See programs you qualify for
Get Matched Free →By Tyler Thompson · Licensed Real Estate Agent · Updated May 4, 2026
Homebuyer Programs in Woodbury, MN (2026)
Woodbury is the fastest-growing city in the east Twin Cities metro and the largest in Washington County, sitting roughly 10 miles east of downtown Saint Paul. Often ranked as one of the best places to live in Minnesota, Woodbury has a median home price of around $429,000, well above the metro average. The city's First-Time Homeownership Program through the Woodbury HRA (administered by Washington County CDA) provides a below-market rate loan of up to 3.5% of the purchase price for buyers earning up to $158,000 on homes priced at or below $451,500. Woodbury also offers special rate tiers — a 0% rate for first-generation homebuyers and a discounted rate for veterans and buyers age 65+. State programs from Minnesota Housing layer on top with first mortgage and $11,500-$18,000 in DPA, and metro-wide nonprofit programs like Community Keys Plus Impact (up to $25,000), Welcome Home (up to $50,000), Twin Cities Habitat for Humanity, and Habitat for Humanity of Washington County all serve Woodbury buyers. Combining city, state, and nonprofit assistance, qualified buyers in Woodbury can frequently assemble well over $40,000 in combined help.
City Programs in Woodbury
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| Woodbury First-Time Homeownership Program | Deferred Loan | Up to 3.5% of the purchase price toward down payment and closing costs | Yes | View → |
- Type:
- Deferred Loan
- Amount:
- Up to 3.5% of the purchase price toward down payment and closing costs
- 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 → |
| Habitat for Humanity of Washington County (MN) Homeownership Program | Repayable Loan | Affordable mortgage on a Habitat-built or Habitat-renovated home; sweat equity required | Yes | 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:
- Repayable Loan
- Amount:
- Affordable mortgage on a Habitat-built or Habitat-renovated home; sweat equity required
- First-time only:
- Yes
- 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: Check your eligibility. Woodbury's First-Time Homeownership Program is unusually generous on income (up to $158,000) but requires a debt-to-income ratio at or below 50%, first-time buyer status, and a minimum buyer contribution of $1,000.
Step 2: Complete homebuyer education. Eight hours of pre-purchase education (in person or online equivalent) is required for the Woodbury program and most Minnesota Housing assistance.
Step 3: Contact the Washington County CDA. The CDA administers the Woodbury program. Request the application packet, list of participating lenders, and confirmation of current rates and special tiers (0% for first-generation buyers; discount for veterans and 65+).
Step 4: Get pre-approved with a participating lender. Pairing the Woodbury loan with a Minnesota Housing Start Up first mortgage is a common stacking approach.
Step 5: Apply for additional assistance. Contact NeighborWorks Home Partners at 651-292-8710 about Community Keys Plus Impact (up to $25,000) and Welcome Home (up to $50,000), both of which serve Washington County.
Step 6: Find a home in Woodbury at or below the $451,500 purchase price limit, complete your application, and close. Eligible property types include single-family homes, townhomes, twin homes, and condominiums used as the buyer's primary residence.
Frequently Asked Questions
How much down payment assistance can I get in Woodbury?+−
Do I have to be a first-time homebuyer?+−
What is the maximum income to qualify for Woodbury's program?+−
What is the maximum home price?+−
Are there special rates for veterans, seniors, or first-generation homebuyers?+−
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