Home Purchase Down-Payment Assistance Program
through the Northern Kentucky Home Consortium
The City of Dayton is a participant in the Northern Kentucky Homebuyer Assistance Program, a federally funded program designed to increase the number of homeowners in Dayton and other participant cities in the Northern Kentucky HOME Consortium, which also includes the cities of Bellevue, Ludlow, and Newport.
Under this program, which is funded and managed by the City of Covington, households that meet income, credit, and other requirements may obtain zero-interest, deferred/forgivable loans to assist with the purchase of an owner-occupied home. The loans can be used to cover lender-required down payments, customary closing costs, and settlement charges. The loan will be forgiven if the owners occupy the homes as their principal residences for a period of five years from the date of purchase.
- Targeted funding: Home purchases in Dayton, Bellevue, Ludlow, and Newport.
- Income threshold: Gross annual household income must be at or below 80 percent of the Area Media Income ($47,850 for a single person, $68,300 for a four-person household). Borrowers must attend a HUD-approved homebuyer education course.
- Types of properties: All properties must be one or two units, owner-occupied or vacant, and meet minimum housing standards.
- Loan amount: Up to $7,500 to cover the lender-required down payment and customary settlement charges to the borrower.
- Inter rate/loan term: 0 percent; five-year term.
- Monthly payments/forgiveness: The loan will be forgiven if the borrower occupies the property for five years after purchase. Any remaining loan balance is recaptured upon sale, transfer, or vacation of the property.
Learn More Here: NKY Consortium Homebuyer Assistance Program Guidelines for Dayton Property Owners
