For this program, you are a First-Generation Homebuyer if you AND your parent(s) or legal guardian(s) never owned a home in any country, OR owned a home but lost it due to foreclosure. You also must be a current resident of Minnesota.

Here are two scenarios where the buyer would NOT qualify as a First-Generation Homebuyer:

• If you or any of your parents/legal guardians owned a home at any time, you are not a first-generation homebuyer, regardless of whether your parents/legal guardians are living or not.
• If you or any of your parents/legal guardians married someone who owned a home, you are not a first-generation homebuyer. Marrying someone who owns a home means that you have ownership interest, even if you are not listed on the mortgage.

The only exceptions to the two scenarios above are if you or your parents/legal guardians previously owned a home that was lost due to foreclosure, and you/your parents/guardians have not owned a home since the foreclosure.

When you apply for the First-Generation Homebuyers Community Down Payment Assistance Fund, you will be required to a sign a First-Generation Homebuyer Affidavit, which is a legal document confirming you meet the qualifications laid out above. If someone knowingly misrepresents their eligibility, they are committing mortgage fraud.

At least one buyer must be a First-Generation Homebuyer and a resident of Minnesota. All other buyers (co-borrowers) must be first-time homebuyers, meaning they haven’t owned a home in the last three years. Non-occupant co-borrowers and co-signors are not allowed.

Yes. All buyers must have a combined income of $118,900 or less. This includes:

• Everyone signing the mortgage and their legal spouses (unless the spouse will not live in the home).

• Also everyone has to provide a copy of their most recent federal tax returns to confirm their income.

Additionally, after closing the loan, buyers can’t have more than $50,000 in combined liquid assets. This doesn’t count things like retirement accounts, life insurance or college savings accounts.

These limits are in place to ensure the funds are going to buyers who otherwise wouldn’t be able to afford a home without this assistance.

Note: If you plan to add someone to Title, please talk to your first mortgage lender to learn about additional requirements.

Yes. All buyers and their spouses must have completed an approved homebuyer education workshop within the last 12 months. This includes Home Stretch and Realizing the American Dream. 

Important: This workshop must be completed BEFORE making an offer/submitting a Purchase Agreement.

Note: If you plan to add someone to Title, please talk to your first mortgage lender to learn about additional requirements.

You can apply by clicking the “Apply Now” button at the top of this page.

There are several things you need to do before applying to the program:

• Complete a homebuyer education workshop. Within the last 12 months, all buyers and their spouses must complete an approved workshop. Approved courses include Home Stretch and Realizing the American Dream. The workshop must be completed before you make an offer on a home. You’ll submit your Certificate of Completion with your application.

• Get preapproved for a fixed-rate mortgage. We recommend doing this after completing your homebuyer education workshop. You can apply with any lender. [Note: Sharia Compliant and ITIN mortgages are accepted.] Your first mortgage lender will complete an underwritten pre-approval form that you’ll submit with your application.
• Consider working with a Homebuyer Advisor (optional). A Homebuyer Advisor can assess your mortgage readiness and help create a personalized ‘road-map’ to secure a competitive interest rate. These services are free and available to anyone in Minnesota

Note: If you plan to add someone to Title, please talk to your first mortgage lender to learn about additional requirements.

Applications are accepted on a first come, first served basis. Having your application accepted is NOT a guarantee that you will receive funds, but rather the first step in a multi-step process. Once this process is complete, approved applicants will have funds reserved for 90 days. Once you are approved for funds, you can start shopping for a house using the Realtor® of your choice.