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Homebuyer Programs in Hammond, LA (2026)

Last updated April 7, 2026 | Population: 21,539 | Median home price: $230,000 | Est. closing costs: $4,500 - $7,000

Skyline of Hammond, LA

Hammond is a city in Tangipahoa Parish and home to Southeastern Louisiana University, located about 45 miles east of Baton Rouge. With a median home price around $230,000, Hammond offers affordable homeownership in a growing community with easy access to both Baton Rouge and New Orleans via I-12 and I-55. The city is USDA-eligible, allowing qualified buyers to purchase with zero down payment. Louisiana state programs provide significant additional help: the LHC Pathways to Homeownership Soft Second offers up to $60,000 in forgivable assistance, and the CAFA Capital Advantage Program provides a non-repayable grant of up to 5% of the mortgage amount. Habitat for Humanity St. Tammany West serves Tangipahoa Parish and operates the only HUD-approved housing counseling agency in the region. By combining USDA financing with state assistance programs, Hammond buyers can often purchase a home with little to no money out of pocket.

Top Homebuyer Programs in Hammond

CAFA Capital Advantage Program
Type:
Grant
Amount:
Non-repayable grant of up to 5% of original mortgage amount
First-time only:
No
CAFA First Home Program
Type:
Grant
Amount:
Down payment and closing cost assistance with below-market interest rate mortgage
First-time only:
Yes
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
Habitat for Humanity St. Tammany West Homeownership Program
Type:
Zero-Interest Loan
Amount:
Affordable income-based mortgage payments
First-time only:
No
LHC Keys for Service Program
Type:
Forgivable Loan
Amount:
4% of loan amount for down payment and closing costs
First-time only:
No
LHC MRB Home Program
Type:
Grant
Amount:
5% to 9% of mortgage amount for down payment and closing costs
First-time only:
Yes
LHC Pathways to Homeownership Soft Second
Type:
Forgivable Loan
Amount:
Up to 20% of purchase price (up to $55,000) plus up to $5,000 for closing costs (up to $60,000 total)
First-time only:
Yes
LHC Preferred Conventional Program
Type:
Grant
Amount:
Up to 4% of total purchase price
First-time only:
Yes
LHC Resilience Soft Second Program
Type:
Forgivable Loan
Amount:
Up to $55,000 plus up to $5,000 for closing costs (up to $60,000 total)
First-time only:
Yes
Louisiana Mortgage Credit Certificate (MCC)
Type:
Tax Credit
Amount:
Federal tax credit of up to 40% of annual mortgage interest, capped at $2,000 per year
First-time only:
Yes

How to Apply

  1. Step 1:

    Check your eligibility. Louisiana state programs generally require household income at or below 80% of the Area Median Income for Tangipahoa Parish. USDA loans have income limits up to 115% of AMI. The CAFA programs have separate income thresholds.

  2. Step 2:

    Complete homebuyer education. Most first-time buyer programs require a HUD-approved homebuyer education course. Habitat for Humanity St. Tammany West operates the St. Tammany Homeownership Center (STHOC), the only HUD-approved counseling agency in the region. The Louisiana Housing Corporation also offers a free 6-hour online course.

  3. Step 3:

    Contact a participating lender. LHC programs and CAFA programs are offered through approved lenders. Visit lhc.la.gov or thecafa.org to find a participating lender in the Hammond area. For USDA loans, contact a USDA-approved lender.

  4. Step 4:

    Get pre-approved for a mortgage. Your lender will determine which programs you qualify for based on your income, credit score, and the property. Ask about combining USDA financing with LHC and CAFA programs for maximum benefit.

  5. Step 5:

    Find a USDA-eligible home in Hammond. Verify the property address on the USDA eligibility map at eligibility.sc.egov.usda.gov.

  6. Step 6:

    Submit your application and close. Once you have a signed purchase agreement, your lender will process all applicable assistance alongside your mortgage. The LHC Pathways soft second is forgiven after 10 years of owner-occupancy.

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