Every state has down payment or homeownership assistance programs; some states have both. The programs are designed to provide affordable housing opportunities to homebuyers who might not ordinarily be able to afford a house.
Each program can have their own income and eligibility requirements but primarily the programs are available for first-time homebuyers or low-income families.
Keep in mind if you had no ownership in a principal residence in the previous 3 years, you are also considered a first-time homebuyer even if you owned a home prior to that 3-year period.
The programs are not usually administered directly through the State. Instead, they are nonprofit based and handled through a third party agency. The list below will start you on your search but be sure to confirm the program is currently available.
City of Birmingham Dept. of Community Development
|Decatur , Alabama
City of Decatur Dept. of Community Development
Jefferson County Dept. of Community Development
|Huntsville , Alabama
City of Huntsville Dept. of Community Development
|Mobile , Alabama
Mobile Housing Board
|Mobile County Alabama
|Prichard Housing Authority||(251) 452-8500|
|Montgomery , Alabama
City of Montgomery Dept. of Community Development
|Balance of the State
Alabama Housing Finance Authority
100 PERCENT FINANCE PROGRAMS
|United States Dept. of Agriculture Rural Development||(334) 279-3440|
|Alabama Housing Finance Authority||(334) 244-9200|
Housing Finance Authority – low interest loans and down-payment assistance to low and moderate-income homebuyers.
Habitat for Humanity – Habitat affiliates bring homeownership to very low income families.
USDA Rural Development – programs that reduce the cost of homeownership for low and moderate-income families.