NC Home Advantage: North Carolina's Down Payment Assistance
NCHFA runs North Carolina's statewide down payment help through NC Home Advantage. You get up to 3% of your loan, or a flat $15,000 if you are a first-time buyer or veteran, and it can be forgiven entirely. Here is the full picture.
One first mortgage, two DPA amounts
North Carolina keeps it refreshingly simple. There is one first-mortgage program, NC Home Advantage, offered as FHA, VA, USDA, or conventional. On top of it, NCHFA gives you a choice of two down payment amounts. Any eligible buyer, first-time or move-up, can take up to 3% of the loan. First-time buyers and military veterans can instead take a flat $15,000 through NC 1st Home Advantage, which on most North Carolina price points is the larger benefit. You do not stack them; you pick the one you qualify for that gives you more.
The two options side by side
| Option | Amount | Who |
|---|---|---|
| NC Home Advantage 3% | Up to 3% of the loan amount | Any eligible buyer (first-time or move-up) |
| NC 1st Home Advantage | Flat $15,000 | First-time buyers and military veterans |
Both are a 0% deferred second with no monthly payment, forgiven 20% per year in years 11–15. Compare them on the 3% vs. $15,000 page.
How the forgiveness works
This is what makes North Carolina different from most states. The down payment second requires no monthly payment, and it is forgiven over time, 20% a year in years 11 through 15, so if you keep the home for 15 years, the entire amount is forgiven and you never repay it. If you sell, refinance, or move out before year 11, you repay it in full; between years 11 and 15 the payoff declines as it forgives. See the full schedule on our forgiveness page.
Who qualifies
The core requirements are a 640 credit score, an income under NCHFA’s statewide limit, and a home that will be your primary residence. North Carolina is unusual in using a single statewide income limit rather than a per-county figure; because it changes periodically, confirm the current number on NCHFA before you shop. First mortgages can be FHA, VA, USDA, or conventional. See the eligibility page for details.
Verified August 2026 against NCHFA program materials. Income and sales-price limits are volatile — confirm current figures at nchfa.com. This is not a commitment to lend; rates are posted on the operator’s site. Related: NC 1st Home Advantage $15,000.
Common questions
What is NC Home Advantage?
NC Home Advantage is the North Carolina Housing Finance Agency's statewide program: a first mortgage (FHA, VA, USDA, or conventional) with down payment assistance. You get up to 3% of the loan as any buyer, or a flat $15,000 as a first-time buyer or veteran through NC 1st Home Advantage.
How much down payment assistance does NCHFA give?
Up to 3% of the loan amount for any buyer, or a flat $15,000 for first-time buyers and military veterans. Both are 0% deferred seconds with no monthly payment, forgiven 20% per year in years 11-15.
What credit score do I need for NC Home Advantage?
A 640 minimum credit score. You also need income under NCHFA's statewide limit and a home that will be your primary residence. The first mortgage can be FHA, VA, USDA, or conventional.
See which NC option fits you
Tell us your county, credit range, and price target, and we’ll map your North Carolina path in a no-pressure 20-minute call. No obligation.