Financial Assistance

There are funds available for helping the qualified applicant purchase a home. This page is provided to help you learn what your options are.

Down Payment® Resource is a good place to start. Go to http://downpaymentresource.com/are-you-eligible/ where it helps potential homebuyers determine their eligibility for a program and searches for potential funding sources.

Below is a list of some sources that Lenders will turn to when you need financial assistance for your mortgage loan. Each heading below is a link to the agency webpage. This page last updated 5/19/2020.

AHFC Home Opportunity Program (HOP)

The HOP program provides down payment and closing cost assistance to low-income individuals and families who are trying to purchase a home. This is done through your lender. Visit our lenders webpage for their contact information.

The funds are made available through nonprofit intermediaries who administer programs in the major urban areas of Alaska. In Sitka, applications for this program are accepted through the Alaska Community Development Corporation.

USDA RD Single Family Housing Direct Home Loans

Also known as the Section 502 Direct Loan Program, this program assists low- and very-low-income applicants obtain decent, safe and sanitary housing in eligible rural areas by providing payment assistance to increase an applicant’s repayment ability. Payment assistance is a type of subsidy that reduces the mortgage payment for a short time. The amount of assistance is determined by the adjusted family income.

Applications for this program are accepted through our local RD office year round. Visit our lenders webpage for their contact information.

USDA RD Single Family Housing Guaranteed Loan Program

This program assists approved lenders in providing low- and moderate-income households the opportunity to own adequate, modest, decent, safe and sanitary dwellings as their primary residence in eligible rural areas. Eligible applicants may build, rehabilitate, improve or relocate a dwelling in an eligible rural area. The program provides a 90% loan note guarantee to approved lenders in order to reduce the risk of extending 100% loans to eligible rural homebuyers.

To apply for this program, please contact a local mortgage lender.  Applications must be submitted through an approved lender. But follow the link above to learn how the program works.