Virginia Homebuyer Program: How to Get Down‑Payment Help & Buy Your First Home

If you’re dreaming of a house in Virginia but the deposit feels out of reach, you’re not alone. The state offers several programs that can shave thousands off the upfront cost. Below you’ll find the most common options, who can use them, and how to start the application process. Stick with us and you’ll know exactly what to do next.

Key Programs and What They Offer

Virginia Housing Down Payment Assistance (DPA) – This is the flagship program. It provides a grant that can cover up to 5% of the purchase price, and you never have to pay it back as long as you keep the home as your primary residence for at least five years.

Mortgage Credit Certificate (MCC) – The MCC isn’t a cash grant, but it lets you claim a tax credit for part of the mortgage interest you pay each year. That credit can reduce your tax bill by up to $2,000, which effectively lowers your monthly cost.

Homebuyer Education Courses – Most Virginia programs require you to complete a short class. The class teaches budgeting, mortgage basics, and how to avoid common pitfalls. It’s free and can be done online.

Local Grants and City‑Specific Helps – Some cities like Richmond, Norfolk, and Fairfax have their own “first‑time buyer” funds. These are usually smaller than the state grant but can be stacked on top of the DPA.

Step‑by‑Step: Applying for Assistance

1. Check Your Eligibility – You’ll need a credit score of at least 580, a debt‑to‑income ratio below 45%, and a household income below the program’s limit (around $120,000 for a family of four, but it varies by county).

2. Get Pre‑Approved – Talk to a lender who works with Virginia Housing. A pre‑approval shows sellers you’re serious and tells you the exact loan amount you qualify for.

3. Pick a Certified Property – The home must be within the program’s price limits and be your primary residence. New builds, condos, and some resale homes qualify.

4. Complete a Homebuyer Education Course – Register for an approved class, finish it, and get the certificate. Your lender will file it with the application.

5. Submit the DPA Application – Your lender will package the paperwork and send it to Virginia Housing. This includes your pre‑approval, income verification, and the education certificate.

6. Close the Deal – Once approved, the grant is added to your closing costs. You’ll sign the mortgage, the grant paperwork, and move into your new home.

7. Stay on Track – Remember the five‑year occupancy rule. If you sell before then, you may have to repay the grant. Keep records of your payment history and tax credits if you use the MCC.

These steps sound like a lot, but most lenders handle the heavy lifting. All you need to do is keep your documents organized and answer any questions promptly.

Ready to start? Grab a calculator, run the numbers, and see how much you could save. Then reach out to a Virginia‑approved lender and tell them you’re interested in the DPA. The sooner you begin, the sooner you’ll be holding the keys to your own front door.