The City of Durham Down Payment Assistance (DPA) Program provides assistance to low-income persons and families for the purchase of a home, to be used as the primary residence, within the geographic boundary of the City of Durham.

The objective of the program is to:

  • provide thorough knowledge of homeownership through homebuyer education and counseling,
  • ensure that the applicant is ready to acquire housing and can sustain homeownership, and
  • assist with funding gaps by providing down payment and closing cost assistance.

Program Requirements:

Must be a first-time homebuyer or cannot have owned a home within the last three (3) years (Code of Federal Regulations 24 CFR 572.5). An exception to the three-year requirement may be made in the case of U.S. military veterans.

May not own any other real property or have an ownership interest in any real estate at the time of closing (i.e. vacation homes, timeshares, and vacant land). An exception may be granted in certain specific cases (see program guidelines for details).

Total household income cannot exceed 80% of the area median income (AMI) for the Durham-Chapel Hill HUD Metro Fair Market Rent (FMR) Area as published annually by HUD for the HOME program. Current AMI limits can be found here. The limits for 2021 are shown below.

Must have worked or resided in the City of Durham for at least 12 months before applying for program assistance.

Liquid Assets are limited to $20,000.00 (does not include pension, IRA, 401K, 529 plans, Burial Accounts, or life insurance with a cash value).

Only fixed rate mortgages are allowed.  Adjustable-rate mortgages are not allowed.  No owner financing will be allowed.

A household is not eligible to participate in the program if the household contains a full- or part-time student at an institution of higher education and ALL of the following statements are true for the student:

  • Under the age of 24;
  • Is not a veteran of the United States military;
  • Is unmarried (if married, the couple cannot live apart from each other);
  • Does not have a dependent child who resides with the household member at least 50% of the time;
  • Is not a person with disabilities receiving Section 8 assistance as of November 30, 2005;
  • Is not otherwise individually eligible or has parents who (individually or jointly) are not income-eligible to receive Section 8 assistance, unless the student can demonstrate his or her independence from his/her parents*;
  • Not residing with parents who are receiving or applying for Section 8 assistance.
Household Size 1 2 3 4 5 6 7
80% of AMI $53,500 $61,150 $68,800 $76,400 $82,550 $88,650 $94,750

* Income limits provided by HUD. Updated on April 22, 2022.

Frequently Asked Questions
Download Program Guidelines
Become an approved lender

Before you begin your application, please note that you will need to provide the following information:

  • Lender pre-qualification letter
  • 3 months of paystubs for all wage earners in the household
  • 3 months of bank statements for all accounts
  • 3 years of taxes
  • Separation Agreement (if applicable)
  • Profit & Loss for the past 12 months for all self-employment income (if applicable)
  • Child Support Agreements (if applicable)
  • Disability or Social Security award letter from the current year (if applicable)
  • Employment Verification (if applicable)  Download a copy HERE.

We will not be able to review your application until this information is received. You can upload it as part of your application or email it to imercado@communityhometrust.org OR bring it by our office.   If the office is closed, please drop all documents in the mail slot in the door.

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Aplicación en Español

Questions? Please consult our FAQ page.

If you do not find the answer to your question, you can contact Community Home Trust’s Community Engagement and Outreach Coordinator Ivelisse Mercado at imercado@communityhometrust.org or 919.967.1545 ext. 302 (English and Spanish available). Translation services can be arranged for other languages.