North Carolina down payment assistance directory
Up to $15,000 to buy your first North Carolina home, available today
There is no state home program just for public servants yet. The Homes for Heroes bill (SB 789) is still a proposal. What you can use right now is NCHFA's NC Home Advantage Mortgage, with forgivable help of up to 3% of the loan, or $15,000 if you're a first-time buyer or a veteran.
Two minutes. Free. Your credit is not pulled. Rather talk? Call (800) 555-0100.
Numbers to know
The manual
Two ways to get forgivable down payment help
Pick one: up to 3% of the loan, or $15,000 for qualifying first-time buyers and veterans. Both are 0% deferred second mortgages forgiven over years 11 through 15.
Your down payment options in North Carolina
NC Home Advantage 3% DPA
Up to 3% of your first-mortgage loan amount. Open to first-time and move-up buyers with income up to $158,000. No NCHFA sales price limit.
NC 1st Home Advantage Down Payment
A flat $15,000 for first-time buyers, qualifying military veterans and buyers in targeted census tracts. The full $15,000 must be used, and the home can cost up to $525,000.
Community Partners Loan Pool
If your household earns 80% of area median income or less, a CPLP member organization may add up to 25% of the price, capped at $50,000, as a 0% deferred loan. NCHFA's CPLP page says it can be paired with the $15,000 option.
Homes for Heroes (proposed only)
Senate Bill 789 would give teachers, officers, firefighters, EMS, active-duty military and veterans up to the lesser of $25,000 or 10% of the price. It has not passed and is not funded.
Jobs that fit the program in North Carolina
NCHFA's programs have no job requirement. Teachers, officers, firefighters, EMTs, nurses and veterans qualify the same way as any buyer, by meeting the income, credit and home rules. Veterans also get a one-time pass on the first-time-buyer rule for the $15,000 option.
Teachers
Public, private and charter school teachers qualify like any buyer who meets the income and credit rules.
Police officers and deputies
City officers and sheriff's deputies use the same NCHFA programs. No officer-only product exists yet.
Firefighters
Paid and volunteer firefighters qualify on the same terms as any buyer.
EMTs and paramedics
County EMS crews and private ambulance staff qualify on the same terms as any buyer.
Nurses and healthcare workers
Hospital, clinic and home-health workers qualify on the same terms as any buyer.
Military veterans
Qualifying veterans can get the $15,000 option once even if they owned a home before.
The rules you must meet
First-time buyer rule
Not needed for the 3% option. For the $15,000 option, you can't have owned a principal residence in the past 3 years, unless you're a qualifying veteran or buying in a targeted census tract.
Income
Up to $158,000 for the NC Home Advantage Mortgage, the same in every county and for any household size. The $15,000 option uses county family income limits, from $101,000 to $152,000. See your county.
Credit and debt
A 640 minimum credit score (660 for a manufactured home) and a debt-to-income ratio of 45% or less.
The home
It must be your principal residence, and you must move in within 60 days of closing. The $15,000 option caps the price and loan amount at $525,000.
Homebuyer class
Required when every borrower is a first-time buyer. One borrower takes an approved course, and the certificate is good for 1 year.
Borrowers
Co-signers and non-occupant borrowers are not allowed. Everyone on the loan lives in the home.
The first mortgage underneath
Both down payment options ride on the NC Home Advantage Mortgage, a 30-year fixed-rate first mortgage. NCHFA posts its rates daily, and there's no stated rate discount.
Loan types
- FHA
- VA
- USDA
- Conventional through Fannie Mae HFA Preferred or Freddie Mac HFA Advantage
Not eligible
- Refinances and second homes
- FHA 203(k) rehab loans
- USDA Direct and HUD 184 loans
- Manufactured homes on conventional loans (FHA, VA or USDA only, 660 score)
How the help can be used
- The $15,000 can go to the down payment, mortgage insurance and closing costs
- Cash back at closing is capped at $2,500
- Cash back can only come from your own verified out-of-pocket payments
Good to know
- When rates are high, NCHFA's rate sheet may show the 3% option as 'n/a'
- Your lender reserves the loan in NCHFA's Online Lender Services system
- The second mortgage is recorded in NCHFA's name
The order to do things in
- Step 1Check the basics: a 640+ credit score, debt-to-income of 45% or less, and income within the limit. Our 2-minute eligibility check walks you through it.
- Step 2Talk to an NCHFA participating lender. We can match you with one, or use the lender search on nchfa.com.
- Step 3If everyone on the loan is a first-time buyer, finish an approved homebuyer education course.
- Step 4Get pre-approved. Your lender reserves the NC Home Advantage Mortgage, and the $15,000 option shows up in NCHFA's system if you qualify.
- Step 5Choose the 3% or the $15,000 option and close. The forgivable second mortgage is recorded in NCHFA's name.
- Step 6If your income is at or below 80% of area median, ask a Community Partners Loan Pool member about extra help before you sign a contract.
