Down payment assistance in Minnesota is available to eligible future home owners who meet underwriting guidelines, and can only be used in conjuntion with Minnesota Housing first mortgage programs. You must get the main loan and the assistance from the same lender, and not all lenders offer these programs. These programs are loans, not gifts or grants.  They must be paid back.

You must meet income limits which vary based on what county you buy a home in, and your family size, along with maximum house purchase price guidelines.

Call (651) 552-3681 for more information as income guidelines are constantly changing

Assistance Option 1: Deferred Payment,

No payments are necessary today. You must pay the loan back when you sell, refinance, or no longer occupy the home. You must meet income limits which vary based on what county you buy a home in, and your family size.

     or Deferred Payment Plus Loans

Must meet all conditions of basic deferred payment program. To get the Plus program extra money, you must also meet at least two of the following criteria; sole head of household with at least one dependent living in the home, household of four or more people, disabled household member, front housing payment ratio of 28% of income or higher.

You must meet income limits which vary based on what county you buy a home in, and your family size, along with maximum house purchase price guidelines.

Call (651) 552-3681 for more information as income guidelines are constantly changing

Assistance Option 2: Monthly Payment Loan

These loans monthly payments on this loan starting right away. This is a 10-yr loan. The interest rate matches your main mortgage loan. You must completely pay the loan back when you sell, refinance, or no longer occupy the home.

You must meet income limits which vary based on what county you buy a home in, and your family size, along with maximum house purchase price guidelines.

Call (651) 552-3681 for more information as income guidelines are constantly changing

Start Up First-time Homebuyer Loans

The "Start Up" program is for low and moderate income first time home buyers homebuyers throughout Minnesota. The interest rates are below market rates and available to Minnesotans based on their income. Assistance program Income information is available on our more detailed desktop version web site.

• Purchase Only Loan
• 640 minimum credit score. Actual score may be higher depending on program
• Low, affordable interest rates
• Two downpayment assistance options available for eligible borrowers:
  • Monthly Payment Loan
  • Deferred Payment Loan

Step Up Non-First-time Homebuyers Loans

The "Step Up" program is designed for move up buyers looking for a different home, or someone who HAS owned a home in the previous three-years. This  loan program helps low to moderate income Minnesotans  buy a different home with a very small down payment. The interest rates are below market rates and available to Minnesotans based on their income. Assistance program Income information is available on our more detailed desktop version web site

• Purchase and refinance options
• 640 minimum credit score. Actual score may be higher depending on program
• Low, affordable interest rates
• One downpayment and closing cost loan option available for eligible borrowers:
  • Monthly Payment Loan

MCC (Mortgage Credit Certificates)

Combine a Start Up Program loan with Mortgage Credit Certificates (MCC), which can be used to lower your federal tax liability up to $2,000 per year.  be sure to ask about an the MCC program when applying.

• For First-time homebuyers
• Minnesota Housing home mortgage loan with low, affordable interest rates
• Mortgage Credit Certificate (MCC) to reduce your federal income tax liability up to $2,000 per year
• Optional Monthly Payment Loan to cover downpayment and/or closing costs