Washington DC Home Purchase Assistance Program (HPAP) Guide

Guide to the Washington DC Home Purchase Assistance Program (HPAP)

The Washington DC Home Purchase Assistance Program (HPAP) provides financial assistance to eligible first-time homebuyers in the District of Columbia. With generous support for down payments and closing costs, this program is designed to make homeownership more accessible. Below is an updated guide to the program’s features, requirements, and application process for 2025.

1. Program Overview:

• Purpose: HPAP provides down payment and closing cost assistance to low- and moderate-income first-time homebuyers in Washington, DC.
• Assistance Amount: Qualified applicants can receive up to $202,000 in financial assistance for a deferred payment loan, with an additional $4,000 available for closing costs.
• Loan Terms: The assistance is offered as a 0% interest deferred loan, requiring no monthly payments until specific conditions, such as selling, refinancing, or no longer using the home as a primary residence, are met.

2. Eligibility Requirements for 2025:

To qualify for HPAP, applicants must meet the following criteria:

• First-Time Homebuyer: Applicants must be first-time buyers, defined as individuals who have not owned a home in the past three years.
• Residency: Applicants must live or work in the District of Columbia at the time of application.
• Income Limits: Household income must fall within program limits, which are determined based on the area median income (AMI) and household size. These limits are updated annually.
• Credit Score: Applicants must meet minimum credit requirements as set by the program guidelines.
• Property Requirements: The home must be located in Washington, DC, and used as the buyer’s primary residence. Eligible properties include single-family homes, condominiums, and cooperative housing units.

3. How to Apply:

Follow these steps to apply for the Washington DC Home Purchase Assistance Program:

• Assigned Loan Officer: Once you begin the application process, a loan officer will be assigned to guide you. They will verify your eligibility, explain the program benefits, and assist with completing your application.
• Prepare Documentation: Gather necessary documents, including proof of income, residency, employment, tax returns, and credit history.
• Submit Your Application: Work closely with your assigned loan officer to complete and submit your application. Your loan officer will manage the processing and provide updates on your approval status.

4. Homebuyer Education Course:

• Mandatory Requirement: All applicants must complete an approved homebuyer education course. This course ensures buyers are informed about the homebuying process and prepared for homeownership responsibilities.
• Course Availability: The course is available online or in person. Upon completion, participants will receive a certificate that must be included with their application.

5. Key Benefits of HPAP:

• Generous Financial Assistance: Applicants can receive up to $202,000 for down payments and an additional $4,000 for closing costs, significantly reducing the financial barriers to homeownership.
• Deferred Payment Terms: The assistance is structured as a 0% interest deferred loan, with no monthly payments required until specific conditions are met.
• Focus on First-Time Buyers: The program is tailored to meet the needs of low- and moderate-income first-time homebuyers in DC.

6. Finalizing the Loan:

• Approval Process: Once approved, your assigned loan officer will guide you through the final steps, including reviewing loan terms, signing documents, and preparing for closing.
• Closing Costs: While the program provides significant assistance, buyers may still need to cover certain costs. Your loan officer will provide a detailed breakdown of these expenses.

The Washington DC Home Purchase Assistance Program (HPAP) is an invaluable resource for eligible first-time homebuyers, offering financial support and expert guidance to make homeownership a reality. With generous assistance and tailored resources, this program helps DC residents achieve their dream of owning a home. Begin your journey with HPAP in 2025.