See programs you qualify for
Get Matched Free →By Tyler Thompson · Licensed Real Estate Agent · Updated April 21, 2026
Homebuyer Programs in Raytown, MO (2026)
Raytown is a close-in Kansas City suburb in Jackson County, Missouri with roughly 29,445 residents and a median home price near $215,000 — one of the most affordable entry points anywhere in the KC metro. Buyers here can stack the state's MHDC First Place or Next Step loans (up to 4% of the first mortgage as forgivable down payment/closing cost assistance) with Habitat for Humanity Kansas City's Down Payment Assistance Grant (up to $10,000) since Jackson County is inside Habitat KC's service area. Truman Heritage Habitat for Humanity also builds and sells affordable homes directly to qualifying Raytown residents with 0% interest mortgages capped at roughly 30% of household income. Combined with federal options like FHA, VA, USDA and conventional low down payment programs, these assistance sources can bring out-of-pocket costs for a typical Raytown purchase down to a few thousand dollars.
State Programs in Missouri
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| MHDC First Place Loan Program | Forgivable Loan | Up to 4% of the loan amount via the Cash Assistance Loan (CAL) for down payment and closing costs, paired with a below-market fixed-rate first mortgage (Conventional, FHA, VA, or USDA). | Yes | View → |
| MHDC Next Step Loan Program | Forgivable Loan | Up to 4% of the loan amount via the Cash Assistance Loan (CAL) for down payment and closing costs, paired with a fixed-rate first mortgage (Conventional, FHA, VA, or USDA). | No | View → |
- Type:
- Forgivable Loan
- Amount:
- Up to 4% of the loan amount via the Cash Assistance Loan (CAL) for down payment and closing costs, paired with a below-market fixed-rate first mortgage (Conventional, FHA, VA, or USDA).
- First-time only:
- Yes
- Type:
- Forgivable Loan
- Amount:
- Up to 4% of the loan amount via the Cash Assistance Loan (CAL) for down payment and closing costs, paired with a fixed-rate first mortgage (Conventional, FHA, VA, or USDA).
- 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 → |
| FHLBA Community Partners Product | Forgivable Loan | Up to $20,000 in home purchase assistance for down payment and closing costs | No | View → |
| FHLBA First Time Homebuyer Product | Forgivable Loan | Up to $17,500 in home purchase assistance for down payment and closing costs | Yes | View → |
| FHLBA Workforce Housing Plus+ | Forgivable Loan | Up to $15,000 in home purchase assistance for down payment and closing costs | 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:
- Forgivable Loan
- Amount:
- Up to $20,000 in home purchase assistance for down payment and closing costs
- First-time only:
- No
- Type:
- Forgivable Loan
- Amount:
- Up to $17,500 in home purchase assistance for down payment and closing costs
- First-time only:
- Yes
- Type:
- Forgivable Loan
- Amount:
- Up to $15,000 in home purchase assistance for down payment and closing costs
- 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 |
|---|---|---|---|---|
| Habitat KC Down Payment Assistance Grant | Grant | Up to $10,000 toward down payment. | Yes | View → |
| Truman Heritage Habitat for Humanity Homebuyer Program | Zero-Interest Loan | Affordable Habitat-built home sold with a 0% interest mortgage; monthly payment capped at roughly 30% of household income | No | View → |
- Type:
- Grant
- Amount:
- Up to $10,000 toward down payment.
- First-time only:
- Yes
- Type:
- Zero-Interest Loan
- Amount:
- Affordable Habitat-built home sold with a 0% interest mortgage; monthly payment capped at roughly 30% of household income
- First-time only:
- No
How to Apply
Check your eligibility. Most Missouri programs require income at or below MHDC limits for Jackson County, a credit score of 640 or higher, and a first-time homebuyer status (not having owned in the past three years). For Habitat KC's Down Payment Assistance Grant, household income must be at or below 80% Area Median Income and your debt-to-income ratio under 45%.
Complete a HUD-approved homebuyer education course. MHDC and Habitat KC both require completion of a HUD-approved course. You can find a counselor by calling HUD's toll-free line at (800) 569-4287 or through the Consumer Financial Protection Bureau at (855) 411-2372 — both will route you to an approved Kansas City metro counseling agency.
Get pre-approved with an MHDC-approved lender. MHDC First Place and Next Step loans are only available through their certified lender network. Ask the lender to quote both the First Place option (4% forgivable Cash Assistance Loan, forgiven 1/60th per month starting in year 5) and the Next Step option (4% assistance, fully forgiven after 10 years of owner-occupancy).
Apply to Habitat KC's Down Payment Assistance Grant if you qualify. Contact Habitat for Humanity Kansas City to start the DPA grant application once your property is under contract in Jackson County. The grant provides up to $10,000 toward down payment and does not need to be repaid.
Explore Truman Heritage Habitat for Humanity if you want to buy a Habitat-built home. Truman Heritage serves Raytown directly and sells newly built or rehabbed homes to qualifying families with a 0% interest mortgage. Application windows open periodically — contact Truman Heritage Habitat for Humanity at their Independence office to check current openings.
Find a home within Raytown and MHDC purchase price limits. Confirm the purchase price fits inside MHDC's statewide non-targeted limit (updated annually, generally comfortable for Raytown's price range). Most Raytown homes list well below MHDC's cap.
Submit your application and close. With an MHDC loan, closings typically run 45–60 days from contract. Grant and forgivable assistance funds are delivered at the closing table by the lender and administering partners.