See programs you qualify for
Get Matched Free →By Tyler Thompson · Licensed Real Estate Agent · Updated May 5, 2026
Homebuyer Programs in St. Louis Park, MN (2026)
St. Louis Park is a close-in western Minneapolis suburb of about 50,000 residents in Hennepin County, with a median home price near 0,000. The city offers two of the most generous local programs in the metro: the St. Louis Park Down Payment Assistance Deferred Loan, which scales with income up to ,000 (25% of purchase price) for households at or below 50% AMI, and the St. Louis Park First Generation Down Payment Assistance Loan (up to ,000, forgivable at 5% per year over 20 years). Both programs offer an additional ,000 to employees of St. Louis Park businesses or long-term local renters. 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 (St. Louis Park is a partner community), Twin Cities Habitat, Welcome Home DPA, and Community Keys Plus, plus federal programs like FHA and VA. Note: St. Louis Park is excluded from the Hennepin County HRA program because the city operates its own programs.
City Programs in St. Louis Park
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| St. Louis Park Down Payment Assistance Deferred Loan | Deferred Loan | — | Yes | View → |
| St. Louis Park First Generation Down Payment Assistance Loan | Forgivable Loan | — | Yes | View → |
- Type:
- Deferred Loan
- First-time only:
- Yes
- Type:
- Forgivable Loan
- First-time only:
- Yes
State Programs in Minnesota
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| Minnesota First-Generation Homebuyer Loan Program | Deferred Loan | — | Yes | View → |
| Minnesota Housing Deferred Payment Loan | Deferred Loan | — | Yes | View → |
| Minnesota Housing Monthly Payment Loan | Repayable Loan | — | No | View → |
| Minnesota Housing Start Up Program | Government-Insured Mortgage | First mortgage with as little as 3% down | Yes | View → |
| Minnesota Housing Step Up Program | Government-Insured Mortgage | First mortgage; can also be used to refinance | No | View → |
- Type:
- Deferred Loan
- First-time only:
- Yes
- Type:
- Deferred Loan
- First-time only:
- Yes
- Type:
- Repayable Loan
- First-time only:
- No
- Type:
- Government-Insured Mortgage
- Amount:
- First mortgage with as little as 3% down
- First-time only:
- Yes
- Type:
- Government-Insured Mortgage
- Amount:
- First mortgage; can also be used to refinance
- First-time only:
- No
Federal Programs
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| 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 → |
| 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 → |
- 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:
- 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
Nonprofit Programs
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| Community Keys Plus Impact Down Payment Assistance | Deferred Loan | — | No | View → |
| Homes Within Reach Community Land Trust | Deferred Loan | Subsidized purchase price; CLT removes the cost of land from the home price, typically saving tens of thousands per purchase | No | View → |
| Twin Cities Habitat for Humanity Homeownership Program | Repayable Loan | 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 | No | View → |
| Welcome Home Down Payment Assistance | Forgivable Loan | Varies by household need | Yes | View → |
- Type:
- Deferred Loan
- First-time only:
- No
- 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
- 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
- Type:
- Forgivable Loan
- Amount:
- Varies by household need
- First-time only:
- Yes
How to Apply
Step 1: Confirm your eligibility. Both St. Louis Park city programs require you to be a first-time homebuyer (no ownership in the past 3 years). Income limits are ,300 for 1- and 2-person households and ,900 for 3+ person households. The First Generation Loan 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.
Step 3: Contact the Center for Energy and Environment at 612-335-5884 to apply for the Down Payment Assistance Deferred Loan and/or the First Generation Down Payment Assistance Loan.
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: If you work for a St. Louis Park business or have rented in St. Louis Park for at least 6 months, you may qualify for an additional ,000 on top of the standard loan. Mention this when you apply.
Step 6: Find a home located within the City of St. Louis Park that fits your budget and program requirements.
Step 7: If you are open to a Community Land Trust home, contact Homes Within Reach to explore CLT properties in St. Louis Park. The CLT model removes land cost from the purchase price, often saving tens of thousands.
Step 8: Submit your final application package, complete underwriting, and close on your home. Stay through the forgiveness milestones to maximize the benefit of the First Generation loan.
Frequently Asked Questions
How much down payment assistance can I get in St. Louis Park?+−
Do I have to be a first-time homebuyer?+−
What are the income limits for St. Louis Park programs?+−
How does the First Generation loan get forgiven?+−
What is the ,000 employee/renter bonus?+−
Is St. Louis Park eligible for the Hennepin County HRA program?+−
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