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Get Matched Free →Homebuyer Programs in Wilmington, DE (2026)
Wilmington is the largest city in Delaware, situated along the Christina River and Brandywine Creek in New Castle County. With a median home price around $225,000, Wilmington offers relatively affordable homeownership opportunities compared to neighboring Philadelphia. The city's First Start Homebuyer Program provides up to $15,000 in down payment and closing cost assistance, and buyers can stack this with state-level DSHA programs including the $12,000 forgivable Home Sweet Home loan and the 3% First State DPA. First-time buyers may also qualify for the Delaware Mortgage Credit Certificate, which provides up to $2,000 per year in federal tax credits. By combining city, state, and federal programs, Wilmington homebuyers can potentially access over $30,000 in total assistance.
Top Homebuyer Programs in Wilmington
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| Wilmington First Start Homebuyer Program | Grant | Up to $15,000 or 6% of the purchase price, whichever is less | Yes | View → |
| New Castle County Down Payment Settlement Program | Deferred Loan | Up to $5,000 (minimum $1,000) | Yes | View → |
| New Castle County ReVaMP Program | Forgivable Loan | Up to $5,000 | No | View → |
| FHA Loans | Government-Insured Mortgage | Up to FHA county loan limits ($541,287 floor to $1,249,125 ceiling for single-family in 2026) | No | View → |
| FHLBA Community Partners Product | Forgivable Loan | Up to $20,000 in home purchase assistance for down payment and closing costs | No | View → |
| FHLBA First Time Homebuyer Product | Forgivable Loan | Up to $17,500 in home purchase assistance for down payment and closing costs | Yes | View → |
| FHLBA Workforce Housing Plus+ | Forgivable Loan | Up to $15,000 in home purchase assistance for down payment and closing costs | No | View → |
| Good Neighbor Next Door (HUD) | Government Property Sale Program | 50% discount off the list price of HUD-owned homes | Yes | View → |
| Home Possible Mortgage (Freddie Mac) | Government-Guaranteed Mortgage | Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment | No | View → |
| HomeReady Mortgage (Fannie Mae) | Government-Guaranteed Mortgage | Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment | No | View → |
| HUD $100 Down Program | FHA-Financed HUD REO Purchase | Only $100 down payment required (vs. standard 3.5% FHA down payment). HUD may also pay up to 3% of buyer's closing costs. | No | View → |
| USDA Rural Development Loans | Government-Guaranteed Mortgage | 100% financing (no down payment required); loan amount up to appraised value | No | View → |
| VA Loans | Government-Guaranteed Mortgage | No loan limit for veterans with full entitlement (0% down at any price); partial entitlement subject to conforming limits ($832,750 standard in 2026) | No | View → |
| Habitat for Humanity of New Castle County Homeownership Program | Zero-Interest Loan | Affordable home sold at construction cost with 0% interest mortgage | No | View → |
| Delaware Diamonds Home Loan | Forgivable Loan | Up to $10,000 | No | View → |
| Delaware First-Time Homebuyer Tax Credit (MCC) | Tax Credit | Up to $2,000 per year in federal tax credits (35% of mortgage interest paid) | Yes | View → |
| DSHA Diamond in the Rough Program | Deferred Loan | 5% of the final loan amount for down payment and closing costs, plus up to $35,000 for renovations | No | View → |
| DSHA First State Home Loan DPA | Deferred Loan | 4% of the first mortgage loan amount | Yes | View → |
| DSHA Home Again Loan Program | Government-Insured Mortgage | Below-market 30-year fixed-rate first mortgage | No | View → |
| DSHA Home Sweet Home Program | Forgivable Loan | Up to $12,000 | No | View → |
| DSHA Welcome Home Loan Program | Government-Insured Mortgage | Below-market 30-year fixed-rate first mortgage | Yes | View → |
- Type:
- Grant
- Amount:
- Up to $15,000 or 6% of the purchase price, whichever is less
- First-time only:
- Yes
- Type:
- Deferred Loan
- Amount:
- Up to $5,000 (minimum $1,000)
