Are There Any Grants for Buying a House?
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By Carroll Harrod · Salt & Soil Realty Group
Yes, there are programs that can help with buying a house, but one of the biggest points of confusion is that not all of them are true grants. Some are down payment assistance programs, some are forgivable second mortgages, some are deferred loans, and some are borrower credits tied to specific loan products. The CFPB says state and local housing agencies often offer programs that help with down payment or closing costs, especially for first-time buyers or low-to-middle-income borrowers. (CFPB — Understand loan types)
Salt & Soil Realty Group is a real estate brokerage, not a lender or housing agency. Program eligibility, terms, and lender participation must be confirmed with NCHFA, your loan officer, and program administrators.
For buyers in Jacksonville, NC and across Coastal North Carolina, the better question is usually not just “Are there grants?” but “Which assistance programs could I actually qualify for, and what are the strings attached?” That is where Carroll Harrod and Salt & Soil Realty Group can help. A good local guide does more than point you toward a program. Carroll helps buyers understand how the assistance fits into the overall strategy, monthly payment, and long-term affordability of the home.
Related reading: first-time homebuyer down payment assistance programs, Jacksonville first-time buyer assistance (NCHFA, BAH, VA), and how do I go about buying a house for the first time?.
Quick answer: help exists, but read the structure—not just the word “grant”
Many buyers use grant loosely. Real help often comes as down payment assistance, closing cost help, forgivable or deferred second loans, or mortgage credits. In North Carolina, NCHFA is the main statewide starting point; eligibility and repayment rules vary by program.
Yes, help exists, but it may not look like a traditional grant
When people hear the word grant, they often imagine free money with no repayment and no restrictions. Some homebuyer assistance really does function that way, but much of it does not. Assistance can come in several forms:
- down payment assistance
- closing cost assistance
- forgivable loans
- deferred-payment loans
- special mortgage credits
- monthly assistance through certain housing programs
Fannie Mae’s consumer and lender resources make clear that down payment and closing cost assistance can come from a variety of approved sources, including housing finance agencies and assistance programs. (Fannie Mae — Down payment and closing cost assistance)
That means the answer is yes, but buyers should read the fine print carefully.
Down payment assistance programs
These are some of the most common programs buyers call “grants.” They help buyers cover some of the upfront cash needed to buy a home. The assistance may be structured as a true grant, a deferred second loan, or a forgivable loan depending on the program. CFPB specifically notes that state and local housing agencies may have programs for first-time buyers, low-to-middle-income borrowers, or certain public-service workers. (CFPB — Understand loan types)
Pair program research with get pre-approved for a home loan and what are the expenses of buying a house? so you know total cash needed beyond the assistance line item.
Closing cost assistance
Some programs help with closing costs rather than the down payment itself. That can still be extremely valuable, because one of the biggest hurdles for first-time buyers is not just the mortgage payment, but getting enough cash together to actually close. (Fannie Mae — Down payment and closing cost assistance)
See also how much are fees when buying a house?.
Borrower credits tied to specific mortgage products
Some mortgage programs include a credit rather than a separate grant. For example, Fannie Mae says its HomeReady mortgage can include a $2,500 borrower credit for very low-income first-time homebuyers when eligibility requirements are met and the loan falls within the stated program window. (Fannie Mae — HomeReady Mortgage)
Compare mortgage rates from providers when you are weighing product-specific credits against other loan types.
Voucher-based or special-purpose help
HUD also has programs that can support homeownership in specific circumstances. One example is the Housing Choice Voucher Homeownership Program, which allows participating public housing authorities to let eligible voucher holders use assistance toward homeownership expenses. HUD notes that not every public housing authority offers this option, and it is limited to eligible first-time homeowners who meet the program rules. (HUD — HCV Homeownership Program)
What is available in North Carolina?
For North Carolina buyers, the North Carolina Housing Finance Agency (NCHFA) is one of the most important places to look.
NC Home Advantage Mortgage
NCHFA says the NC Home Advantage Mortgage offers qualified first-time and move-up buyers a fixed-rate mortgage plus down payment assistance up to 3% of the loan amount. (NCHFA — NC Home Advantage Mortgage)
NC 1st Home Advantage Down Payment
NCHFA also says that if you are a first-time home buyer or military veteran and qualify for an NC Home Advantage Mortgage, you may be eligible for $15,000 in down payment assistance through the NC 1st Home Advantage Down Payment program. (NCHFA — NC 1st Home Advantage Down Payment)
Community Partners Loan Pool
NCHFA also states that through certain community home buying programs, eligible buyers with income below 80% of area median income may be eligible for up to 25% of the sales price in down payment help, with a maximum loan of $50,000, through the Community Partners Loan Pool. (NCHFA — Home buyers)
That last point is important: some of the most helpful programs are not broad, universal programs. They may depend on income, location, lender participation, household status, military status, or whether a nonprofit or local agency is involved.
