See programs you qualify for

Get Matched Free →

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

Homebuyer Programs in Saint Paul, MN (2026)

Population: 307,284 | Median home price: $280,000 | Est. closing costs: ,500 - ,500

Skyline of Saint Paul, MN

Saint Paul is Minnesota's capital and second-largest city, home to roughly 307,000 residents along the east bank of the Mississippi River. The median home price sits around 0,000, lower than Minneapolis but still requiring meaningful assistance for many first-time buyers. The City of Saint Paul runs the Citywide Downpayment Assistance Program offering up to ,000 (plus an extra ,000 for first-generation buyers) as a 15-year forgivable loan at 0% interest. Two reparative inheritance funds are also available: the Rondo Inheritance Fund offers ,000 to 0,000 to direct descendants of property owners displaced by I-94 construction, and the West Side Flats Inheritance Fund offers up to 0,000 for descendants of families displaced to build the Riverview Industrial Park. NeighborWorks Home Partners adds Community Keys Plus Impact (up to ,000) and the Welcome Home program. Rondo Community Land Trust and Twin Cities Habitat for Humanity provide alternate paths through community land trust and affordable mortgage models. Stack a city DPA with Minnesota Housing's Start Up first mortgage, the Deferred Payment Loan (up to ,500), and the First-Generation Homebuyer Loan (up to ,000) for over ,000 in combined assistance.

City Programs in Saint Paul

Rondo Inheritance Fund Downpayment Assistance Program
Type:
Forgivable Loan
Amount:
,000 to 0,000 (up to 0,000 if the home is purchased within historic Rondo)
First-time only:
No
Saint Paul Citywide Downpayment Assistance Program
Type:
Forgivable Loan
Amount:
Up to ,000 (additional ,000 available for first-generation homebuyers)
First-time only:
No
West Side Flats Inheritance Fund Downpayment Assistance Program
Type:
Forgivable Loan
Amount:
Up to 0,000 (additional funding available for buyers at or below 80% AMI)
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
Rondo Community Land Trust Homebuyer Initiated Program (HIP)
Type:
Deferred Loan
Amount:
Affordability Investment Grant plus a Rehab Grant for essential repairs; combined subsidy varies by home and household
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:

Check your eligibility. Most Saint Paul programs require household income at or below 80% of Area Median Income, with the Citywide DPA also imposing a ,000 asset cap. The Inheritance Fund programs allow up to 100% AMI but require descendancy verification.

Step 2:

Complete homebuyer education. The Minnesota Homeownership Center's Home Stretch course is the standard. Local providers include NeighborWorks Home Partners and Project for Pride in Living. The class must be completed before signing a purchase agreement for most assistance programs.

Step 3:

Complete a financial wellness or counseling appointment. NeighborWorks Home Partners and Neighborhood Development Alliance (NeDA) offer 1

Step 4:

Get pre-approved with a participating lender. To layer Minnesota Housing Start Up or Step Up plus the Deferred Payment Loan or Monthly Payment Loan, work with a Minnesota Housing-approved participating lender.

Step 5:

Apply for the right city program. The Citywide DPA cycles open and close — check current status with the City of Saint Paul. Inheritance Fund applicants apply directly to the City's Inheritance Fund, with descendancy verification through the West Side Community Organization for the West Side Flats fund.

Step 6:

Find a home within program limits. Saint Paul programs apply to single-family, townhome, condo, and duplex purchases inside city limits. Rondo CLT homes can also be in suburban Ramsey County.

Step 7:

Submit and close. Your lender layers the city DPA, state DPA, and first mortgage at closing. Plan on 30-45 days from purchase agreement to close.

Frequently Asked Questions

Related Cities

Related Articles