Hey friends. A lot of Triangle buyers assume they need 20% down to buy a home. Most do not. And many buyers who qualify for down payment assistance programs do not even know they exist. Here is a full breakdown of what is available in North Carolina in 2026 and how to access it.
What Down Payment Assistance Actually Is
Down payment assistance (DPA) programs provide funds to help cover your down payment and sometimes your closing costs. In most cases these are structured as a second mortgage with 0% interest and no monthly payments that gets forgiven over time. You are not getting a cash gift. You are getting deferred financing that reduces the cash you need at closing and disappears if you stay in the home long enough.
NC 1st Home Advantage Down Payment — $15,000
This is the flagship program from the North Carolina Housing Finance Agency (NCHFA). It provides a flat $15,000 in down payment assistance.
How it works: The $15,000 is structured as a 0% interest, deferred second mortgage. No monthly payments. It begins to be forgiven at year 11, with 20% forgiven each year through year 15. Stay in the home 15 years and it is entirely gone.
Who qualifies:
- First-time buyers (no primary residence ownership in the past 3 years) or military veterans
- Minimum credit score of 640
- Home purchase price under $495,000
- Must be a primary residence in North Carolina
- Must use a 30-year fixed-rate mortgage through a participating lender
This program can be layered with FHA, VA, USDA, or conventional loans.
NC Home Advantage Mortgage — Up to 3% of Your Loan Amount
This program offers down payment assistance up to 3% of the total loan amount and is available to both first-time and move-up buyers.
How it works: Same structure as above — 0% interest, deferred second mortgage, 20% forgiven per year from years 11 to 15.
Who qualifies:
- Minimum credit score of 640 (660 for manufactured homes)
- Household income under $158,000
- Purchase price under $525,000
- Primary residence in North Carolina
- Must use an FHA, VA, USDA, or conventional loan through a participating lender
On a $400,000 loan this program can provide up to $12,000 toward your down payment or closing costs.
Community Partners Loan Pool — Up to $50,000
The CPLP is designed for lower-income buyers and provides the largest assistance amount of any state program.
How it works: Up to 25% of the purchase price, capped at $50,000, as a 0% interest deferred loan. Must be combined with an NC Home Advantage Mortgage or a USDA Direct loan.
Who qualifies:
- Household income at or below 80% of your county's Area Median Income (AMI)
- Must complete an approved homebuyer education course plus at least two hours of one-on-one housing counseling
- Apply through a participating CPLP member organization
This program has stricter income requirements but can be transformative for buyers who qualify.
City of Raleigh Homebuyer Assistance — Up to $60,000
The City of Raleigh runs its own assistance program separate from NCHFA.
The Enhanced Homebuyer Assistance Program provides up to $60,000 as a zero-interest deferred loan for homes priced under $450,000 in targeted geographic areas within Raleigh city limits. Household income must be at or below 80% of the area median income. A homeownership class is required.
The standard Raleigh Homebuyer Assistance Program provides up to $45,000 for homes within Raleigh city limits priced under $389,500, with the same income and education requirements.
Durham Down Payment Assistance
Durham runs a local program providing zero-interest deferred loans to low-income buyers purchasing within Durham city limits. Some Durham buyers have stacked city assistance with NCHFA programs to receive up to $80,000 in combined assistance.
