Minnesota Down Payment Assistance Programs

Minnesota Housing offers the Start Up Program for first-time buyers. They are specifically designed for those who have not owned a principal residence in the past three years.

Contact us to learn more about the Start Up Program to gain knowledge on the different options and guidelines which include:

• Purchase price limits
• Limits on income
• Credit score minimums
• Homebuyer education completion
• Closing cost and downpayment loan options, get up to $18,000!
• Owner-occupancy requirement

In the event that your income or purchase price exceeds the limits set for the Start Up program, there is still an opportunity for you to qualify under the Step Up program. To begin your journey towards homeownership, reach out to us and we can address any eligibility-related questions you may have. We are here to guide you in determining which Minnesota Housing program suits your needs and circumstances best.

For individuals who are not classified as first-time homebuyers or those who exceed the income and purchase limits for the Start Up program, the Step Up program presents an excellent alternative.

To gain a comprehensive understanding of the Step Up program’s guidelines and available choices, including:

• Income limits
• Options for downpayment and closing cost loans (with a maximum availability of $18,000)
• Credit score minimum
• Owner-occupancy requirements
• Limits on purchase price
• Homebuyer education completion (all borrowers must be first-time homebuyers).

Contact us today to begin your journey toward homeownership.

The Step Up program also provides an opportunity for refinancing your existing mortgage. With this option, you can access our Monthly Payment Loan to cover your closing costs. It’s important to note that you do not need to be an existing Minnesota Housing borrower to utilize this program. However, if you are currently a borrower with one of our second mortgages, there is a possibility to subordinate it when you refinance through Step Up.

Explore the guidelines and options offered by the Step Up program, which include,

• Income limits
• Closing cost and downpayment loan options (with a maximum availability of $18,000)
• Credit score minimums
• Required owner-occupancy
• Limits on loan amounts

Take the next step in your refinancing journey by contacting us to guide you through the process of understanding the Minnesota Step Up program for your specific circumstances.

Once you meet the loan qualification criteria and are deemed eligible for the Minnesota Housing Start Up or Step Up programs, you also gain the opportunity for down payment and closing cost loans. These loans are not grants and must be paid back in full which range in amounts from $16,500-$18,000. These loans can only be used with a Minnesota Housing First Mortgage while also having eligibility requirements.

Main features of the closing cost and downpayment loan options:

*An interest-free deferred balloon loan necessitates full repayment in a single lump sum either at the end of the mortgage term, upon the borrower’s relocation, the property’s sale or refinancing (unless refinancing through our Step Up program), or when the first mortgage is completely paid off.

Contact us today to get assistance with the Start Up or Step Up Programs. We can guide you through the process to learn which second mortgage is best for your scenario as well as additional requirements and guidelines for the Minnesota Housing closing cost and downpayment loans.