Minnesota first-time home buyer programs
Minnesota Housing lists 3 programs that help buyers in Minnesota with the down payment or closing costs. Amounts and terms are shown as the agency publishes them.
- Programs from the agency
- 3
- Biggest amount listed
- $18,000
- First-time buyers only
- 2 of 3 programs
- Income caps
- Up to $156,100
Down payment assistance programs in Minnesota
| Program | Amount | Grant or loan | Income limit | First-time buyers only |
|---|---|---|---|---|
| Monthly Payment Loan. With a Minnesota Housing Start Up or Step Up first mortgage; homebuyer course. | Up to $14,000 | Repayable loan: Repaid monthly over 15 years at the same interest rate as your main home loan. | Same as Minnesota Housing's main home loan program. | No |
| Deferred Payment Loan (DPL). With a Minnesota Housing Start Up first mortgage; homebuyer course. | Up to $14,000 | Deferred loan: 0% loan. You repay all of it when the loan term ends, or sooner if you move, sell or refinance. | Based on the area median income, and higher for bigger households. Agency income chart | Yes |
| Deferred Payment Loan Plus (DPL+). With a Minnesota Housing Start Up first mortgage; homebuyer course. | Up to $18,000 | Deferred loan: 0% loan. You repay it when the loan term ends, or sooner if you sell, refinance, move out or pay off your home loan. | $94,600 for 1-2 people in the Twin Cities Metro Area; varies by household size and county, up to $156,100 for 8+ people. | Yes |
Usually, "first-time buyers only" means you haven't owned a home during the past three years, though every program sets a rule of its own. The name of each program links to a Minnesota Housing page that says whether applications are open right now. The agency also maintains its own list of participating lenders. Compare down payment assistance programs across all states, or ask a lender that works with Minnesota's programs.
How do you repay Minnesota's programs?
- Repayable loan: a small second mortgage you pay back monthly, usually along with your first mortgage payment.
- Deferred loan: nothing to pay each month, but the full amount comes due when you sell, refinance or pay the first mortgage off.
How does your income compare with Minnesota's caps?
Every program has its own income cap, which the table shows, and the exact chart is on that program's agency page. Use the HUD income limits lookup (FY2026) to find the figure for your county and household size. If a program relies on its own county chart or Freddie Mac's, the result can differ from HUD's number, and the agency's chart decides.
| HUD area | Median family income | HUD low-income limit |
|---|---|---|
| Minneapolis-St. Paul-Bloomington | $131,500 | $105,200 |
| Rochester | $135,800 | $106,800 |
| St. Cloud | $107,100 | $85,700 |
| Mankato | $106,500 | $85,200 |
| Duluth | $101,100 | $80,900 |
Talk to a lender that works with Minnesota programs
These programs are paid out through the agency's approved lenders, so the lender is your next step. Tell us where you're buying and a lender that works with Minnesota's programs can explain which ones fit you.
Rather not call? Send your details and the lender will reach you.
Are you buying near a state border?
Iowa, North Dakota, South Dakota, Wisconsin or programs for all 50 states plus DC.