DC HPAP Program 2026: Up to $202,000 in Homebuyer Assistance
HPAP helps first-time buyers purchase homes in the District with interest-free assistance.
Short answer: DC’s Home Purchase Assistance Program (HPAP) gives eligible first-time buyers up to $202,000 in interest-free gap financing plus up to $4,000 for closing costs. Your amount depends on household income and size. As of October 9, 2026, DHCD has not yet posted the program details for fiscal year 2027, so check current funding with a housing counselor before you shop.
By Ken Byrne, NMLS #187129 · ALCOVA Mortgage LLC, NMLS #40508 · Updated October 2026
This guide covers HPAP amounts by income, who qualifies, how repayment works and how to apply, with the latest official figures.
To work out your first-mortgage budget, talk to JB Financing.
What is the DC HPAP program?
HPAP is a District program that provides interest-free loans and closing cost help to qualified buyers. It is run by the Department of Housing and Community Development (DHCD).
The HPAP maximums and repayment terms on the DHCD program page. Source: DC Department of Housing and Community Development.
The HPAP loan sits behind your regular first mortgage. It fills the gap between what you can borrow and what the home costs.
It can be used for a single-family house, a condominium or a cooperative unit in the District.
Sources: DHCD, Home Purchase Assistance Program; DC Housing Finance Agency HPAP flyer, November 2025.
DHCD names the Greater Washington Urban League and the DC Housing Finance Agency as the program administrators that review files and issue approvals.
How much HPAP assistance can you get in 2026?
Up to $202,000 in gap financing, plus up to $4,000 for closing costs. The maximum drops as income rises.
The HPAP Homebuyer Assistance Table, effective for HPAP loans closed after July 1, 2026. Source: DC Department of Housing and Community Development.
| Income group | Maximum gap financing | Income limit, 1 person | Income limit, 4 people |
|---|---|---|---|
| Up to 50% of median family income | $202,000 | $58,150 | $83,050 |
| 51% to 80% | $161,600 | $74,500 | $106,450 |
| 51% to 80% | $141,400 | $79,850 | $114,100 |
| 51% to 80% | $101,000 | $93,000 | $132,900 |
| 81% to 110% | $80,800 | $113,950 | $162,750 |
| 81% to 110% | $70,000 | $127,900 | $182,700 |
Source: DHCD, FY 2026 HPAP Homebuyer Assistance Table, July 2026. Limits for households of two, three and five to eight are on the table.
The closing cost help is up to $4,000. The DC Housing Finance Agency says it is 4% of the price or $4,000, whichever is less.
These are maximums. Your actual award depends on need, including your first mortgage, your savings and the home price.
The 2026 median family income for the Washington metro area is $166,100, and the HPAP income limits line up with that figure.
Source: Prince William County 2026 income limits sheet, effective June 1, 2026. The HPAP table itself does not print the median.
Who qualifies for HPAP?
First-time buyers who will live in the home, with income up to 110% of the area median.
| Requirement | Rule |
|---|---|
| First-time buyer | No ownership interest in a home within three years before applying |
| Head of household | You must be the head of the household |
| Occupancy | The DC home must be your primary residence |
| Income | Up to 110% of median family income, by household size |
| Credit score | 630 minimum |
| Debt-to-income | 45% maximum, including the first mortgage |
| Minimum housing payment | Your front-end ratio must be at least 28% |
| Your contribution | $500, or half of liquid assets over $3,000, whichever is greater |
| Education | An eight-hour homebuyer course from a participating counseling agency |
Sources: DHCD, HPAP eligibility and program details; DCHFA HPAP lender submission checklist and flyer.
DHCD says District residents always get priority. Non-residents who have worked in DC for a year, or lived in DC for three straight years as adults, are processed only when no resident applications are pending.
The DC Housing Finance Agency’s HPAP lender checklist lists current DC residency as a requirement, so confirm with a housing counselor if you live outside DC.
