Updated · Mike Certo, NMLS #260555
North Carolina Down Payment Assistance Programs Guide
North Carolina's state-level down payment assistance runs through the North Carolina Housing Finance Agency (NCHFA) — one first-mortgage program, two deferred-second structures, and a nonprofit-delivered loan pool. Here's the practical NC DPA program map.
NCHFA program family
- NC Home Advantage Mortgage: Statewide 30-year fixed first mortgage (FHA, VA, USDA, or conventional) with down-payment help up to 3% of the loan amount as a 0% deferred second. Income limit $158,000 statewide; 640 minimum FICO; primary residence, occupy within 60 days.
- NC 1st Home Advantage Down Payment: $15,000 flat for first-time buyers and military Veterans, paired with an NC Home Advantage first mortgage. County income limits and sales-price limits apply.
- Community Partners Loan Pool (CPLP): Up to 25% of the sales price, capped at $50,000, for households at or below 80% of area median income — through NCHFA-approved nonprofits, and stackable with NC 1st Home Advantage.
- NC Home Advantage Tax Credit (MCC): Terminated in 2025 — no new certificates are issued. Existing MCC holders keep claiming their credit.
How the forgiveness works
Both NCHFA seconds are 0%-interest, deferred, no-payment second mortgages. Nothing is due for the first 10 years. The balance then forgives 20% per year at the end of years 11 through 15 — fully forgiven at year 15. Sell, refinance, or transfer the home before forgiveness completes and the remaining unforgiven balance is repaid at closing. We walk through the payoff math for your timeline before you commit.
City and county programs
Several North Carolina cities — including Durham, Greensboro, and Charlotte — run their own down-payment programs on top of the state menu. Amounts and funding status change through the year, so we check each program's current status when we map your options.
National DPA programs
- Chenoa Fund — FHA-paired DPA with repayable and forgivable structures.
- Arrive Home — national DPA including an ITIN borrower path.
- Essex Mortgage / NHF — multi-tier DPA for FHA, VA, USDA, and conventional buyers.
Eligibility variables
- Income limit: $158,000 statewide for NC Home Advantage; county-based for NC 1st Home Advantage; 80% AMI for CPLP
- Credit score: 640+ (660 for manufactured homes); some national programs accept lower
- Occupancy: Primary residence, occupied within 60 days
- First-time status: Required for the $15,000 program (3-year rule) — military Veterans exempt
- Homebuyer education: Required for most first-time buyer paths
Generally one DPA program per transaction — the exception is CPLP, which can layer on top of NC 1st Home Advantage. We pick the single best stack for your scenario.
FAQ
What down payment assistance is available in North Carolina in 2026?
Three NCHFA layers: the NC Home Advantage Mortgage with down-payment help up to 3% of the loan amount (open to first-time and repeat buyers, income limit $158,000), the NC 1st Home Advantage $15,000 for first-time buyers and military Veterans, and the Community Partners Loan Pool up to $50,000 for households at or below 80% of area median income. National options like Chenoa Fund, Arrive Home, and Essex/NHF also work in North Carolina.
Who qualifies for the $15,000 down payment assistance in NC?
NC 1st Home Advantage requires first-time buyer status (no ownership of a principal residence in the past 3 years) or military Veteran status, a 640+ credit score, county-based income limits, and an NC Home Advantage first mortgage. Sales-price limits apply per NCHFA's current chart.
Does NC down payment assistance have to be paid back?
Both NCHFA seconds are 0%-interest deferred second mortgages with no monthly payment. Nothing is owed for the first 10 years; the balance is then forgiven 20% per year in years 11–15 and fully forgiven at year 15. Sell, refinance, or transfer the home before then and the remaining unforgiven balance is repaid at closing.
What credit score do you need for down payment assistance in North Carolina?
640 minimum for NC Home Advantage and NC 1st Home Advantage (660 for manufactured homes). If you're between 620 and 639, talk to us — other programs may fit while you work your score up.
What is the Community Partners Loan Pool (CPLP)?
NCHFA lends up to 25% of the sales price, capped at $50,000, as a 0% deferred second for households at or below 80% of area median income, delivered through approved nonprofit partners — and it can stack on top of the $15,000 NC 1st Home Advantage.
Is the NC Home Advantage Tax Credit (MCC) still available?
No. NCHFA terminated the Mortgage Credit Certificate program in 2025 when its funds ran out. Buyers who already hold an MCC keep claiming the credit on their federal returns, but no new certificates are issued. Many websites still list it as active — it isn't.
What are the income limits for NC down payment assistance?
NC Home Advantage uses a $158,000 statewide income limit (as of July 2026). NC 1st Home Advantage uses county-based limits, and CPLP requires household income at or below 80% of area median income. NCHFA adjusts limits each summer — we confirm your county's current number when we map your programs.
Who is considered a first-time home buyer in North Carolina?
Anyone who hasn't owned a principal residence in the past 3 years. Prior ownership of a rental property, or a home you sold years ago, doesn't disqualify you — and military Veterans skip the first-time test entirely for the $15,000 program.