For Camp Lejeune and military households, also read Jacksonville military buyers and the PCS guide.
Are these programs only for first-time buyers?
Not always.
Some programs are specifically limited to first-time buyers, but not all of them are. For example, Fannie Mae says HFA Preferred is available to qualifying first-time or repeat buyers with low-to-moderate incomes, depending on the housing finance agency program using it. NCHFA also states that the NC Home Advantage Mortgage is available to both first-time and move-up buyers who qualify. (Fannie Mae — HFA Preferred; NCHFA — NC Home Advantage Mortgage)
That means buyers should not assume they are disqualified just because they have owned before. The real answer depends on the program.
What usually determines whether you qualify?
Eligibility often depends on things like:
- income limits
- credit requirements
- debt-to-income ratio
- first-time buyer status
- military or veteran status
- property location
- home price limits
- whether the home will be owner-occupied
- use of a participating lender
- completion of homebuyer education in some cases
NCHFA publishes income limits for its programs and explains that eligibility is based on program rules and lender qualification. CFPB also points buyers toward housing counselors and state or local agencies to identify programs that fit their situation. (NCHFA — Income limits)
See what credit score you need to buy a house and what should I know about buying after Chapter 7? if past credit events are part of your picture.
Are there “no strings attached” house-buying grants?
Sometimes, but buyers should be careful with that assumption.
Some programs are effectively grant-like. Others must be repaid if you sell, refinance, move out too soon, or fail to meet occupancy rules. Some are forgiven over time. Some are deferred until later. Some are only available with specific first mortgages.
That is why it is so important not to chase the word grant without understanding the structure. A program can still be excellent even if it is technically a deferred or forgivable loan. The real question is whether it helps you buy responsibly without creating problems later.
Should you buy just because you found assistance?
No.
Assistance can help get you through the door, but it does not automatically make the home affordable. CFPB’s homebuying guidance repeatedly emphasizes the importance of preparing your money situation, budgeting carefully, and understanding the full cost of homeownership before you buy. (CFPB — Ready to buy a home?)
That means looking at:
- the monthly payment
- taxes
- insurance
- maintenance
- HOA dues if applicable
- commuting costs
- cash reserves after closing
Use where to find the best buying-a-house calculator and Jacksonville housing affordability in 2026.
Why local guidance matters in Jacksonville and Coastal North Carolina
A buyer in Coastal North Carolina has to think about more than just the mortgage program. Insurance costs, flood-zone questions, property condition, local pricing, and North Carolina contract structure all affect whether the purchase is truly a good fit.
Carroll Harrod and Salt & Soil Realty Group help buyers sort through those layers. That includes helping buyers understand whether a program is truly a grant, whether it affects the loan terms, whether it creates future repayment obligations, and whether the house itself still works financially once all the real costs are on the table.
Read flood zones and coastal home buying and the coastal NC home buyer guide.
Bottom line
Yes, there are programs that can help people buy a house, and some buyers may think of them as grants. But the assistance may come in different forms, including down payment assistance, closing cost help, deferred loans, forgivable loans, or mortgage credits. In North Carolina, buyers should pay especially close attention to NCHFA programs like the NC Home Advantage Mortgage, the NC 1st Home Advantage Down Payment program, and certain community partner programs. (NCHFA — NC 1st Home Advantage Down Payment)
If you are wondering whether there are grants or assistance programs available for buying a house in Jacksonville, NC or anywhere in Coastal North Carolina, contact Salt & Soil Realty Group. Carroll Harrod can help you understand your options, connect your home search to the right strategy, and keep the numbers grounded in reality.
Frequently Asked Questions
1. Are there really grants for buying a house?
Yes, but many programs people call “grants” are actually down payment assistance programs, borrower credits, deferred loans, or forgivable loans. CFPB and Fannie Mae both point buyers toward state, local, and housing-finance-agency assistance programs. (Fannie Mae — Down payment and closing cost assistance)
Yes. NCHFA says the NC Home Advantage Mortgage offers up to 3% down payment assistance for qualified buyers, and the NC 1st Home Advantage program may provide eligible first-time buyers and military veterans with $15,000 in down payment assistance. (NCHFA — NC 1st Home Advantage Down Payment)
Not always. Some programs are only for first-time buyers, but others are available to repeat buyers too. NCHFA says NC Home Advantage is for qualified first-time and move-up buyers, while some other programs have narrower eligibility. (NCHFA — NC Home Advantage Mortgage)
Sometimes, but not always. Some assistance may be forgivable over time, some may be deferred, and some may need to be repaid if you sell, refinance, or move out before the required period ends. Buyers need to review the exact program structure carefully. (Fannie Mae — Down payment and closing cost assistance)
A strong starting point is to review your finances, talk with a participating lender, explore NCHFA options, and consult a HUD-approved housing counselor if needed. CFPB also recommends looking up housing counselors and asking about state and local programs near you. (CFPB — Owning a Home)
