DC Home Purchase Assistance Program (HPAP)

At a glance

Amount

Up to $202,000 in gap financing plus up to $4,000 toward closing costs (table effective 2026-07-01)

Type of help

Deferred loan

Where

Washington, DC

Run by

DC Department of Housing and Community Development (DHCD), with the Greater Washington Urban League and DCHFA as program administrators

First-time buyer

First-time buyers only

Income limit

Yes, see below

Price limit

Yes, see below

Homebuyer education

Required

Your own funds

At least $500

How the deferred loan works

A second loan with no interest and no payment. You repay it when you sell, refinance, or pay off the first mortgage.

• Interest: 0%
• Monthly payment: None
• When you would repay: The full balance is due when you sell or transfer the home, refinance (unless the refinance meets DHCD's conditions), or stop living there as your primary residence.

Who qualifies

• First-time buyers only. You must be the head of household and cannot have had an ownership interest in any residential real estate in the three years before you apply. DHCD looks at all residential property, not just DC.
• Income. Household income up to 110% of median family income: $127,900 for 1 person, $146,150 for 2, $164,450 for 3, $182,700 for 4, and $194,100 for 5 or more (DHCD table for loans closing after 2026-07-01). Your assistance amount steps down as income rises. The largest award, $202,000, is for households at or below 50% of median family income ($58,150 for 1 person, $83,050 for 4).
• Price. No published sales price cap. Your first mortgage cannot exceed the FHA conforming loan limit, seller financing is not allowed, and DHCD has stated that the HPAP loan cannot exceed 30% of the purchase price (up to 50% case by case for households at or below 50% of median family income).
• District residents come first. DHCD accepts applications from non-residents who have worked in DC for at least a year, or who lived in DC for three consecutive years as an adult, but only processes them when no resident applications are pending.
• You must have a good credit rating and qualify for a first mortgage with a lender that works with HPAP.
• Your own contribution is $500 or 50% of your liquid assets over $3,000, whichever is greater. Very low and low income households that are elderly, disabled, or displaced can ask for the amount above $500 to be waived.
• The home must be in the District of Columbia and be your primary residence.

How to apply

1. 1Start with a DHCD-funded community-based organization (CBO) before you shop for a home. Attend its orientation, then schedule an intake appointment to complete the HPAP application. The CBO list is on DHCD's Homeownership CBOs page.
2. 2Complete the required eight-hour homebuyer education class through the CBO. The same class satisfies the DC Inclusionary Zoning program.
3. 3The CBO sends your file to the HPAP administrator (Greater Washington Urban League or DCHFA), which checks eligibility and issues a Notice of Eligibility, now also called a Notice to Continue. It states your maximum assistance and is typically valid for one year.
4. 4Get pre-approved with a lender, then find a home in DC and go under contract. Your lender submits the HPAP package to the administrator. When funds are reserved for you, DHCD issues a Notice to Proceed with a deadline to close.
5. 5Give the process time. HPAP is a second loan with its own underwriting and closing documents, and your contract should allow for it.

Watch out for

• Funding runs on the District fiscal year, which starts October 1. HPAP has run short of funds before the year ends in most recent years, and in September 2026 the FY2026 allocation was fully reserved. New money arrives with the new fiscal year. Check DHCD's weekly dashboard before you write an offer.
• A Notice of Eligibility does not reserve money. Funds are reserved when your lender delivers a ratified contract and complete package, and applicants are served in order of their original application date. Apply early even if funds show as unavailable so you hold your place in line.
• In FY2025 DHCD ran lotteries among eligibility holders and gave winners a firm closing deadline. For FY2026 it returned to first come, first served with a 90-day window after the Notice to Proceed and a close-by date of 2026-08-01. Expect the rules to be restated each October.
• Your award is tiered by income and household size. A one-person household earning $60,000 lands in the $161,600 tier, not $202,000. Ask your counselor to read your income against the current table before you set a budget.
• The 81% to 110% tier is not payment-free forever. Principal-only payments start in year six over 40 years. Budget for them.
• If you refinance for cash or move out, the entire HPAP balance is due. A rate-and-term refinance may be allowed with DHCD approval.

Straight answers

Sources

• DHCD, Home Purchase Assistance Program (HPAP) service page with FY2026 dashboard note (read Sep 23, 2026)
• DHCD, HPAP Eligibility, How to Apply and Program Details (read Sep 23, 2026)
• DHCD, HPAP Homebuyer Assistance Table effective for loans closed after July 1, 2026 (PDF) (read Sep 23, 2026)
• DHCD, Homeownership community-based organizations (CBO list) (read Sep 23, 2026)
• DHCD, HPAP Frequently Asked Questions, October 2023 (LTV rule, NOE validity, dashboard) (read Sep 23, 2026)
• DHCD, HPAP Lottery FAQ, April 2025 (read Sep 23, 2026)
• DHCD, EAHP Eligibility page (CBO orientation, eight-hour training, NOE does not reserve funds) (read Sep 23, 2026)
• DCHFA, Home Purchase Assistance Program (HPAP) (read Sep 23, 2026)
• Front Door DC, Get financial assistance to buy a home (HPAP) (read Sep 23, 2026)

Program details are summarized from public sources and change without notice. Funding badges reflect the last time we checked, not a guarantee of availability. This is buyer education from a real estate agent, not a loan pre-approval or a commitment to lend. Eligibility is decided by each program administrator and your lender. Equal Housing Opportunity.