The SC Housing Down Payment Assistance (DPA) program helps first-time and qualified homebuyers in South Carolina afford the down payment and closing costs of purchasing a home. Administered by South Carolina State Housing Finance and Development Authority (SC Housing), this program offers up to $10,000 in assistance through a forgivable second mortgage—making homeownership far more achievable across the state.
❓ What Is SC Housing DPA?
The SC Housing DPA program is a second mortgage loan designed to assist homebuyers with the upfront costs of buying a home. The funds can be used toward down payment or closing costs and are forgiven after 10 years as long as you continue to live in the home as your primary residence.
This program works alongside SC Housing’s Homebuyer Program, which offers 30-year fixed-rate mortgages through approved lenders.
✅ Who Qualifies for SC Housing Assistance?
You may be eligible for SC Housing’s DPA if you meet the following criteria:
- 👨👩👧👦 Be a first-time homebuyer, veteran, or purchase in a targeted area
- 🏠 Use the home as your primary residence
- 📉 Meet income and purchase price limits set by SC Housing
- 📘 Complete a homebuyer education course
- 💼 Obtain financing through a SC Housing-approved lender
💵 Key Benefits of SC Housing DPA
- 💲 Up to $10,000 in assistance for down payment or closing costs
- 📉 0% interest and no monthly payments
- ⏳ Fully forgiven after 10 years of continued occupancy
- 🔗 Can be combined with Mortgage Credit Certificates (MCC)
📈 Why It’s a Smart Move in South Carolina
With rising home prices in cities like Columbia, Greenville, and Charleston, many South Carolinians are priced out of the market due to high upfront costs. This program removes that barrier by giving qualified buyers a strong financial boost—without extra debt burden or monthly repayment.
The SC Housing DPA is especially beneficial for teachers, public employees, healthcare workers, and veterans with stable income but limited savings.
📝 How to Apply for SC Housing DPA
- 📞 Connect with a SC Housing-participating lender
- 🧾 Apply for a SC Housing mortgage (Homebuyer Program)
- 🎓 Complete your homebuyer education course
- 📂 Submit all required income and identity documents
- 🏡 Receive your DPA funds at closing
📋 Program Requirements
- 📊 Credit score of at least 620–640 (depending on loan type)
- 📝 Income and purchase price limits apply by county and family size
- 🏘 Must be purchasing an eligible single-family home or condo in SC
- 📘 Homebuyer education is mandatory
💡 Pro Tips to Improve Your Approval Odds
- 📋 Choose a lender experienced in SC Housing programs
- 📆 Begin the homebuyer education course early
- 🧾 Gather and organize all your financial documents in advance
- 📞 Ask about combining DPA with local municipal grants
🔍 Real-Life Example
Sarah, a teacher in Greenville, used SC Housing DPA to buy her first home. With only $2,000 in savings, she qualified for a $6,000 DPA loan—fully forgivable after 10 years—and paired it with a Homebuyer Program loan at a competitive rate. Without the DPA, she couldn’t have afforded the upfront cost.
❓ FAQs – SC Housing Down Payment Assistance
📌 Is the DPA loan truly forgivable?
Yes. As long as you remain in the home for 10 years and do not sell or refinance, the loan is fully forgiven.
🔗 Can I use this program more than once?
No. SC Housing DPA is designed for first-time buyers only—unless you qualify under a targeted area exemption or are a veteran.
📊 What are the 2024 income limits?
They vary by county. For example, in Richland County, a household of 2 must earn less than ~$82,000 to qualify. Your lender will confirm current thresholds.
🏡 What types of homes are allowed?
Single-family homes, townhomes, and approved condos. Manufactured homes may qualify with special conditions.
🎯 Why Choose SC Housing DPA?
If you live in South Carolina and need help covering the upfront cost of buying a home, the SC Housing Down Payment Assistance program offers forgivable, interest-free help that makes homeownership truly attainable. Backed by the state housing authority, this is one of the most trusted and accessible programs in South Carolina.
📥 Apply Now at SC Housing Official Website