The Keystone Forgivable in Ten (K-FIT) program from the Pennsylvania Housing Finance Agency (PHFA) is a game-changing solution for residents looking to buy a home in Pennsylvania. It provides up to 5% of the home’s purchase price to assist with down payment and closing costs—and best of all, the assistance is completely forgivable over 10 years.
❓ What Is the K-FIT Program?
K-FIT is a second mortgage product with 0% interest and no monthly payments. It is gradually forgiven over a 10-year period as long as you continue to live in the home. The program aims to make homeownership more affordable for first-time and moderate-income buyers across Pennsylvania.
✅ Who Is Eligible for K-FIT?
To qualify for Keystone Forgivable in Ten (K-FIT), you must meet the following criteria:
- 👨👩👧👦 Be a first-time homebuyer or buying in a PHFA-designated targeted area
- 🏠 Use the home as your primary residence
- 📉 Meet PHFA income and purchase price limits
- 📘 Complete a homebuyer education course
- 💼 Apply for a PHFA first mortgage loan
💵 Benefits of the K-FIT Program
- 💲 Receive up to 5% of the purchase price in assistance
- 📉 0% interest and no monthly payments
- 🧾 Fully forgivable after 10 years of occupancy
- 🎯 Can be combined with other PHFA programs
📝 How to Apply for K-FIT in Pennsylvania
- 📞 Connect with a PHFA-approved lender
- 🧾 Apply for a PHFA first mortgage with K-FIT as a second mortgage
- 🎓 Complete the required homebuyer education course
- 📂 Submit documentation including income and credit info
- 🏡 Close on your home and receive assistance at settlement
📋 Program Requirements
- 📊 Minimum credit score usually around 620–640
- 📝 Must meet income and purchase price limits per county
- 🏘 Property must be in Pennsylvania and meet livability standards
- 📘 Education course completion required for all borrowers
💡 Pro Tips for Approval
- 📋 Work with a lender familiar with PHFA guidelines
- 📆 Apply early and complete your education course promptly
- 📞 Ask about combining K-FIT with 📝 First-Time Buyer Programs in Pennsylvania
- 🧾 Keep your financial documents organized and updated
❓ FAQs About Keystone Forgivable in Ten (K-FIT)
📌 Is the assistance really forgivable?
Yes! The loan is forgiven at a rate of 10% per year over 10 years. If you stay in the home, you’ll never have to repay it.
🔗 Can I combine K-FIT with other assistance?
Absolutely. You can pair K-FIT with PHFA’s 🏡 mortgage options and other grants if you qualify.
📊 What if I sell the home before 10 years?
If you sell or refinance before the 10-year term, you’ll need to repay the remaining unforgiven balance.
🎯 Why Choose K-FIT in Pennsylvania
The Keystone Forgivable in Ten (K-FIT) program is one of the most generous and flexible homebuyer assistance options available in Pennsylvania. With no payments, no interest, and full forgiveness after 10 years, it’s an ideal solution for buyers looking to reduce the financial burden of purchasing a home.
📥 Apply Now via PHFA’s Official K-FIT Page