Kentucky offers several grant programs
Kentucky offers several grant programs to help residents achieve their dream of homeownership. These programs provide financial assistance to eligible buyers, making the purchase of a home more affordable. Here’s an overview of the current grant options available to Kentucky homebuyers:
1. Kentucky Housing Corporation (KHC) Down Payment Assistance Program
The KHC offers up to $12,500 in down payment assistance to eligible first-time homebuyers. This program can be used in conjunction with KHC’s first mortgage loans.
Eligibility:
- Must be a first-time homebuyer or not have owned a home in the past three years
- Meet income and purchase price limits, which vary by county
- Complete a homebuyer education course
2. Kentucky Affordable Housing Trust Fund
This program provides funds to create or preserve affordable housing for low-income households. While not a direct grant to homebuyers, it can help create affordable housing opportunities.
3. USDA Rural Development Grant
Although not specific to Kentucky, this federal program is available in many rural areas of the state.
Key features:
- Provides loans and grants for low-income individuals in rural areas
- Can be used for home purchases or repairs
- Income limits and location restrictions apply
4. Louisville Metro Down Payment Assistance Program
Specific to Louisville, this program offers forgivable loans of up to $25,000 to help with down payment and closing costs.
Eligibility:
- Must be a first-time homebuyer
- Income must be at or below 80% of the area median income
- Property must be located within Louisville Metro
5. Lexington Homeownership Assistance Program
This program, specific to Lexington, provides up to $15,000 in down payment and closing cost assistance.
Eligibility:
- Must be a first-time homebuyer
- Income must be at or below 80% of the area median income
- Property must be located within Lexington-Fayette Urban County
6. Individual Development Account (IDA) Program
While not exclusive to homebuying, this program can help prospective homeowners save for a down payment.
Key features:
- Provides matching funds for savings (typically $2 for every $1 saved)
- Can be used for homeownership, education, or starting a small business
- Income and asset limits apply
How to Apply
To apply for these grants, contact the respective program administrators:
- For KHC programs: Visit www.kyhousing.org
- For USDA Rural Development: Visit www.rd.usda.gov/ky
- For city-specific programs: Contact your local housing authority or visit the city’s official website
Remember that grant availability and terms may change, so it’s essential to check with the program administrators for the most up-to-date information. Additionally, many of these programs require participants to complete homebuyer education courses, which can provide valuable information about the homebuying process.
By taking advantage of these grant programs, Kentucky residents can make their dream of homeownership more attainable. Be sure to explore all options and consult with housing counselors or financial advisors to determine the best path to homeownership for your specific situation.
Kentucky FHA Mortgage Lender 