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By Tyler Thompson · Licensed Real Estate Agent · Updated May 5, 2026

Homebuyer Programs in Chaska, MN (2026)

Population: 28,706 | Median home price: $440,000 | Est. closing costs: $9,000 - $13,000

Skyline of Chaska, MN

Chaska is the county seat of Carver County, set in the southwest Twin Cities metro along the Minnesota River, with a population of about 28,706 and a median home price near $440,000. The City of Chaska does not fund a city-level down payment assistance program of its own, but Carver County offers two strong tools administered through the Carver County CDA right in Chaska. The Carver County CDA Down Payment and Closing Cost Assistance Program provides up to 25% of the purchase price (capped at $50,000) as a forgivable second mortgage that is fully forgiven after 20 years; pre-applications are currently closed due to overwhelming demand, so check back with the CDA for reopening. The Carver County Community Land Trust offers permanently affordable homes (currently 34 properties across 6 communities) for buyers at or below 80% AMI, with a maximum purchase price of $415,000. On top of those, Minnesota Housing layers in a Deferred Payment Loan up to $12,500, a Monthly Payment Loan up to $18,000, and the First-Generation Homebuyer Loan up to $35,000. Twin Cities Habitat for Humanity also serves Carver County. Stacked together, these can put $40,000 to $90,000 of assistance toward a purchase here.

County Programs in Carver County

Carver County CDA Down Payment and Closing Cost Assistance Program
Type:
Forgivable Loan
Amount:
Up to 25% of purchase price, not to exceed $50,000
First-time only:
Yes
Carver County Community Land Trust
Type:
Deferred Loan
Amount:
Subsidized purchase price on permanently affordable CLT homes; subsidy varies by home and household
First-time only:
Yes

State Programs in Minnesota

Minnesota First-Generation Homebuyer Loan Program
Type:
Deferred Loan
Amount:
Up to ,000
First-time only:
Yes
Minnesota Housing Deferred Payment Loan
Type:
Deferred Loan
Amount:
Up to ,500
First-time only:
Yes
Minnesota Housing Monthly Payment Loan
Type:
Repayable Loan
Amount:
Up to ,000
First-time only:
No
Minnesota Housing Start Up Program
Type:
Government-Insured Mortgage
Amount:
First mortgage with as little as 3% down
First-time only:
Yes
Minnesota Housing Step Up Program
Type:
Government-Insured Mortgage
Amount:
First mortgage; can also be used to refinance
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

Twin Cities Habitat for Humanity Homeownership Program
Type:
Repayable Loan
Amount:
Affordable mortgage with monthly payments at or below 30% of household income; option to use TruePath Mortgage on the open market or purchase a Habitat-built or Habitat-renovated home
First-time only:
No

How to Apply

Step 1:

Check your eligibility. Carver County CDA programs and most state programs require first-time homebuyer status (no homeownership in the past 3 years), household income at or below program AMI thresholds, and the purchase of a primary residence in Carver County.

Step 2:

Complete a Home Stretch financial education class. The Carver County CDA, Twin Cities Habitat for Humanity, and the Minnesota Homeownership Center all offer or accept qualifying courses. The Home Stretch class is required before receiving a Carver County CDA reservation.

Step 3:

Watch the Carver County CDA DPA Program for reopening. Pre-applications are currently closed due to overwhelming demand. Contact Melodie Bridgeman at 952-556-2778 or melodieb@carvercda.org for updates. When open, plan for a $100 application fee plus full underwriting.

Step 4:

Explore Carver County Community Land Trust homes if you fit the household income limit (at or below 80% AMI). The CCCLT manages 34 permanently affordable homes across Carver County. Email ccclt@carvercda.org for current availability.

Step 5:

Get pre-approved with a Minnesota Housing participating lender to layer the Start Up first mortgage with one of the state DPA loans (Deferred Payment, Monthly Payment, or First-Generation).

Step 6:

Find a home within program limits. The Carver County CDA DPA caps the purchase price at $415,000. CLT homes are priced below market via the appraisal-based formula.

Step 7:

Submit your full application package and close. The Carver County CDA loan is fully forgiven after 20 years (5% per year) of owner-occupancy.

Frequently Asked Questions

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