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By Tyler Thompson · Licensed Real Estate Agent · Updated May 4, 2026

Homebuyer Programs in Edina, MN (2026)

Population: 53,262 | Median home price: $788,000 | Est. closing costs: ,000 - ,500

Skyline of Edina, MN

Edina is an upscale southwest Minneapolis suburb of about 53,000 residents in Hennepin County, with a median home price near 8,000 — among the highest in the metro. The city's longtime Come Home 2 Edina 2nd Mortgage Program (up to ,000) was suspended on January 31, 2025, when funds ran out, and has not reopened. To fill the gap, the Edina HRA approved a new Heroes Down Payment Assistance Program in November 2025, providing up to 0,000 (25% of purchase price) for buyers who work in Edina in healthcare, education, or as public employees, plus an additional ,000 forgivable loan for first-generation buyers. Edina buyers can layer in state programs (Start Up first mortgage, Deferred Payment Loan up to ,500, Monthly Payment Loan up to ,000, First-Generation Loan up to ,000), nonprofit options like Homes Within Reach Community Land Trust (Edina is a partner community), Twin Cities Habitat, Welcome Home DPA, and Community Keys Plus, plus federal programs like FHA and VA. Note: Edina is excluded from the Hennepin County HRA program.

City Programs in Edina

Come Home 2 Edina 2nd Mortgage Program
Type:
Deferred Loan
Amount:
Up to ,000 (25% of purchase price); additional ,000 forgivable loan for first-generation buyers
First-time only:
Yes
Edina Heroes Down Payment Assistance Program
Type:
Deferred Loan
Amount:
Up to 0,000 (25% of purchase price); additional ,000 forgivable loan for first-generation buyers
First-time only:
No

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

Community Keys Plus Impact Down Payment Assistance
Type:
Deferred Loan
Amount:
Up to ,000
First-time only:
No
Homes Within Reach Community Land Trust
Type:
Deferred Loan
Amount:
Subsidized purchase price; CLT removes the cost of land from the home price, typically saving tens of thousands per purchase
First-time only:
No
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
Welcome Home Down Payment Assistance
Type:
Forgivable Loan
Amount:
Varies by household need
First-time only:
Yes

How to Apply

Step 1:

Confirm your eligibility. The Heroes Program requires that you work within the City of Edina in qualifying healthcare, education, or public employee roles AND are buying a home in Edina. The first-generation portion adds an attestation that your parents have not previously owned a home.

Step 2:

Complete a HUD-approved homebuyer education course before closing. Home Stretch (in person) or Framework (online) both qualify for state Minnesota Housing programs.

Step 3:

Apply through the Edina Housing Foundation for the Heroes Program. Visit edinamn.gov/2182/Heroes-Program for details and contact information. Plan to bring at least ,000 of your own money toward down payment, closing costs, or prepaid expenses.

Step 4:

Get pre-approved with a Minnesota Housing approved lender. Use the lender directory at mnhousing.gov to layer the Start Up first mortgage with the Deferred Payment Loan or Monthly Payment Loan.

Step 5:

Find a home located within the City of Edina. Given the high median price, plan carefully — even with substantial assistance, monthly carrying costs can be significant in this market.

Step 6:

If you are open to a Community Land Trust home, contact Homes Within Reach to explore Edina CLT properties. The CLT model removes land cost from the purchase price, often saving tens of thousands.

Step 7:

Submit your final application package and complete underwriting. Coordinate timing carefully between the Heroes Program funding and your first mortgage closing.

Step 8:

Close on your home and stay in it as your homestead.

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