North Carolina’s housing market spans a wide range of communities, from bustling urban centers like Raleigh and Charlotte to the scenic mountains in the west and the coastal towns along the Atlantic. Whether you’re drawn to city life or a quieter rural setting, understanding what financial support is available can make all the difference in your path to homeownership.
For many buyers, down payment assistance (DPA) can help bridge the gap between savings and upfront costs. Across North Carolina, a variety of programs from state agencies, local governments, and nonprofit organizations offer grants, forgivable loans, and deferred-payment loans to make homeownership more accessible.
This guide highlights some of the most well-established and impactful DPA programs available statewide, as well as by county and city. While it’s not an exhaustive list, it focuses on options with consistent funding and meaningful benefits. We’ll continue to update this resource as new opportunities become available.
Understanding Area Median Income (AMI)
Down payment assistance programs often take into account an applicant's qualifying income to ensure that funds are allocated to helping homebuyers most in need. Most commonly, this is accomplished by setting an income cap relative to the area median income (AMI). This limit typically ranges between 80% and 120% of AMI, depending on the DPA program.
For example: You're applying for down payment assistance with a program that requires applicants earn no more than 80% of area median income. If AMI where you're planning to purchase a home is $95,000, you could earn up to $76,000 and still be eligible.
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Statewide Down Payment Assistance Programs
North Carolina offers several excellent statewide programs through the North Carolina Housing Finance Agency (NCHFA), a trusted source for homeownership support. These programs can often be layered together for greater financial benefit.
NC Home Advantage Mortgage™
The NC Home Advantage Mortgage provides up to 3% of your loan amount as down payment assistance.
Eligibility: Available to both first-time and move-up buyers with income ≤ $152,000 (2025), a minimum credit score of 640, and the purchase must fall within NCHFA’s purchase price limits.
NC 1st Home Advantage Down Payment
The NC 1st Home Advantage Down Payment offers $15,000 in down payment assistance as a 0% second mortgage, forgiven after 15 years.
Eligibility: Must be a first-time buyer, military veteran, or purchasing in a targeted census tract, and have a minimum credit score of 640.
NC Home Advantage Tax Credit (Mortgage Credit Certificate)
The NC Home Advantage Tax Credit allows eligible first-time buyers and veterans to claim a federal tax credit worth 30% (existing homes) or 50% (new homes) of mortgage interest paid each year, up to $2,000 annually.
Eligibility: Must be a first-time homebuyer or veteran, meet NCHFA income and price limits, and purchase a home in North Carolina as a primary residence.
Community Partners Loan Pool (CPLP)
The Community Partners Loan Pool (CPLP) provides up to 25% of the home’s purchase price (maximum $50,000) as a 0% interest, deferred second mortgage, available through approved local partners.
Eligibility: For low- to moderate-income buyers earning ≤ 80% of AMI, combined with an NC Home Advantage first mortgage or USDA Direct loan.
Down Payment Assistance Programs by County
Counties across North Carolina also offer their own programs, often funded by local housing initiatives or HUD’s HOME program.
Wake County Affordable Homeownership Program
The Wake County Affordable Homeownership Program offers up to $40,000 in forgivable loans for first-time buyers purchasing homes outside Raleigh and Cary city limits.
Eligibility: Household income ≤ 80% of AMI, credit score of 640 or higher, and completion of homebuyer education through DHIC. The buyer must also have a total DTI ratio no more than 45%.
Forsyth County Affordable Homeownership Opportunity Program (AHOP)
The Forsyth County AHOP provides a 0% deferred-payment loan for down payment and closing costs. The loan is repayable only if the home is sold, refinanced or no longer occupied by the owner.
Eligibility: Must be a first-time homebuyer, have an income ≤ 80% of AMI, have an acceptable credit rating, and complete an 8-hour homeownership education course.
Cumberland County Down Payment Assistance Program (DAP)
The Cumberland County DAP offers up to $5,000 as a deferred second loan with no payments for five years, forgiven 20% annually in years six through ten.
Eligibility: Must be a first-time homebuyer or displaced homemaker, with income ≤ 80% of AMI, and complete a HUD-approved homebuyer education course.
Mountain Housing Opportunities (Western NC)
Mountain Housing Opportunities serves Buncombe, Madison, Haywood, and Henderson counties. They offer $20,000–$30,000 in deferred-payment loans to help cover down payment and closing costs.
Eligibility: Buyers must complete homebuyer education, and purchase within the eligible counties.
Down Payment Assistance Programs by City
Several North Carolina cities offer robust homebuyer assistance programs, some among the most generous in the country.
City of Raleigh Homebuyer Assistance Program
Raleigh’s Program provides up to $45,000–$60,000 in 0% deferred loans for first-time homebuyers, with higher assistance available in targeted neighborhoods.
Eligibility: Must earn ≤ 80% of AMI, be a first-time buyer, and purchase a home under $450,000 within city limits.
City of Charlotte House Charlotte Program
The House Charlotte Program (via DreamKey Partners) offers up to $30,000 in 0% deferred loans for down payment and closing costs, forgiven after 30 years.
Eligibility: Must be a first-time homebuyer, income ≤110% of AMI, and purchase a home within Charlotte city limits priced under $365,000.
City of Durham Down Payment Assistance Program
Durham’s DPA offers up to $80,000 in 0% interest loans for eligible first-time buyers purchasing within city limits.
Eligibility: Must be a first-time buyer, income ≤ 80% of AMI, and complete required homebuyer education.
City of Greensboro Housing Connect GSO
Greensboro’s Program provides up to $25,000–$30,000 for low-income buyers or $20,000–$30,000 for public service workers and moderate-income buyers.
Eligibility: Must be a first-time homebuyer, income ≤ 120% of AMI, and purchase within Greensboro city limits.
Additional Down Payment Assistance Programs in North Carolina
Here are other programs not detailed above that may provide financial support for eligible buyers:
Statewide Programs
NCORR Homeownership Assistance Program (Haywood County & disaster recovery areas)
Chenoa Fund (Nationwide program available in North Carolina)
County Programs
City Programs
Using Down Payment Assistance in North Carolina
Buying a home in North Carolina comes with a variety of opportunities to make the process more affordable. From major cities to small towns, there are down payment assistance options designed to help ease the initial costs of purchasing a home. As you prepare for your move, take time to explore what’s available in your area, keep an eye on current mortgage rates, and use our loan calculators to better understand what fits within your budget. With the right preparation and support, owning a home in North Carolina could be closer than you think.
Check with the organization directly for the most recent guidelines. While programs were fact-checked at the time of writing, requirements change often, and programs become unavailable when funds are exhausted.