- First-time only:
- Yes
- Type:
- Forgivable Loan
- Amount:
- Up to $5,000
- First-time only:
- No
- Type:
- Government-Insured Mortgage
- Amount:
- Up to FHA county loan limits ($541,287 floor to $1,249,125 ceiling for single-family in 2026)
- First-time only:
- No
- Type:
- Forgivable Loan
- Amount:
- Up to $20,000 in home purchase assistance for down payment and closing costs
- First-time only:
- No
- Type:
- Forgivable Loan
- Amount:
- Up to $17,500 in home purchase assistance for down payment and closing costs
- First-time only:
- Yes
- Type:
- Forgivable Loan
- Amount:
- Up to $15,000 in home purchase assistance for down payment and closing costs
- First-time only:
- No
- Type:
- Government Property Sale Program
- Amount:
- 50% discount off the list price of HUD-owned homes
- First-time only:
- Yes
- Type:
- Government-Guaranteed Mortgage
- Amount:
- Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment
- First-time only:
- No
- Type:
- Government-Guaranteed Mortgage
- Amount:
- Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment
- First-time only:
- No
- Type:
- FHA-Financed HUD REO Purchase
- Amount:
- Only $100 down payment required (vs. standard 3.5% FHA down payment). HUD may also pay up to 3% of buyer's closing costs.
- First-time only:
- No
- Type:
- Government-Guaranteed Mortgage
- Amount:
- 100% financing (no down payment required); loan amount up to appraised value
- First-time only:
- No
- Type:
- Government-Guaranteed Mortgage
- Amount:
- No loan limit for veterans with full entitlement (0% down at any price); partial entitlement subject to conforming limits ($832,750 standard in 2026)
- First-time only:
- No
- Type:
- Zero-Interest Loan
- Amount:
- Affordable home sold at construction cost with 0% interest mortgage
- First-time only:
- No
- Type:
- Forgivable Loan
- Amount:
- Up to $10,000
- First-time only:
- No
- Type:
- Tax Credit
- Amount:
- Up to $2,000 per year in federal tax credits (35% of mortgage interest paid)
- First-time only:
- Yes
- Type:
- Deferred Loan
- Amount:
- 5% of the final loan amount for down payment and closing costs, plus up to $35,000 for renovations
- First-time only:
- No
- Type:
- Deferred Loan
- Amount:
- 4% of the first mortgage loan amount
- First-time only:
- Yes
- Type:
- Government-Insured Mortgage
- Amount:
- Below-market 30-year fixed-rate first mortgage
- First-time only:
- No
- Type:
- Forgivable Loan
- Amount:
- Up to $12,000
- First-time only:
- No
- Type:
- Government-Insured Mortgage
- Amount:
- Below-market 30-year fixed-rate first mortgage
- First-time only:
- Yes
How to Apply
- Step 1:
Check your eligibility. Review income limits for the programs you're interested in. The Wilmington First Start program requires income at or below 80-100% of area median income, while DSHA programs have limits of $126,480 for 1-2 person households in New Castle County.
- Step 2:
Complete homebuyer education. Contact Housing Opportunities of Northern Delaware (HOND) at 302-429-0794 or Interfaith Community Housing of Delaware (ICHDE) to enroll in a HUD-approved homebuyer education course. This is required for most programs.
- Step 3:
Contact a DSHA-approved lender. You'll need to work with an approved lender to access DSHA first mortgage programs (Welcome Home or Home Again) and down payment assistance. Visit kissyourlandlordgoodbye.com for a list of approved lenders.
- Step 4:
Apply for the Wilmington First Start Program. Have your lender or housing counselor submit your application through the Neighborly online portal. Contact firststarthousing@wilmingtonde.gov for portal access.
- Step 5:
Get pre-approved and find a home. Work with your lender to get pre-approved. If using the DSHA Home Sweet Home program, the maximum purchase price is $285,000. The home must be a single-family property within the City of Wilmington for the First Start program.
- Step 6:
Submit your full application and close. Your lender will coordinate the DSHA and city assistance programs. Be sure to enroll in the Delaware Mortgage Credit Certificate before closing if you want the annual tax credit.