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By Tyler Thompson · Licensed Real Estate Agent · Updated March 21, 2026

Homebuyer Programs in Durham, NC (2026)

Population: 301,877 | Median home price: $420,000 | Est. closing costs: $8,500 - $12,500

Skyline of Durham, NC

Durham is a vibrant city in North Carolina's Research Triangle with a population of over 301,000 and a median home price around $420,000. First-time homebuyers in Durham have access to one of the largest city-funded assistance programs in the state. The City of Durham Down Payment Assistance Program provides up to $80,000 in forgivable, zero-interest loans for qualifying buyers purchasing within city limits. Durham Community Land Trustees (DCLT) offers permanently affordable homeownership through its community land trust model, and the NACA Homebuyer Program provides a no-down-payment, no-closing-cost mortgage at below-market rates. Combined with statewide NCHFA programs like the NC 1st Home Advantage Down Payment ($15,000) and the Community Partners Loan Pool (up to $50,000), Durham buyers can stack significant assistance to make homeownership attainable.

City Programs in Durham

Durham Down Payment Assistance Program
Type:
Forgivable Loan
Amount:
Up to $80,000
First-time only:
Yes

State Programs in North Carolina

Community Partners Loan Pool (CPLP)
Type:
Deferred Loan
Amount:
Up to 25% of the sales price, maximum $50,000
First-time only:
No
NC 1st Home Advantage Down Payment
Type:
Forgivable Loan
Amount:
$15,000
First-time only:
Yes
NC Home Advantage Mortgage
Type:
Deferred Loan
Amount:
Up to 5% of the loan amount
First-time only:
No
ReBuild NC Homeownership Assistance Program (HAP)
Type:
Forgivable Loan
Amount:
Up to $30,000 in down payment assistance plus up to 5% of sales price for closing costs
First-time only:
Yes
Self-Help Loan Pool (SHLP)
Type:
Zero-Interest Loan
Amount:
Up to $50,000 (max $35,000 if home is within one of 24 CDBG Entitlement Cities in NC)
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

Durham Community Land Trustees (DCLT) Homeownership
Type:
Zero-Interest Loan
Amount:
Below-market home purchase price (land cost removed — buyers purchase the home while leasing the land from DCLT)
First-time only:
No
Habitat for Humanity of Durham Homeownership
Type:
Zero-Interest Loan
Amount:
Affordable below-market mortgage (Habitat builds or rehabilitates homes and sells at affordable prices with zero-interest mortgages)
First-time only:
Yes
NACA Homebuyer Program
Type:
Zero-Interest Loan
Amount:
No down payment, no closing costs, no fees, plus below-market interest rate mortgage
First-time only:
No

How to Apply

Step 1:

Check your eligibility. Review income limits — you must earn at or below 80% of the Area Median Income (AMI) for Durham County. For a family of four, that's approximately $92,500. Confirm you have not owned a home in the past 3 years.

Step 2:

Complete homebuyer education. The City of Durham requires homebuyer education for DPA applicants. Reinvestment Partners offers monthly evening workshops for $50 per household. They also offer an online self-paced course. Contact Reinvestment Partners at (919) 667-1000 to register. The Durham Housing Authority also offers free homeownership counseling.

Step 3:

Meet with a HUD-approved housing counselor. A counselor can help you understand which programs you qualify for and guide you through the process. Reinvestment Partners and the Durham Housing Authority both provide counseling services in the Durham area.

Step 4:

Get pre-approved for a mortgage. Contact a City of Durham approved participating DPA lender. Not all lenders participate in the city's program, so you must work with one from the approved list on the city's website. If you're also using NCHFA programs, make sure your lender is NCHFA-approved.

Step 5:

Find a home within program requirements. The home must be located within Durham city limits and used as your primary residence. Your real estate agent and lender can help confirm whether a property qualifies.

Step 6:

Submit your application. Once you have a home under contract, your lender will submit your DPA application through the Neighborly platform on your behalf. Start pre-approval early to avoid delays at closing.

Step 7:

Explore alternative paths. DCLT offers affordable homes through its community land trust model — attend a Virtual Homebuyer Session (every 3rd Wednesday at noon). The NACA Homebuyer Program offers no-down-payment, no-closing-cost mortgages — attend a free NACA workshop to get started. Contact the City of Durham Community Development Department at (919) 560-4570 or dpa@durhamnc.gov for questions.

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