Check how lenders measure your ratios in how debt-to-income affects approval.
If your score is near 630, see the credit score needed to buy a house.
Do you have to pay back HPAP?
Yes. HPAP is a 0% loan, not a grant. When you repay depends on your income group.
| Income group | Repayment |
|---|---|
| Below 80% of median family income | No monthly payments. Repaid when you sell, refinance to take out equity, or stop living in the home |
| 80% to 110% | Payments deferred for five years, then repaid over 40 years, principal only |
Source: DHCD, Home Purchase Assistance Program.
The full balance is due if you sell, transfer the home, take cash out in a refinance or move out.
Is HPAP open for fiscal year 2027?
DHCD has not posted it yet. DC’s fiscal year 2027 began on October 1, 2026.
In fiscal year 2026, applicants were served first-come, first-served. A buyer with a Notice to Proceed had 90 days to find a home, sign a contract and close, by August 1, 2026.
Fiscal year 2025 used lotteries instead, held on November 15, 2024 and April 21, 2025.
| Budget item | Amount |
|---|---|
| HPAP budget approved for fiscal year 2026 | $29,255,053 |
| Mayor’s proposal for fiscal year 2027 | $27,484,214 |
| Council housing committee recommendation for 2027 | $28,120,434 |
| DHCD target, HPAP-only loans, fiscal year 2027 | 90 (2026 target: 200) |
| DHCD target, loans combining HPAP and EAHP, fiscal year 2027 | 120 (2026 target: 50) |
Sources: DC Council Committee on Housing FY2027 budget report, May 20, 2026; DHCD FY2027 performance plan, April 14, 2026. The final enacted 2027 amount was not confirmed.
Funding has run short in past years, so ask a housing counselor about current availability early.
News reports: FOX 5 DC, January 12, 2024; The 51st, November 19, 2024.
How do you apply for HPAP?
You start with a DHCD-listed housing counseling agency, not a lender. Your lender comes in later to reserve the HPAP funds with the DC Housing Finance Agency.
| Step | What happens |
|---|---|
| 1. Contact a counseling agency | The agency takes your application, sends it to the administrator and offers the required eight-hour course |
| 2. Notice of Eligibility | The administrator confirms you qualify and states your maximum assistance |
| 3. Notice to Proceed | You have a set window to find a home, sign a contract and close (90 days in fiscal year 2026) |
| 4. Contract and closing | Your lender and the administrator coordinate the HPAP loan with your first mortgage |
Sources: DHCD HPAP service and eligibility pages; DCHFA lender checklist.
| DHCD-listed counseling agency | Phone |
|---|---|
| Housing Counseling Services | (202) 667-7006 |
| Latino Economic Development Center | (202) 540-7401 |
| Lydia’s House | (202) 373-1050 |
| Manna, Inc. | (202) 559-2792 |
| Marshall Heights Community Development Organization | (202) 396-1200 |
| University Legal Services | Three offices; see the DHCD list |
Source: DHCD, homeownership counseling agencies.
Get your paperwork ready with our mortgage documents checklist.
What first mortgage can you use with HPAP?
HPAP pairs with a conventional, FHA, VA, adjustable or portfolio first mortgage. The lender coordinates the HPAP reservation and approval with the DC Housing Finance Agency.
The first mortgage cannot exceed the conforming loan limit. DCHFA lists that limit as $834,977, subject to change.
The HPAP loan cannot be larger than the first mortgage, and the home must be owner-occupied.
Sources: DCHFA HPAP pages and lender submission checklist; DHCD.
Ask any lender whether it closes loans with HPAP before you apply. Program basics for FHA are on our FHA loans page.
For the District’s other loan options, see our Washington DC home loans page.
Can you combine HPAP with other DC programs?
