See programs you qualify for

Get Matched Free →

Homebuyer Programs in Bowling Green, KY (2026)

Population: 79,076 | Median home price: $265,000 | Est. closing costs: $5,500 - $8,000

Last updated April 11, 2026

Skyline of Bowling Green, KY

Bowling Green is Kentucky's third-largest city, located in Warren County and home to Western Kentucky University, with a median home price around $265,000. The city offers a Down Payment Assistance Program providing up to $10,000 in grant funding for first-time buyers purchasing in targeted revitalization areas, administered through HANDS Inc. Habitat for Humanity of Bowling Green/Warren County provides 0% interest mortgages on Habitat-built homes for families below 80% AMI. At the state level, the KHC Regular DAP adds up to $12,500 and the KHC Affordable DAP provides up to $7,500 for lower-income buyers. By combining the city DPA grant with a KHC program, eligible Bowling Green buyers could access over $22,000 in total assistance toward their home purchase.

City Programs in Bowling Green

Bowling Green Down Payment Assistance Program
Type:
Grant
Amount:
Up to $10,000
First-time only:
Yes
Housing Authority of Bowling Green Homeownership Program
Type:
Grant
Amount:
Housing Choice Voucher subsidy applied to mortgage payment (amount varies by household)
First-time only:
No

State Programs in Kentucky

FHLB Cincinnati Welcome Home Program
Type:
Grant
Amount:
Grants of $10,000 to $20,000; up to $25,000 for veterans, active-duty military, and surviving spouses
First-time only:
Yes
KHC Affordable Down Payment Assistance (Affordable DAP)
Type:
Repayable Loan
Amount:
Up to $7,500
First-time only:
No
KHC Regular Down Payment Assistance (DAP)
Type:
Repayable Loan
Amount:
Up to $12,500
First-time only:
No

Federal Programs

FHA Loans
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
FHLBA Community Partners Product
Type:
Forgivable Loan
Amount:
Up to $20,000 in home purchase assistance for down payment and closing costs
First-time only:
No
FHLBA First Time Homebuyer Product
Type:
Forgivable Loan
Amount:
Up to $17,500 in home purchase assistance for down payment and closing costs
First-time only:
Yes
FHLBA Workforce Housing Plus+
Type:
Forgivable Loan
Amount:
Up to $15,000 in home purchase assistance for down payment and closing costs
First-time only:
No
Good Neighbor Next Door (HUD)
Type:
Government Property Sale Program
Amount:
50% discount off the list price of HUD-owned homes
First-time only:
Yes
Home Possible Mortgage (Freddie Mac)
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
HomeReady Mortgage (Fannie Mae)
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
HUD $100 Down Program
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
USDA Rural Development Loans
Type:
Government-Guaranteed Mortgage
Amount:
100% financing (no down payment required); loan amount up to appraised value
First-time only:
No
VA Loans
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

Nonprofit Programs

Habitat for Humanity of Bowling Green/Warren County
Type:
Zero-Interest Loan
Amount:
0% interest mortgage on Habitat-built homes
First-time only:
Yes

How to Apply

Step 1:

Check your eligibility. The Bowling Green DPA targets first-time buyers with low-to-moderate income in Warren County. KHC state programs have a statewide purchase price limit of $544,232. Income limits vary by county and household size.

Step 2:

Contact HANDS Inc. for homebuyer counseling. HANDS Inc. is the HUD-approved housing counseling agency that administers the city DPA program. Reach them at (270) 796-4176 or visit 215 E. 12th Avenue, Bowling Green, KY 42102 (Monday-Thursday 8am-4pm). They will guide you through eligibility and the application process.

Step 3:

Complete homebuyer education. Most programs require or recommend HUD-approved homebuyer education. HANDS Inc. provides counseling services locally. Habitat for Humanity requires financial literacy coursework and 150 hours of volunteer sweat equity.

Step 4:

Get pre-approved for a mortgage. Work with a KHC-approved lender if you plan to use state DPA programs. Your lender can help you determine which programs to stack for maximum assistance.

Step 5:

Find a home within program guidelines. The city DPA is limited to targeted revitalization areas within Bowling Green. Habitat for Humanity builds and sells homes in the Bowling Green/Warren County area. Ask HANDS Inc. about current eligible neighborhoods.

Step 6:

Submit your application and close. Your lender and housing counselor will coordinate DPA funding with your first mortgage. Allow extra processing time when combining city and state assistance.

Frequently Asked Questions

Related Cities

Related Articles