Homebuyer Assistance
An eligibility assessment is required to ensure the buyer qualifies for available funds. This must be completed prior to submitting an application for funding.
Ramsey County’s FirstHome program assists first-time and first-generation homebuyers with low-to-moderate incomes who are purchasing homes in suburban Ramsey County.
Eligible buyers through the FirstHome program may purchase a home up to $372,600 and qualify for loans that can be used for down payment assistance and closing costs.
735 Margaret St.
This Saint Paul house is owned by Ramsey County Housing and Redevelopment Authority (HRA) and is being sold as part of the FirstHome Program. The home comes with $85,400 in FirstHome Down Payment Assistance. Learn about the house and FirstHome eligibility criteria.
Eligible suburban cities
- Arden Hills
- Falcon Heights
- Gem Lake
- Lauderdale
- Little Canada
- Maplewood
- Mounds View
- New Brighton
- North Oaks
- Roseville
- Saint Anthony
- Shoreview
- Vadnais Heights
- White Bear Lake
- White Bear Township
Homebuyer requirements
First-time buyer(s) – a household who has not had an ownership interest in a principal residence in the last three years.
- May qualify for a loan up to $20,000 for down payment or closing costs with 0% deferred loan interest, due upon sale.
- Must earn at or below 80% Area Median Income (AMI), according to household size.
First-generation homebuyer(s) – a household where the borrower(s) or their parent(s) cannot have owned a home in their lifetime.
- May qualify for a loan up to $93,150 for down payment or closing costs with maximum loan 25% of home purchase price. Loan principle forgiven at 5% per year for a 20-year period.
- Must earn at or below 80% AMI with 1-3 household members. Buyer(s) with 4 or more household members must be at or below 100% AMI.
- Must sign a document stating they have never owned a home and their parents have never owned a home.
General requirements
- The FirstHome program requires that all parties to the mortgage be owner-occupants and that the incomes of all household members over the age of 18, including co-signers, be included in the calculation of income eligibility for buyer assistance.
- A minimum investment of 1% of the purchase price is required from the buyer, with consideration of earnest money. This principal-only subordinate mortgage must be repaid when the property is sold.
- New and existing single-family detached homes, condos, townhouses and duplexes are eligible for FirstHome assistance. The home must be inspected by an ASHI or InterNACHI certified inspector.
- Buyers should be able to qualify for a Veterans Administration, Federal Housing Administration, or Fannie Mae-approved conventional mortgage as determined by the private lender, or they must meet the requirements of locally approved initiatives designed to meet affordable housing needs in suburban Ramsey County.
- Buyers must successfully complete an approved homebuyer class and homeownership advising, through the Homeownership Center approved agency before conditional acceptance can be granted and FirstHome funds can be reserved.
Lender information
The following forms are required. Most have been revised, and where possible are now fillable forms.
- FirstHome - Policies and Procedures (PDF)
- FirstHome - Income Verification Release and Data Privacy Notice (PDF)
- FirstHome Wire Request (PDF)
- FirstHome W-9 form (PDF)
First-time buyer(s)
FirstHome - Reservation & Application - First-time Homebuyer.docx- FirstHome- First-time- Disclosure and Certifications (PDF)
- FirstHome- First-time- Income Determination Worksheet (Word)
- Ramsey County FirstHome- First-time- Homebuyer Agreement (PDF)
- FirstHome - Zero Income Certification (PDF)
- FirstHome - Authorization for Release of Information (PDF)
First-generation buyer(s)
- FirstHome - Reservation & Application - First-generation Homebuyer.docx
- FirstHome- First-generation- Disclosure and Certifications (PDF)
- FirstHome- First-generation- Income Determination Worksheet- 80% (Word)
- FirstHome- First-generation- Income Determination Worksheet- 100% (Word)
- Ramsey County FirstHome- First-generation- Homebuyer Agreement (PDF)
- FirstHome Attestation Form (PDF)
- FirstHome - Zero Income Certification (PDF)
- FirstHome - Authorization for Release of Information (PDF)
Other information
- Participation in the program is available to all legitimate lenders, especially lenders who may be working with “emerging market” clientele.
- Ramsey County staff will work with the lender who is responsible for evaluating client eligibility, verifying household income, etc., the buyer and title company to assure that program requirements are addressed, and making documentation available for review by FirstHome program staff, HUD and related designees.
- Lenders may reserve funds on behalf of eligible buyers for up to 60 days while they look for a house.
- Lenders should complete and forward the Wire Request Form at least 14 days prior to the scheduled closing date.
- Forms may be sent electronically, especially the appraisal and longer documents.
Prior to issuing a FirstHome payment, the file must include:
- Reservation /Application and the HUD 1003 and 1008.
- FirstHome Income Determination Worksheet
- FirstHome Disclosure and Certifications.
- Buyer-Seller Voluntary Transaction Certification.
- Copy of the property appraisal.
- Copy of the property inspection conducted by an approved inspector.
- Buyer’s HomeStretch or Framework homebuyer education completion certificate.
- Copy of the final closing disclosure at least 3 business days before closing.
On closing, the lender is responsible for assuring that the title company forwards the original note, final settlement statement, warranty deed and a copy of the recorded second mortgage to FirstHome staff.
Steps to complete before applying
- Confirm the home for purchase is in suburban Ramsey County.
- Read the homebuyer requirements to learn more about:
- Income limits. (Effective May 2, 2024)
- Maximum loans available.
- Owner-occupancy requirements.
- Types of homes eligible for assistance.
- Complete the following through the Minnesota Homeownership Center:
- Contact your bank, credit union or lending company to reserve funds on your behalf and receive a mortgage pre-approval letter.
The above steps must be completed in order to be eligible for this program and receive funds. Homes for purchase in Saint Paul or North Saint Paul are not eligible for this program. If you're looking to purchase a home in Saint Paul, visit stpaul.gov/DPA.