Virginia First-Time Home Buyer Programs 2026: Complete Guide

Virginia Housing Programs Overview

Virginia Housing (formerly VHDA) is the state housing finance agency, offering first mortgages and grant-based assistance through approved lenders statewide.

Virginia Housing stands out for offering true grants — assistance that never has to be repaid — rather than deferred loans. The main products are the Loan Combo (first mortgage + DPA grant), the Closing Cost Assistance grant, and the standard Virginia Housing first mortgage.

Virginia Housing Loan Combo: Mortgage + Grant

The Loan Combo is Virginia Housing's flagship product: a 30-year fixed-rate first mortgage (FHA, VA, USDA, or conventional) bundled with a Down Payment Assistance grant of 2-2.5% of the purchase price.

The DPA is a true grant — no second lien, no repayment, no forgiveness period. On a $400,000 Northern Virginia home, 2.5% provides $10,000 free and clear. The trade-off is a slightly higher first-mortgage rate than the no-grant option.

Minimum credit score is 620. First-time buyer status is required (no ownership in the past 3 years), though it is waived in targeted areas. See our FHA vs conventional guide for loan-type comparison.

• 30-year fixed FHA, VA, USDA, or conventional first mortgage
• DPA grant of 2-2.5% of purchase price — never repaid
• No second lien, no forgiveness period
• Minimum 620 credit score
• First-time buyer (waived in targeted areas)
• Slightly higher rate than no-grant option

Closing Cost Assistance (CCA) Grant

The CCA grant helps buyers using VA, USDA, or RHS loans — which require no down payment — cover their closing costs instead. It provides up to 2% of the purchase price as a true grant.

This is a smart design: zero-down loan borrowers often still need $8,000-$12,000 for closing costs, prepaid taxes, and insurance. The CCA grant covers most or all of that gap.

Like the DPA grant, CCA never has to be repaid. It must be paired with a Virginia Housing first mortgage.

• Up to 2% of purchase price for closing costs
• True grant — never repaid
• For VA, USDA, and RHS (zero-down) loan borrowers
• Covers closing costs, prepaids, and escrows
• Must pair with Virginia Housing first mortgage
• Minimum 620 credit score

Virginia Housing First Mortgage (No Grant)

If you do not need assistance — or want the lowest possible rate — the standard Virginia Housing first mortgage offers below-market 30-year fixed rates without the grant premium.

This option works for buyers who have their down payment saved but still want a competitive rate and the security of a state-backed loan program. Income and purchase price limits still apply.

Repeat buyers can use the standard first mortgage in some cases — the first-time requirement mainly applies to grant products.

• Below-market 30-year fixed rate
• No grant = lowest available rate
• FHA, VA, USDA, conventional options
• For buyers with their own down payment
• Income and price limits still apply
• Some flexibility for repeat buyers

Virginia Housing Income and Sales Price Limits 2026

Virginia Housing sets income limits by region and household size, plus maximum sales price limits. Here are the approximate 2026 limits — verify at VirginiaHousing.com.

• Northern Virginia has the highest limits — reflects DC metro prices
• Income limits based on total household income
• Sales price limits apply to total price
• Targeted areas have higher limits and no first-time requirement
• Verify current limits at VirginiaHousing.com

Virginia Housing Eligibility Requirements

To qualify for Virginia Housing programs, first-time buyer status (required for grants) means no ownership in a primary residence in the past 3 years — waived in targeted areas.

Credit score: minimum 620 for all programs. DTI: maximum 45% for conventional, up to 50% for FHA with automated approval. See our DTI ratio guide for strategies.

Occupancy: primary residence only. Homebuyer education: required for first-time buyers — Virginia Housing offers free online courses. Minimum borrower contribution: 1% of the purchase price for most programs.

• First-time buyer for grants (past 3 years) — waived in targeted areas
• Credit score: 620+ for all programs
• DTI: 45% conventional, up to 50% FHA
• Minimum 1% borrower contribution
• Primary residence only
• Complete Virginia Housing homebuyer education
• Must use a Virginia Housing-approved lender

How to Apply for Virginia Housing Programs

Virginia Housing programs are accessed through approved lenders — you cannot apply directly.

Step 1: Find a Virginia Housing-approved lender at VirginiaHousing.com. Step 2: Get pre-approved — the lender confirms eligibility and compares grant vs no-grant rates. Step 3: Complete homebuyer education. Step 4: Find a home within the sales price limit. Step 5: Close — grant funds are delivered at settlement.

• Step 1: Find an approved lender at VirginiaHousing.com
• Step 2: Get pre-approved and compare grant vs no-grant options
• Step 3: Complete required homebuyer education
• Step 4: Shop within regional sales price limits
• Step 5: Close — grant funds delivered at settlement
• Tip: Compare the rate difference between grant and no-grant options

Local Virginia DPA Programs

Several Virginia localities offer additional assistance.

• Northern Virginia local programs are large but have strict income limits
• Local programs may stack with Virginia Housing — ask your lender
• Most local programs require purchase within the locality
• Funding cycles open and close — check availability early