BOSTON — Governor Maura Healey and MassHousing announced that more Massachusetts residents are now eligible for $25,000 in interest-free downpayment and homebuyer assistance to help them afford to buy their first home. 

 

Earlier this year, Governor Healey announced a $25 million investment to expand MassHousing's homebuyer assistance program so that more people than ever before can lower their upfront costs and afford to become homeowners. 

 

"We are focused every day on lowering the cost of housing for people," said Governor Healey. "This program lowers families' upfront costs and their monthly payments so that more people can afford to buy a home and build their future right here in Massachusetts. Today, we're bringing this assistance to a wider cross-section of the middle class who are being priced out of homeownership right now. We encourage any eligible first-time homebuyers to apply for this expanded assistance, and we're going to keep using every tool at our disposal to lower costs for everyone." 

 

This program provides eligible buyers with up to $25,000 at 0 percent interest with deferred repayment terms to help cover a down payment, closing costs, prepaid mortgage insurance or reduce their interest rate. The program is available to first-time homebuyers who lock in their MassHousing mortgage between April 27 and July 31, 2026 and earn up to 135 percent of area median income, which includes many middle-class borrowers across the state. This assistance is available to people earning up to 135 percent of area median income – ranging from $205,335 in eastern Massachusetts, to $165,645 in Worcester County, to $137,565 in the Berkshires and $129,870 in Hampden County.   

 

Interested homebuyers can visit masshousing.com to learn more about eligibility criteria and application instructions. 

 

MassHousing already offers up to $25,000 in down payment and homebuyer assistance loans to moderate- and middle-income households purchasing a first home in any Massachusetts community. Prior to the Governor's investment, this assistance was offered in the form of a 15-year second mortgage with interest rates ranging from 2 to 3 percent, depending on household income. With the new funding, that assistance is now available at 0 percent interest with deferred repayment, significantly lowering upfront costs for buyers.  

 

Since the beginning of 2023, MassHousing has delivered more than $1.9 billion in mortgage financing, helping over 5,900 households become homeowners. During that time, the agency has issued 4,757 down payment assistance loans, with four out of five mortgages supported by this tool. Over the past 18 months, nearly all first-time homebuyers using MassHousing have relied on down payment assistance to purchase a home. 

 

The Healey-Driscoll Administration is also advancing the Massachusetts Homeownership Tax Credit (HTC), created under the Affordable Homes Act and administered by MassHousing, to increase homeownership opportunities for moderate-income households through the development of new homeownership units. The HTC provides up to $10 million a year for five years through calendar year 2029 to support the production of new homeownership units. It is the first program of its kind in Massachusetts and one of only three programs nationally to use state tax credits to support homeownership production. 

 

These initiatives complement existing programs that help expand access to homeownership through Massachusetts Housing Partnership's (MHP) homeownership programs, including ONE Mortgage, ONE+ and ONE+Boston, which help eligible first-time buyers lower borrowing costs and access financial assistance. Since 1991, MHP has provided over $5.3 billion in below-market bank financing and made it possible for more than 26,000 low- and moderate-income families in Massachusetts to purchase their first home.