You Could Get Up to $100,000 Toward Your First NYC Home. Most Buyers Never Apply.

For many first-time buyers, the biggest hurdle isn’t finding a mortgage. It’s pulling together enough cash for the down payment and closing costs. With Freddie Mac’s national average 30-year fixed mortgage rate at 7.32% on October 22, 2026, getting clear on your upfront costs matters.

Some buyers in Queens may qualify for assistance from NYC or New York State. These programs have specific rules, and the advertised maximum isn’t guaranteed. But checking your eligibility early could reveal options you didn’t know you had.

NYC HomeFirst: Up to $100,000 for eligible buyers

The city’s HomeFirst Down Payment Assistance Program offers eligible first-time buyers a forgivable loan toward the down payment or closing costs on a qualifying New York City home.

The amount is up to $100,000 or 20% of the purchase price, whichever is less. The home must be a one- to four-family property, condominium, or co-op, and you must live in it as your home.

To qualify, buyers generally must:

• Meet the program’s first-time homebuyer requirements.
• Have household income at or below 120% of Area Median Income (AMI). HPD’s posted limits range from $142,560 for a one-person household to $203,520 for four people.
• Put at least 3% of the purchase price toward the purchase from their own funds.
• Complete homebuyer education through an HPD-approved counseling agency.
• Meet the program’s property, mortgage, and occupancy rules.

Important: “Forgivable” doesn’t always mean forgiven after 10 years. HPD currently requires buyers to live in the home for at least 10 years when the assistance is $40,000 or less, and 15 years when it is more than $40,000. City-funded loans have a 15-year occupancy requirement regardless of amount. Selling or moving before the required period may affect what you owe, so confirm your terms before proceeding.

There are also purchase-price limits. For existing Queens properties, HPD currently lists a $699,000 limit for a one-unit home, with higher limits for two- to four-unit homes. Check the current rules with your housing counselor, especially if you’re considering a newly built or rehabilitated property.

SONYMA DPAL: Assistance with a state mortgage

New York State’s Down Payment Assistance Loan (DPAL) is another option for buyers using an eligible SONYMA mortgage. It may help with down payment, closing costs, or mortgage insurance, subject to program and lender requirements.

The standard DPAL is a 0% interest loan with no monthly payments, and it is generally forgiven over a 10-year occupancy period. It must be paired with a SONYMA mortgage; it isn’t a stand-alone grant. Selling or refinancing before the full forgiveness period ends may trigger repayment. The amount available and the rules that apply depend on the mortgage, lender, and your circumstances.

Compare the full cost, not only the assistance amount. A program can reduce cash needed at closing, while its mortgage rate, fees, or other terms may differ from a loan without assistance. Ask participating lenders to explain the numbers side by side.

How to actually get started

1. Check your household details. Note household size, income, savings, past homeownership, and the type and price range of property you’re considering.
2. Contact an approved housing counselor early. For HomeFirst, the city lists Queens agencies including Asian Americans for Equality, NHS of Queens, and Chhaya CDC. Ask about course dates, eligibility, and documents to prepare.
3. Complete the required education course. HomeFirst requires a course from an HPD-approved counseling agency. The counselor can explain the steps and help confirm whether your situation fits.
4. Talk to lenders who participate. Use HPD’s participating lender list for HomeFirst, and ask lenders about SONYMA options separately.
5. Check the property and timing before signing. Confirm the home is eligible, the price is within the applicable limit, and the lender and counselor can coordinate the assistance with the purchase contract and closing.

Does this fit your situation?

These programs can help moderate-income buyers, but income limits mean not everyone qualifies. You’ll also need funds of your own, an eligible property, and time to complete the counseling and lender steps. Start before making an offer if possible; program approval and closing timelines need to align.

If you’re looking at co-ops or condos, ask early how the purchase, financing, and assistance fit together. Co-op boards and individual properties can have their own financial requirements, so program eligibility alone doesn’t guarantee approval.

Queens buyers often consider co-ops, condos, and one- to four-family homes. The types of properties HomeFirst may cover when they meet the program rules. Neighborhood prices vary, so a local search can help you understand which homes fit your budget and the applicable price limits.

A first-time home buyer in Queens may have more than one path to explore. Armas Group NYC helps buyers understand their options, search for homes for sale in Queens, NYC, and navigate each step with local guidance. Contact our Queens real estate agency to discuss your plans, and confirm program eligibility with an approved counselor and participating lender before you commit.