limits for the Spokane tribal service area.
• 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?

Down Payment / Closing Cost Assistance caps the purchase price as follows: Reasonable purchase price for primary residence in Spokane service area.

• Eligible property types include Single-family detached, condo, townhouse, modular, manufactured (with land).
• New construction is eligible.
• Manufactured homes are eligible.

Is there eligibility for specific groups?

Down Payment / Closing Cost Assistance names veterans, active-duty service members, reservists and National Guard members, surviving spouses, and 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?

Down Payment / Closing Cost Assistance serves buyers purchasing in Multiple County, Washington.

• The program targets specific areas: Spokane Tribe of Indians service area in eastern Washington (Stevens, Spokane, Pend Oreille, Lincoln counties).

How do you apply?

Applications for Down Payment / Closing Cost Assistance 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 Spokane Indian Housing Authority homebuyer education and HUD-approved native homebuyer counseling.

2. 2

   Contact the administering agency to reserve funds

   Funds are reserved through Apply via Spokane Indian Housing Authority; first-come first-served per annual NAHASDA 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.