Kentucky Housing Corporation Provides DAP Grant To First Time Buyers

The Kentucky Housing Corporation (KHC)Ā  offers two Downpayment Assistance Programs (DAP) for first time home buyers. The Regular DAP does not include a down payment grant, but the Affordable DAP does.

Kentucky First Time Home Buyer GrantsKHC recognizes that down payments, closing costs, and prepaids are stumbling blocks for many potential home buyers, and has created two Kentucky first time home buyer grant programs to help with the down payment and ease the burden. The Regular DAP provides a second mortgage loan of up to $6,000 at 5.5% interest to help first time property purchasers come up with the funds needed for a down payment. This program does not include and grant funding.

With the Affordable DAP. Kentucky first time home buyers can get up $4,500 at 1% interest to be used towards the down payment. In effect, KHC provides a grant for the difference between market rates (5.5%) and the very reduced rate (1%) with the Affordable DAP. This difference amounts to several thousand dollars in benefits over the course of 10 years.

To find out more about this program, visit the KHC web page here, or contact them directly at:

Kentucky Housing Corporation
800-633-8896 FREE (KY only); TTY 711
1231 Louisville Rd.
Frankfort, KY 40601