Down payment assistance in Richmond, VA: who offers it and where to start

If you're buying in the City of Richmond, there's more help for your down payment and closing costs than most buyers realize. The catch is that it's spread across a state agency, a state department, several nonprofits and the city's housing authority, each with its own rules and its own line to stand in.

Here's who offers what, who it's for, and the order to do things in so you don't find a program after it's too late to use it.

The short version#

Program	Run by	Mainly for	How you start
Down payment and closing cost assistance	HOME of VA (nonprofit)	First-time buyers at or below 80% of area median income	Online application, then HOME's homebuyer course and a counselor
Down payment assistance, SPARC enrollment and VIDA matched savings	Southside Community Development & Housing Corp. (SCDHC, nonprofit)	First-time buyers in Richmond and Henrico	Online application, or SCDHC's information workshop for SPARC
HOMEownership DPA and the Virginia DPA Pilot	Virginia Department of Housing and Community Development (DHCD), through local nonprofits	First-time buyers at or below 80% (DPA) or 60% (Pilot) of area median income	A participating local provider
Grants, a second mortgage and lower-rate first mortgages	Virginia Housing (the state's housing finance agency)	Buyers using one of its first mortgages	A lender approved to offer its loans
Land trust homes	Maggie Walker Community Land Trust	Buyers up to 80% or 115% of area median income, depending on the home	An information session, then a lender pre-qualification
Habitat homes	Richmond Metropolitan Habitat for Humanity	Households whose current housing doesn't meet their needs, within income guidelines	Check whether applications are open
Homeownership programs	Richmond Redevelopment and Housing Authority (RRHA)	RRHA residents and voucher holders, and buyers below 80% of area median income	Call RRHA
City employee assistance	City of Richmond, through HOME of VA	Full-time City of Richmond employees	An eligibility letter from City HR

A quick way to see which of these, and any others, may match a particular home: the free down payment help check. It takes about two minutes. Every program here is also in the Richmond program guide, with who it's for and how to start.

What "80% of area median income" means in Richmond#

Most of these programs set their income limit as a share of the area median income (AMI), which HUD updates every year and which goes up with household size. HOME of VA and the Maggie Walker Community Land Trust both publish the Richmond-area 80% limits: $63,600 for one person, $72,650 for two, $81,750 for three and $90,800 for four (Maggie Walker labels them as 2025 figures). Each program counts income its own way, so check with the one you're applying to.

HOME of VA#

Housing Opportunities Made Equal of Virginia is a Richmond nonprofit that helps first-time buyers in the City of Richmond and the surrounding counties get to closing, including with down payment and closing cost assistance. To apply, your household needs at least $40,000 a year in income and must be under the 80% AMI limit for its size.

HOME's brochure says each program's maximum is set yearly by its funder and ranges from $7,500 to $20,000, based on your need. It's typically forgiven if you stay in the home through the affordability period, usually five years.

The process: apply online (HOME says to allow up to 10 business days), take HOME's homebuyer education course once you're accepted, send your documents, then work with a counselor on a spending plan until you're ready to buy. Start here early. The course and counseling come before the house, not after.

See HOME of VA's homeownership page.

If you work for the City of Richmond

The city runs a separate down payment assistance program for its own employees buying within city limits, administered by HOME. You need to be a full-time city employee with 12 months of continuous permanent employment and a performance appraisal in good standing, and be a first-time buyer (or not have owned a home in the last three years). HOME lists a household income limit of $175,000 and a sales price limit of $550,000. It starts with an eligibility letter from City HR. Details are on HOME's Richmond employee page.

Southside Community Development & Housing Corp. (SCDHC)#

SCDHC, on Hull Street, offers down payment assistance for buyers in the City of Richmond and Henrico County. Before you apply, it asks four questions: are you ready to buy your first home, is your credit score above 640, do you have at least $2,000 in savings, and is your income at least $40,000 a year?

You apply online and a counselor follows up, usually within seven business days. SCDHC is also one of the local providers for SPARC, a program that lowers the interest rate on certain first mortgages for eligible first-time buyers. To enroll through SCDHC you attend its down payment assistance information workshop first. SCDHC also runs VIDA, a matched-savings program for buyers still building toward a down payment.

See SCDHC's Homeownership Center.

