Down Payment Assistance Programs in Anoka County, MN: A Homebuyer’s Guide

For many first-time homebuyers, coming up with a down payment remains one of the biggest obstacles to purchasing a home. Fortunately, there are several down payment assistance (DPA) programs available in Anoka County, Minnesota that can help bridge the financial gap and make homeownership a reality. Here’s a comprehensive look at your options in Anoka County.

1. Minnesota Housing Finance Agency (MHFA) Programs

The Minnesota Housing Finance Agency offers several statewide programs that are available to buyers in Anoka County. These are often paired with affordable mortgage options and are especially helpful for first-time buyers.

Start Up Program

This program is designed for first-time buyers and offers:

• Affordable, fixed-rate mortgage options
• Down payment and closing cost loans of up to $18,000
• Multiple assistance loan structures (Deferred Payment Loans and Monthly Payment Loans)

Eligibility Highlights:

• Must be a first-time homebuyer (no homeownership in the past 3 years)
• Meet household income limits (e.g., up to $109,300 for a 1-4 person household in Anoka County)
• Meet home purchase price limits (e.g., up to $372,600 for existing homes)
• Completion of a HUD-approved homebuyer education course (HomeStretch or Framework)

Check out their link for additional info:  Minnesota Housing Start Up Program

2. First-Generation Homebuyer Program

If you or your parents have never owned a home, you may qualify for the First-Generation Homebuyer Loan Program. This recently launched program offers:

• Up to $35,000 in assistance (interest-free, forgivable loan)
• Half of the loan forgiven after 10 years, the remainder after 20 years if the borrower stays in the home and meets all program requirements
• Must be used in conjunction with the Start Up mortgage program

This is an excellent option for eligible households looking to break the cycle of renting and build generational wealth through homeownership.

For more info:  First-Generation DPA Program

3. Coon Rapids Down Payment Assistance Loan

For buyers looking to purchase within Coon Rapids, the city offers a local down payment assistance program:

• Up to $5,000 toward down payment and/or closing costs
• Funds provided as a deferred, no-interest loan
• Available to first-time buyers purchasing in Coon Rapids
• Income limits apply (e.g., $109,350 for a family of 2, $136,600 for a family of 4)

 Learn more & apply:  Coon Rapids DPA Loan Program

4. First-Generation Homebuyers Community Down Payment Assistance Fund

• Assistance Amount: Up to 10% of the home’s purchase price, capped at $32,000.
• Eligibility: At least one buyer must be a first-generation homebuyer.
• All buyers must be first-time homebuyers (no ownership in the past three years).
• Total household income must not exceed $124,200.
• Liquid assets after closing must be below $50,000 (excluding retirement accounts, life insurance, or college savings).
• Completion of an approved homebuyer education workshop within the last 12 months.
• Loan is interest-free and forgiven over five years (20% forgiven annually), provided the home remains the primary residence.
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 5. Community Keys Plus Impact Down Payment Assistance

• Assistance Amount: Up to $20,000 in down payment assistance.
• Eligibility: Minimum cash investment from the buyer: the lesser of $1,000 or 1% of the purchase price from verifiable funds (excluding gifts, grants, or loans).
• Additional eligibility criteria may apply; contact the program administrator for details.
• For more info: NW Home Partners

6. Center for Energy and Environment (CEE) DPA

• Assistance Amount: Up to $2,500
• Eligibility: First-time homebuyers in Anoka
• 1-4 unit, owner-occupied properties located within the City of Anoka
• Loan Term: Forgiven if the owner remains in the property for 30 years from the loan closing date
• Interest Rate: 0% APR
• Additional info: mncee.org/anoka

7. Blaine Down Payment Assistance Loan

• Up to $10,000 for current Blaine residents or employees
• Interest Rate: 0% interest
• Deferred for 30 years or until sale, refinance, or rental of the property
• Must be a first-time homebuyer
• Purchase price must not exceed $375,000
• Must complete a certified homebuyer education course
• Income limits apply
• Application must be submitted at least 4 weeks before closing
• More Info: City of Blaine DPA Program

8. Blaine Welcome Home Loan Program

• Up to $10,000 for current Blaine residents or employees
• Up to $5,000 for others
• Eligibility: First-time homebuyers earning less than 80% of the area median income (AMI)
• Minimum credit score of 620
• Maximum home value: $450,000
• Completion of a HUD-approved homebuyer education course
• More Info: Blaine Welcome Home Loan

Ready to Take the Next Step?

Navigating down payment assistance programs can be complex—but you don’t have to do it alone. As a mortgage loan officer, I specialize in helping first-time buyers identify and qualify for the programs that best suit their financial situation. If you’re thinking about buying a home in Anoka County, reach out today. Let’s explore how these programs can help you make homeownership a reality.

Edwina Crump Zackpah- NMLS# 2648582

Sr. Mortgage Advisor | e360 Mortgage powered by NEXA

470-404-5200 | [email protected] | www.e360Mortgage.com