Ohio OHFA First-Time Homebuyer Program Guide

Guide to the Ohio OHFA First-Time Homebuyer Program

The Ohio OHFA First-Time Homebuyer Program is designed to help first-time buyers achieve homeownership by offering affordable fixed-rate mortgages and down payment assistance. Administered by the Ohio Housing Finance Agency (OHFA), this program makes purchasing a home more attainable for low- and moderate-income individuals and families. Below is a comprehensive guide to the program’s benefits, eligibility requirements, and how to apply for 2025.

1. Program Overview:

• Purpose: The program offers affordable financing options and financial assistance to reduce the upfront costs of buying a home.
• Down Payment Assistance: Eligible buyers can receive financial support to cover down payment and closing costs, making homeownership more accessible.
• Fixed-Rate Mortgages: Borrowers benefit from competitive fixed-rate mortgage options, ensuring predictable and stable monthly payments.

2. Eligibility Requirements for 2025:

To qualify for the Ohio OHFA First-Time Homebuyer Program, applicants must meet the following criteria:

• First-Time Buyer: Applicants must be first-time buyers, defined as those who have not owned a home in the past three years. Exceptions may apply for military veterans or buyers in targeted areas.
• Income Limits: Household income must fall within program limits, which vary by county and household size. These limits are updated annually to reflect area median income (AMI).
• Purchase Price Limits: The home’s purchase price must not exceed program-specific limits, which are adjusted annually based on local housing costs.
• Primary Residence: The property must be located in Ohio and used as the buyer’s primary residence. Second homes and investment properties are not eligible.
• Credit Requirements: A minimum credit score of 640 is required. Specific thresholds may vary based on the lender and loan type.
• Homebuyer Education: Completion of a homebuyer education course is mandatory to ensure buyers are prepared for the responsibilities of homeownership.

3. How to Apply:

The application process for the Ohio OHFA First-Time Homebuyer Program involves the following steps:

• Contact a Participating Lender: Start by reaching out to an OHFA-approved lender. They will confirm your eligibility and guide you through the application process.
• Submit Required Documentation: Provide proof of income, credit history, tax returns, and a certificate from the required homebuyer education course.
• Complete the Application: Work with your lender to complete the application and submit all necessary documents for review and approval.

4. Program Benefits:

• Down Payment Assistance: Financial support helps cover significant upfront costs, making it easier for first-time buyers to afford a home.
• Fixed-Rate Mortgages: Borrowers enjoy predictable monthly payments with competitive interest rates.
• Accessible Homeownership: The program is designed to assist low- and moderate-income buyers, making homeownership achievable for more individuals and families.

5. Assistance Details:

• Assistance Amount: Eligible buyers can receive a percentage of the home’s purchase price or a fixed dollar amount to help cover down payment and closing costs. Specific amounts depend on program guidelines.
• Repayment Terms: Assistance is often structured as a forgivable loan, with repayment not required if the buyer remains in the home as their primary residence for a specified period.

6. Additional Considerations:

• Combination with Other Programs: The OHFA First-Time Homebuyer Program can often be combined with other state or federal assistance programs to maximize benefits for eligible buyers.
• Program Fees: Some fees may apply during the application process, which your lender will explain in detail.

The Ohio OHFA First-Time Homebuyer Program is an excellent opportunity for first-time buyers to access financial assistance and affordable mortgage options in 2025. By reducing upfront costs and providing stable financing, this program helps individuals and families achieve their dream of homeownership. Contact an OHFA-approved lender today to learn more and start your application process.