Papers to pull together
Income and job
Recent pay stubs, W-2s and tax returns. The lender verifies employment as normal underwriting. There's no separate job certificate.
Veterans
Your DD214 showing an honorable discharge, if you're using the veteran exception for the $15,000 option.
Homebuyer education
Your course certificate, dated within the past year, if every borrower is a first-time buyer.
Assets
Bank statements for your own funds, since any cash back is limited to what you paid out of pocket.
Look up your county
The $158,000 income limit and the $525,000 price cap for the $15,000 option are statewide. Income limits for the $15,000 option vary by county, so pick yours to start.
All county guidesCity programsIncome limits tableBudget calculatorProgram directory
Worked example
See what $15,000 covers
If you qualify for the NC 1st Home Advantage Down Payment, the full $15,000 goes toward your down payment, mortgage insurance and closing costs. Enter a price to see how far it stretches.
- Type a home price or drag the slider.
- Pick the loan type you expect to use.
- Read the split on the right: what the help covers and what is left over.
Get a person on it
Work with a lender who already uses this program
Only NCHFA participating lenders can reserve these loans, and they decide each day whether the 3% or the $15,000 option fits you best. A loan officer who does these loans often will check your county's limit for the $15,000 option, line up the homebuyer class, and tell you whether a Community Partners Loan Pool member can add more help.
Special cases
If your income doesn't come on a W-2
Self-employed and 1099 income
Work for yourself?
Contractors, shop owners and freelancers can use North Carolina's statewide down payment help. The key is what your tax returns show.
- Two years on your returns is the usual starting point
- Lenders qualify you on net profit, plus a few add-backs
- No job rule for NCHFA's 3% or $15,000 options
Rideshare, delivery and app-based work
Drive or deliver for an app?
Uber, Lyft, DoorDash, Instacart and Spark drivers can use North Carolina's statewide down payment help. Lenders count what's left after mileage.
- About 2 years of gig income on your returns
- Schedule C net profit, not app earnings
- Every 1099 from every app, for both years
Troubleshooting
Questions buyers ask about NC Home Advantage Mortgage with Down Payment Assistance
Is there a North Carolina home buying program just for teachers and first responders?
Not yet. A bill called Homes for Heroes (Senate Bill 789) would create one, with up to the lesser of $25,000 or 10% of the price. Its last action was on April 23, 2026, when it was re-referred to a Senate committee, and it has not been funded. For now, teachers and first responders use NCHFA's regular programs, which any eligible buyer can use.
How much down payment help can a North Carolina teacher or firefighter get right now?
With an NC Home Advantage Mortgage you can get up to 3% of the loan amount. If you're a first-time buyer, a qualifying military veteran or buying in a targeted census tract, you may get $15,000 through the NC 1st Home Advantage Down Payment instead. You can't use both at once.
Do I have to pay the down payment assistance back?
It's a 0% interest second mortgage with no monthly payments, not a grant. It is forgiven 20% a year at the end of years 11 through 15 and is fully forgiven after year 15. You repay only the part not yet forgiven if you sell or refinance before then.
What credit score do I need?
NCHFA requires a minimum score of 640, and 660 for a manufactured home. Your debt-to-income ratio can be up to 45%.
What is the income limit?
For the NC Home Advantage Mortgage, the limit is $158,000 statewide, no matter your household size. The $15,000 NC 1st Home Advantage Down Payment uses limits that vary by county and family size, so a participating lender confirms yours. Read how the limits work.
Is there a home price limit?
The $15,000 option has a $525,000 sales price and loan amount limit. The NC Home Advantage Mortgage with 3% help has no NCHFA price cap. Only the normal FHA, VA, USDA or conventional loan limits apply.
I owned a home before. Can I still qualify?
Yes, for the 3% option, which is open to move-up buyers. The $15,000 option requires that you haven't owned a principal residence in the past three years, unless you're a qualifying veteran or buying in a targeted census tract.
Do I need to take a homebuyer class?
Yes, if every borrower on the loan is a first-time buyer. Only one borrower needs to finish an approved course, such as a HUD, FHA or Freddie Mac approved course, HomeView or CreditSmart Homebuyer U. The certificate is good for one year.
I'm a veteran who now works as a deputy. Do I get anything extra?
Veterans get a one-time exception from the first-time-buyer rule for the $15,000 option. You need 181 or more consecutive days of active duty, an honorable discharge, no other home owned at closing, and you must apply before the 25th anniversary of leaving active service. Your law enforcement job itself doesn't add a benefit under current programs.
How do I apply?
You apply through an NCHFA participating lender, not the Agency itself. We can match you with one, or you can use the lender search on nchfa.com or call NCHFA at 1-800-393-0988. The lender reserves your loan and down payment help in NCHFA's system.
Find out which option fits you
Answer six quick questions and a loan officer who offers the NC Home Advantage Mortgage calls you back with figures for your own situation.