Virginia DHCD's two programs#

The state's Department of Housing and Community Development funds two down payment programs, delivered through local nonprofit providers rather than directly:

• HOMEownership Down Payment and Closing Cost Assistance: for first-time buyers at or below 80% of AMI. DHCD describes it as a deferred loan of up to 10% of the sales price (15% in DHCD-approved areas), plus up to $2,500 toward closing costs, with a $40,000 maximum. No payments or interest while you live in the home for the required period.
• Virginia Down Payment Assistance Pilot: for first-time buyers at or below 60% of AMI. DHCD's 2025 guidelines describe a forgivable second mortgage of at least $20,000 and up to $50,000 including closing costs. One-fifteenth is forgiven each year you keep the home as your main residence, so it's fully forgiven after 15 years. It's first come, first served, and it requires homeownership education and counseling.

Funding is set each year, so ask a provider whether money is available before you count on either one. See DHCD's down payment assistance page, which links the current list of local providers.

Virginia Housing#

Virginia Housing is the state's housing finance agency. It offers a down payment assistance grant, a closing cost assistance grant and a second mortgage, alongside its own first mortgages. You don't apply to Virginia Housing directly: you get these through a lender approved to offer its loans, and each piece only works with certain first mortgages. Virginia Housing also offers a free homebuyer education course, which its programs generally require.

For current amounts, income and price limits, and a list of approved lenders, go to Virginia Housing's homebuyer pages. This guide and my classes are independent and aren't Virginia Housing's certified course.

Maggie Walker Community Land Trust#

A land trust works differently from a grant. You buy the house, the trust keeps the land under a long-term ground lease, and the price is lower because of it. In return, when you sell, the resale price is set by a formula tied to how much Richmond's area median income has grown while you owned it. You build some equity, and the home stays affordable for the next buyer.

Maggie Walker has homes in Richmond neighborhoods including Jackson Ward, Randolph, Northside and the East End, plus Henrico and Chesterfield. To qualify you must be under its income limit (80% or 115% of AMI depending on the home), not own another home, live in it as your main residence, and get pre-qualified with one of its approved lenders. It asks you to attend an information session before you go to a lender.

See Maggie Walker's "Do I qualify?" page.

Richmond Redevelopment and Housing Authority (RRHA)#

RRHA runs homeownership programs including ComeHome, for RRHA residents and voucher holders, and the Neighborhood Homeownership and Greenwalk programs, which sell renovated homes to buyers below 80% of AMI. Its page doesn't list how to apply, so call RRHA at (804) 780-4200. See RRHA's homeownership programs.

Richmond Metropolitan Habitat for Humanity#

Habitat serves the City of Richmond, Henrico and Chesterfield. It's for households whose current housing is overcrowded, unsafe, unaffordable or not accessible, or who can't qualify for a traditional mortgage, and who fall within its income guidelines. In return you put in 200 hours of sweat equity on builds, at the ReStore and in classes, and attend one-on-one budgeting meetings. Habitat says the projected mortgage payment won't exceed 30% of your gross income. Ask whether applications are open. See Habitat's homeownership page.

Lender and national programs#

Some lenders offer their own assistance, or national programs that aren't tied to Richmond. These can have looser income rules, but they're usually repayable second loans. Ask any lender you talk to what they offer and how it compares with the local programs above.

The order to do things in#

1. See what may fit. Run the down payment help check on a home or area you're considering.
2. Start with a counseling agency early. HOME of VA and SCDHC both take days to process an application, then require education and counseling. Months before you shop is not too early.
3. Pick a lender who offers the programs you want. Not every lender offers every program, and a state program only works with an approved lender. You're free to choose any lender.
4. Get assistance approved before you're under contract. Most programs need time to review the home and your file. Build that into your offer's timeline, and name the program in your contract.
5. Read the repayment terms. Grants, forgivable loans and deferred loans behave very differently when you sell or refinance.

Most programs can't be layered on top of each other without limits. DHCD's Pilot guidelines, for example, allow it alongside Virginia Housing's assistance and SPARC, but not alongside DHCD's other down payment program. Your counselor and lender will tell you which combinations work for your file.

Program details change often and funding can run out. Everything here comes from each program's own website as of the date below. Confirm with the program before you rely on it. Martin Kurylowski and Real Broker, LLC are not lenders or administrators of any assistance program.