Down payment assistance in Minnesota

DPL: up to $14,000; DPL+: up to $18,000 (whole dollar amounts)

A 0% interest, no-payment balloon second mortgage paired with a Minnesota Housing Start Up first mortgage, usable for down payment, closing costs and mortgage insurance. It is not forgiven: it is repaid when the home is sold, title transfers, it stops being the primary residence, the first mortgage is refinanced (unless into Step Up) or the first mortgage is paid off. DPL+ is the larger amount for buyers who meet at least one targeting criterion (for example a household of four or more, a household member with a disability, a sole head of household with a dependent, or a first-generation homebuyer).

Who qualifies: First-time homebuyers only (Start Up). Separate DPL/DPL+ income limits. Post-closing liquid assets capped at $13,000 (retirement accounts excluded). Minimum front-end housing ratio of 25%. Buyer contributes the lesser of $1,000 or 1% of the purchase price. At least one borrower must complete homebuyer education before closing. Credit score and DTI per Minnesota Housing's credit matrix. Only one Minnesota Housing first mortgage and one DPL/DPL+/MPL may be open at a time.

Minnesota Housing · Agency website → · Checked 2026-09-30

Up to $14,000, in whole dollar amounts

A second mortgage repaid monthly over 15 years at the same interest rate as the first mortgage. It is the only Minnesota Housing assistance available with the Step Up program, which serves repeat buyers and first-time buyers over the Start Up limits; it can also be used with Start Up.

Who qualifies: Start Up or Step Up income limits apply (no separate MPL limit). No post-closing asset limit and no minimum housing ratio. Buyer contributes the lesser of $1,000 or 1% of the purchase price. Homebuyer education required if all borrowers are first-time buyers. Credit score and DTI per Minnesota Housing's credit matrix.

Minnesota Housing · Agency website → · Checked 2026-09-30