Homebuyer Programs in Passaic, NJ (2026)
Passaic is a densely populated city in Passaic County, New Jersey, located along the Passaic River just 15 miles west of New York City. With a median home price around $535,000, buying here can feel challenging, but several assistance programs can help. The City of Passaic HOME First-Time Homebuyer Program offers up to $39,500 as a deferred loan, while the NJHMFA Down Payment Assistance Program provides up to $15,000 as a forgivable loan, with an additional $7,000 available through the NJHMFA First Generation Down Payment Assistance for first-generation buyers. The NJCC Statewide Down Payment Assistance Program can add up to $30,000 in grant funding, and Passaic County Habitat for Humanity offers affordable homeownership opportunities for qualifying families. By stacking these programs, eligible buyers in Passaic could access over $90,000 in combined assistance.
Top Homebuyer Programs in Passaic
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| City of Passaic HOME First-Time Homebuyer Program | Deferred Loan | Up to $39,500 | Yes | View → |
| 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 → |
| Housing Partnership of New Jersey CDFI Homebuyer Loan | Zero-Interest Loan | Up to $20,000 | No | View → |
| NACA Best in America Mortgage Program | Zero-Interest Loan | No down payment, no closing costs, no fees, no mortgage insurance, below-market interest rate | No | View → |
| Passaic County Habitat for Humanity Homeownership Program | Zero-Interest Loan | Below-market-price home purchase with affordable mortgage | Yes | View → |
| NJCC Statewide Down Payment Assistance Program | Grant | Up to $30,000 | Yes | View → |
| NJHMFA Down Payment Assistance Program | Forgivable Loan | Up to $15,000 | Yes | View → |
| NJHMFA First Generation Down Payment Assistance | Forgivable Loan | $7,000 | Yes | View → |
| NJHMFA First-Time Homebuyer Mortgage Program | Government-Insured Mortgage | Competitive 30-year fixed-rate mortgage | Yes | View → |
| NJHMFA HFA Advantage Mortgage Program | Government-Insured Mortgage | Competitive 30-year fixed-rate conventional mortgage | No | View → |
- Type:
- Deferred Loan
- Amount:
- Up to $39,500
- First-time only:
- Yes
- 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
- Type:
- Zero-Interest Loan
- Amount:
- Up to $20,000
- First-time only:
- No
- Type:
- Zero-Interest Loan
- Amount:
- No down payment, no closing costs, no fees, no mortgage insurance, below-market interest rate
- First-time only:
- No
- Type:
- Zero-Interest Loan
- Amount:
- Below-market-price home purchase with affordable mortgage
- First-time only:
- Yes
- Type:
- Grant
- Amount:
- Up to $30,000
- First-time only:
- Yes
- Type:
- Forgivable Loan
- Amount:
- Up to $15,000
- First-time only:
- Yes
- Type:
- Forgivable Loan
- Amount:
- $7,000
- First-time only:
- Yes
- Type:
- Government-Insured Mortgage
- Amount:
- Competitive 30-year fixed-rate mortgage
- First-time only:
- Yes
- Type:
- Government-Insured Mortgage
- Amount:
- Competitive 30-year fixed-rate conventional mortgage
- First-time only:
- No
How to Apply
- Step 1:
Check your eligibility. Most programs require household income at or below 80% of Area Median Income for Passaic County. Review each program's specific income thresholds before applying.
- Step 2:
Complete homebuyer education. A HUD-approved homebuyer education course is required for most programs. Contact the Housing Partnership of New Jersey at (732) 940-0009 or Passaic County Habitat for Humanity to find local course options.
- Step 3:
Contact the City of Passaic Department of Community Development. They administer the HOME First-Time Homebuyer Program offering up to $39,500. Call City Hall to request an application and learn about current funding availability.
- Step 4:
Get pre-approved for a mortgage. Contact an NJHMFA-participating lender to apply for the NJHMFA First-Time Homebuyer Mortgage Program, which bundles a competitive 30-year fixed-rate loan with up to $15,000 in forgivable down payment assistance. Visit theroadhomenj.com for a list of approved lenders.
- Step 5:
Apply for additional assistance. If you are a first-generation homebuyer, you may qualify for an extra $7,000 through the NJHMFA First Generation Down Payment Assistance. Also explore the NJCC Statewide DPA Program for up to $30,000 in grant funding.
- Step 6:
Find a home within program guidelines. Work with your lender and a real estate agent to find a property within the City of Passaic that meets program requirements.
- Step 7:
Submit your applications and close. Your lender will coordinate program applications alongside your mortgage. Allow several weeks for processing, and stay in close contact with all parties involved.