Dreaming of a place to call your own?

Applications will soon open for the Advancing Black Homeownership Community Fund. Let’s get started together!

Learn more
Apply to the fund

Homeownership is within reach.

Owning a home opens doors to new opportunities

If you’re ready to get started, the Advancing Black Homeownership Community Fund is here for you. First-time homebuyers can receive up to $45,000 of down payment and entry cost assistance to help you buy your first home and stay supported throughout your journey – with a no interest loan that is partially forgiven.

Join the homebuyers who have used the Advancing Black Homeownership Community Fund to create community, family security, and generational wealth.

Am I eligible?

Am I eligible?

Understanding your eligibility is the first step toward homeownership. Review the details below to see if you may qualify for the Advancing Black Homeownership Community Fund.

At least one buyer (the primary buyer) must have been born in the United States and self-identify as Black or African American and a descendant of enslaved people in the United States.

The primary buyer must currently live in the seven-county Twin Cities metro, which includes Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and Washington counties.

All buyers are first-time homebuyers. This means you – and any coborrowers – have not owned a home in the last three years.

Also, you cannot make an offer to a buy a home until you are approved for the Fund.

The combined income of all buyers (everyone listed on the mortgage loan) is $132,400 or less. In addition, buyers’ available savings (liquid assets) cannot be more than $50,000 after closing. This does not include things like retirement accounts, life insurance or college savings accounts.

All buyers are required to complete a homebuyer education workshop within the last 12 months – either Home Stretch or Realizing the American Dream are accepted. You must complete the workshop before requesting funds, and a copy of your certificate of completion will be required.

Before requesting funds, you must be preapproved for a fixed-rate mortgage from the lender of your choice. We recommend completing the homebuyer education workshop first — it can help you feel confident and more prepared.

If you’re unsure which lenders accept the Advancing Black Homeownership Community Fund, see this FAQ for a list of participating lenders and helpful guidance.

Get started

Step 1

1

Complete a homebuyer education workshop — either Home Stretch or Realizing the American Dream.

2

Get preapproved for a fixed-rate mortgage from the lender of your choice.

3

Request up to $45,000 by completing the Interest Form and uploading your homebuyer education certification and mortgage preapproval letter.

4

Once approved, you can begin shopping for a home. Applications are reviewed in the order they are received, and wait times will vary.

5

Become a homeowner — with continued support after you buy.
Apply to the fund

How it works

Applying to the Advancing Black Homeownership Program is straightforward. Follow the steps outlined above to get started. Here is more information on how the Fund works.

Shopping

Shopping for a home

Once you're approved, your Funds are reserved for 90 days, giving you time to find the right home. Need more time? A one-time 60-day extension can be added — that’s up to 150 days total to shop. To stay eligible for the Fund, don’t sign a purchase agreement before you are approved. If you already have a signed purchase agreement, unfortunately, you won’t be able to request Funds.

Repayment

Repayment terms

You may receive up to 20% of the home’s purchase price, capped at $45,000—but you don’t have to use the full amount. Funds are provided as a 0% interest loan with no monthly payments. The first $20,000 is forgivable over five years, as long as you continue to live in the home as your primary residence. Any remaining funds must be repaid if you sell the home or it’s no longer your primary residence. However, repayment is fully waived after 30 years of continuous ownership and occupancy. Additional terms apply.

Post-purchase

Post-purchase support

You’ll receive continued support through two post-purchase sessions with a HUD-certified housing counselor, designed to support early homeownership stability and preservation. You’ll also receive a $2,500 stipend for each session you complete, up to $5,000.

Frequently asked questions

Applications are reviewed in the order they are received, and wait times can vary depending on demand. You can help keep things moving by making sure your submission is complete and accurate, and by regularly checking your email—including your spam or junk folders — for updates. You’ll receive weekly status updates by email. Once you are assigned to a DPA lender, you will attend an informational meeting (virtual or in-person) to confirm your eligibility and sign the required attestations and releases.

Unlike other programs, funds from the Advancing Black Homeownership Community Fund provide flexible support. They can be used for down payment and buyer closing costs, principal and permanent interest rate buydown, required work orders, home warranties, and home inspections. Up to $10,000 may also be used to pay delinquent debts if required by the first mortgage.

Funds cannot be used to assume an existing first mortgage, cover valuation gaps, or pay the 3.5% FHA Minimum Required Investment (MRI).

You can purchase a one- or two-unit home, but it must be your primary residence. The home you purchase can be located anywhere in Minnesota. Eligible properties include, 1-2 units detached, and townhomes, condominiums, co-ops, and manufactured homes titled as real property. The Fund also allows shared equity, community land trusts, and other resale-restricted properties.

The maximum purchase price is $515,200 for a one-unit home and $659,550 for a two-unit home.

If you’re still looking for a mortgage lender or want to confirm your current lender accepts the Advancing Black Homeownership Community Fund, we’re here to help. The Fund works with a growing network of lenders who are familiar with its requirements and ready to support you.

To get started, lenders who currently participate include Bell Bank, Build Wealth MN, CMG Home Loans, Lake Area Mortgage and US Bank.

If your preferred lender isn’t on this list, check with them directly to see if they accept the Fund. You may direct them to this website (ABHFund.org) for more information.

Here are a few important details to keep in mind: your liquid assets cannot exceed $50,000 after closing, and gift contributions are limited to 10% of the purchase price. You can combine these funds with other down payment assistance programs. Before closing, you’ll need to show that an independent home inspection was completed – there are no minimum property standards. You’ll need to move into your new home within 60 days of loan closing.

It’s totally normal to have questions — and you don’t have to figure it out alone. The Minnesota Homeownership Center’s network of nonprofit Homeownership Advisors offers free, nonbiased, professional guidance based on your unique situation.

Whether you’re just starting to explore homeownership or want help deciding on your next step, they’re here to support you.

The Advancing Black Homeownership Community Fund is designed to support specific communities, so eligibility is targeted. If you don’t qualify, there are other down payment assistance options available to support first-time and first-generation homebuyers. These include programs offered by Minnesota Housing and various local city and municipal initiatives. We encourage you to explore these resources to find the assistance that best fits your needs.

For personalized help, the Minnesota Homeownership Center’s network of nonprofit Homeownership Advisors offers nonbiased, expert, and free advice tailored to your unique financial situation.