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Homebuyer Programs in Chester, PA (2026)

Last updated April 1, 2026 | Population: 34,730 | Median home price: $115,000 | Est. closing costs: $2,500 - $3,500

Skyline of Chester, PA

Chester is a city in Delaware County, Pennsylvania, located along the Delaware River about 15 miles southwest of Philadelphia. With a median home price around $115,000, Chester is one of the most affordable homebuying markets in the Philadelphia metro area. First-time buyers can access up to $10,000 in down payment and closing cost assistance through the Chester Homebuyers Assistance Program administered by the Chester Community Improvement Project (CCIP), which provides a forgivable five-year loan. At the state level, the PHFA K-FIT program offers up to 5% of the purchase price as a forgivable loan, and the HOMEstead program provides up to $10,000 in a forgivable second mortgage. By combining the CCIP program with state assistance, Chester buyers could potentially stack over $20,000 in total help toward their home purchase.

Top Homebuyer Programs in Chester

Chester Homebuyers Assistance Program (CCIP)
Type:
Forgivable Loan
Amount:
Up to $10,000
First-time only:
Yes
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
Habitat for Humanity of Montgomery and Delaware Counties Homeownership Program
Type:
Zero-Interest Loan
Amount:
Affordable mortgage on a Habitat-built or renovated home
First-time only:
No
NACA Purchase Program
Type:
Zero-Interest Loan
Amount:
No down payment, no closing costs, no PMI, no fees, and below-market fixed interest rate
First-time only:
No
PHFA HFA Preferred Grant
Type:
Grant
Amount:
$500
First-time only:
No
PHFA HOMEstead Program
Type:
Forgivable Loan
Amount:
Up to $10,000
First-time only:
Yes
PHFA Keystone Advantage Assistance Loan
Type:
Zero-Interest Loan
Amount:
Up to 4% of purchase price or market value, or $6,000, whichever is less
First-time only:
No
PHFA Keystone Forgivable in Ten Years (K-FIT)
Type:
Forgivable Loan
Amount:
5% of the lesser of the purchase price or appraised value
First-time only:
No

How to Apply

  1. Step 1:

    Check your eligibility. The Chester Homebuyers Assistance Program requires household income at or below 80% of the Median Family Income for Delaware County, adjusted for household size. You must be a first-time homebuyer, meaning you have not owned a home in the past three years.

  2. Step 2:

    Complete homebuyer education. Contact the Chester Community Improvement Project (CCIP) at (610) 876-8663 to schedule your required pre-purchase counseling sessions. CCIP is a HUD-approved housing counseling agency and provides all required education.

  3. Step 3:

    Apply for the Chester Homebuyers Assistance Program. Through CCIP and the Chester Economic Development Authority, eligible buyers can receive up to $10,000 in forgivable down payment and closing cost assistance. You must contribute a minimum of $1,000 toward the purchase.

  4. Step 4:

    Get pre-approved for a mortgage. Connect with a PHFA-approved lender to access state programs like K-FIT and HOMEstead. A PHFA-approved lender can combine your first mortgage with state down payment assistance.

  5. Step 5:

    Find a home within Chester city limits. The CCIP program requires the property to be a single-family, owner-occupied home within the City of Chester. Note that the separate Delaware County Homeownership First Program does not cover Chester City properties.

  6. Step 6:

    Submit your applications and close. Work with your CCIP counselor and lender to submit all required documentation. The CCIP assistance is structured as a 0% interest loan forgiven after five years if the property is in a Revitalization Area.

Frequently Asked Questions

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