Some programs say so directly. For others, ask the administrator.
| Program | What it offers | With HPAP? |
|---|---|---|
| EAHP, for DC government employees | Up to $20,000 deferred loan plus up to $5,000 matching grant; more for first responders and educators | Yes, DHCD says the assistance can be combined |
| DC4ME, for DC government employees | 3% down payment help as a 0% deferred loan | Yes, DCHFA says it can be combined |
| DC Open Doors | Down payment help of 3% conventional or 3.5% FHA; first-time and repeat buyers | Not stated; ask DCHFA |
| HomeAdvantage DC (launched May 2026) | 30-year fixed first mortgage at what DCHFA calls below-market rates, with up to 3% (conventional) or 3.5% (FHA or VA) down payment help | Not stated; ask DCHFA |
Sources: DHCD EAHP pages; DCHFA DC4ME, DC Open Doors and HomeAdvantage DC pages.
Compare the DCHFA option in our DC Open Doors guide.
What other savings do first-time DC buyers get?
A lower recordation tax at closing, and the homestead deduction after you move in.
| Benefit | 2026 to 2027 figure |
|---|---|
| First-time buyer recordation tax rate | 0.725% (houses and condos) |
| Price ceiling for the reduced rate, from October 1, 2026 | $794,000 |
| Household income limit | $209,340 for one person, $298,980 for four |
| Homestead deduction, tax year 2026 | $91,950 off assessed value |
Sources: DC Office of Tax and Revenue, ROD 11 (Rev. 10/2026) and real property tax relief page.
See every line item in closing costs in Washington DC.
What could HPAP look like for a single buyer?
Here is a hypothetical example using the July 2026 table.
| Item | Example |
|---|---|
| Household | One person, $70,000 income |
| Income group | Above $58,150 and at or below $74,500, so the $161,600 row |
| Most HPAP gap financing possible | $161,600 |
| Closing cost help | Up to $4,000 |
| Repayment | No monthly payments while below 80% of median income |
Illustration only. The administrator sets the actual award based on need, the first mortgage and the home price.
Before you apply, read our first-time homebuyer guide.
A pre-approval shows what first mortgage you can carry. See pre-qualification vs pre-approval.
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✓Free, no obligation✓Licensed in VA, MD, DC and WV✓Loan officer Ken Byrne, NMLS #187129
Frequently asked questions
How much is HPAP in DC?
Up to $202,000 in gap financing plus up to $4,000 for closing costs. The amount depends on household income and size.
Is HPAP a grant?
No. It is a 0% interest loan. Buyers below 80% of median family income make no monthly payments; the full balance is due when they sell, refinance to take out equity or move out.
What is the HPAP income limit for one person?
$127,900 under the July 2026 table, where the most available is the smallest award, $70,000. The $202,000 maximum requires income at or below $58,150.
What credit score do you need for HPAP?
630, according to the DC Housing Finance Agency. Your first-mortgage lender may require more.
Is HPAP open right now?
DHCD has not posted fiscal year 2027 details as of October 9, 2026. A housing counselor can tell you the current status.
Do you have to live in DC to get HPAP?
DHCD says DC residents always get priority, and some non-residents are processed only when no resident applications are pending. DCHFA’s lender checklist lists current DC residency, so ask a housing counselor.
Can you use HPAP for a condo?
Yes. HPAP covers single-family homes, condominiums and cooperative units in the District.
What happens if you sell a home bought with HPAP?
The full HPAP balance is due when you sell or transfer the home.
How long does HPAP take?
It varies by year and funding. In fiscal year 2026, buyers had 90 days after the Notice to Proceed to contract and close.
This article is general information, not financial or legal advice and not a commitment to lend or an offer of credit. HPAP and other District programs are run by DC agencies, not by JB Financing or ALCOVA Mortgage. Program terms, funding and income limits change, and eligibility is decided by the program administrators. Confirm anything you plan to act on with a DHCD-listed housing counseling agency and a licensed mortgage professional. Program figures were read on October 9, 2026.
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