First Time Homebuyer Down Payment Assistance Loan Program (NSC)
North Suburban Consortium c/o Malden Redevelopment Authority
The North Suburban Consortium (NSC) offers Down Payment Assistance loans (DPA) to income eligible First Time Home Buyers (one who has had no homeownership interest in a principal residence during the past 3 years OR a displaced homemaker or single parent who has only owned a home with a former spouse while married) (FTHB) purchasing a condominium, townhome or single-family property in one of the eight NSC communities. DPA can be used to assist with the down payment and customary closing costs, however, it cannot be used for reimbursement for previously paid earnest money down payment; funding monthly housing payment reserves requirements; prepayment of life insurance premiums; or to bridge the gap between purchase price and appraised value. Applicant’s primary mortgage lender must agree to fund DPA amount at closing and accept reimbursement after closing. Applicant cannot receive money back at closing.
DPA: UP TO $7,500.00 for non-subsidized property; UP TO $3,000.00 for HOME-subsidized property (loan amount will be determined at completion of NSC underwriting). DPA is a 0% interest, no monthly payments, five (5) year loan. Each year, on the anniversary date, 20% of the original DPA amount is forgiven. At the end of five (5) years, the loan is completely forgiven and the owner will be provided with a discharge of mortgage that they must record at the appropriate registry of deeds. Owner must live in the property as their primary residence. NSC does not subordinate DPA. If an owner refinances, sells or no longer resides in the property before the end of the term, they are required to repay a pro-rated portion of the DPA.
Please allow three to four weeks from date of submission for review of DPA Loan Application and supporting documentation, loan underwriting, required inspection, preparation of documents, contact with parties, primary mortgage lender, closing attorney, etc.
DPA Fact Sheet/ Checklist & Application
DPA-Fact-Sheet-Checklist-and-Application-Income-Limits-Effective-June-15-2023 (cityofmalden.org)
The Federal Home Loan Bank of Boston offers two down payment assistance programs across New England, the Equity Builder Program and Housing Our Workforce.
Equity Builder
The Equity Builder Program offers down-payment, closing-cost, and rehabilitation assistance to low- and moderate-income homebuyers. Grants are made to eligible borrowers when they close on mortgages with participating lenders. You must apply through a participating lender. See Frequently Asked Questions and Participating Lenders for more information.
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Housing Our Workforce Programs (HOW)
The Housing Our Workforce program provides a two-to-one match of down payments made at time of purchase by eligible homebuyers. For example, if a homebuyer makes a $10,000 down payment, the program will provide a $20,000 match. You must apply through a participating lender. See Frequently Asked Questions and Participating Lenders for more information.
Both programs are first-come, first-served as funds become available and other eligibility restrictions apply.
Equity Builder & Housing Our Workforce Programs | My Mass Home
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MassHousing Down Payment Assistance
Who is eligible for MassHousing Down Payment Assistance?
First, you must be approved for a MassHousing mortgage. Learn if you may be eligible.
Next, you may be eligible for down payment assistance of 10% of a home’s purchase price, up to either $50,000 or $30,000, depending on where you’re buying.
Up to $50,000 for homebuyers who purchase a home in the following communities:
Boston, Attleboro, Barnstable, Brockton, Chelsea, Chicopee, Everett, Fall River, Fitchburg, Framingham, Haverhill, Holyoke, Lawrence, Leominster, Lowell, Lynn, Malden, Methuen, New Bedford, Peabody, Pittsfield, Quincy, Randolph, Revere, Salem, Springfield, Taunton, Westfield, and Worcester.
Up to $30,000 for homebuyers who purchase a home in all other Massachusetts communities.
Buying elsewhere in Massachusetts? You may be eligible for down payment assistance of 10% of a home’s purchase price, up to $30,000.
Not sure if Mass Housing is right for you?
MassHousing mortgage loans and down payment assistance aren’t for everyone, but they’re available to more people than you might think.
Down Payment Assistance Details
MassHousing provides down payment assistance in the form of a second mortgage loan. MassHousing-approved lenders determine which type and the amount of down payment assistance a borrower is eligible for.
Type 1 DPA is an interest-free deferred payment second mortgage loan, which means that no payments are due until the property is sold, refinanced, or the first mortgage loan is paid off, at which time, the entire balance is due.
Type 2 DPA is a 15-year amortizing second mortgage loan at a fixed 2% rate of interest (APR 2%), which means that the borrower makes monthly payments of principal and interest for 15 years on this second loan, in addition to the monthly payments on their first mortgage loan.
| DPA Type | Repayment | Maximum DPA Amount | Home Purchased in | Interest Rate | APR | DPA Loan Must be Paid Off |
|---|---|---|---|---|---|---|
| 1 | Deferred | 10% of the sales price or $50,000, whichever is less | Gateway Communities* and the City of Boston, Framingham and Randolph. | 0% | 0% | Upon the sale of the propertyUpon refinancing of the propertyIf the first mortgage is paid off |
| 1 | Deferred | 10% of the sales price or $30,000, whichever is less | All other communities in the Commonwealth of Massachusetts. | 0% | 0% | Upon the sale of the propertyUpon refinancing of the propertyIf the first mortgage is paid off |
| 2 | Amortizing (monthly payments required) over 15 years | 5% of the sales price or $15,000 whichever is less | All communities in Massachusetts. | 2% | 2% | Upon the sale of the propertyUpon refinancing of the property |
*The Gateway Cities are Attleboro, Barnstable, Brockton, Chelsea, Chicopee, Everett, Fall River, Fitchburg, Haverhill, Holyoke, Lawrence, Leominster, Lowell, Lynn, Malden, Methuen, New Bedford, Peabody, Pittsfield, Quincy, Revere, Salem, Springfield, Taunton, Westfield, and Worcester.
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