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About the Turn the Key
Turn the Key is a Philadelphia homeownership program that sells newly built, energy-efficient homes on vacant city-owned land to income-eligible first-time buyers. The Philadelphia Housing Development Corporation (PHDC) runs intake and counseling, and the Philadelphia Land Bank contributes the land. Buyers can receive up to $75,000 in mortgage buydown assistance plus the $10,000 Philly First Home grant, up to $85,000 in total. The city reports an average price of $280,000 before assistance and $183,499 after.
To qualify for Turn the Key, you must be a first-time buyer, meaning you have never owned a home or have not owned one in the three years before applying. Household income must be at or below 100% of Area Median Income on PHDC's current chart: $85,900 for one person, $98,200 for two, $110,500 for three, $122,700 for four and $162,000 for eight, plus $9,800 per additional person. PHDC's FAQ cites a lower $73,780 limit for one person, so confirm your figure at prescreening. Income counts every household member who will live in the home. PHDC targets a credit score around 640, though some loan products accept lower scores. The rule stricter than people expect: you must finish PHDC-approved one-on-one homeownership counseling before signing an Agreement of Sale, and the buydown only works on a Turn the Key home.
The $75,000 buydown is a soft second mortgage with no monthly payments. Under PHDC's FAQ, it is satisfied after year 20, and if you sell within 15 years the Land Bank recalculates the price for another income-eligible buyer. The home must stay your primary residence for the full deed restriction. Compared with Philly First Home alone (up to $10,000) or Citadel Home Help (up to $18,000), Turn the Key cuts the price far more, but only on new homes in set neighborhoods.
How much assistance
Eligibility
- Income limits: At or below 100% of AMI per PHDC's current chart: $85,900 (1 person), $98,200 (2), $110,500 (3), $122,700 (4), $132,600 (5), $142,400 (6), $152,200 (7), $162,000 (8); add $9,800 per additional person. PHDC's FAQ cites $73,780 for one person; confirm at prescreening.
- First-time buyer required: Yes — Has never owned a home, or has not owned a home in the 3 years before applying.
- Geographic restrictions: Must purchase a newly constructed home built on publicly-owned land in Philadelphia through the Turn the Key program.
- Homebuyer education required: Yes
How to Apply for Turn the Key
Step 1: Check income and first-time buyer status
Compare your gross household income, before taxes and from every member who will live in the home, against the chart at phdcphila.org/turnthekey. The current limit is $85,900 for one person and $122,700 for four. You must not have owned a home in the past three years. PHDC uses Box 1 of your W-2 to measure income, so check that figure rather than your take-home pay before you apply.
Step 2: Submit the Turn the Key interest form
Create an account and submit an application at phdc.my.site.com/TTKResidentPrograms, choosing your preferred neighborhoods. A confirmation page appears when it goes through. Submitting does not guarantee a home or place you on a waiting list. After prequalification screening, a PHDC housing counselor contacts you by email once homes in your first-choice neighborhood are ready for buyers. Questions go to turnthekey@phdc.phila.gov.
Step 3: Gather income documents for certification
PHDC asks for a photo ID for every household member age 18 or older, two months of pay stubs and two years of federal tax returns. Include documentation for all income sources, such as SSI or a second job. If your income rises after prescreening, PHDC says you can still finish the process based on your prescreen income, so submit complete records the first time.
Step 4: Complete PHDC-approved housing counseling
One-on-one counseling through PHDC or another City-funded agency is required before you sign an Agreement of Sale. Schedule it through PHDC's Turn the Key Housing Counseling Intake page. If you already hold a certificate from a City-funded counselor issued within the last 12 months, you only review the Turn the Key portion covering the soft mortgage and buydown. The city says buyers average 8 hours of counseling.
Step 5: Get approved by a participating lender
PHDC lists 34 participating lenders, including Citadel Credit Union, TD Bank, WSFS, Firstrust and Penn Community Bank, on its Turn the Key lender page. Most list a 620 minimum for conventional loans, and FHA and VA options run lower. Compare at least two lenders, and ask each whether its own grants, such as TD Home Access or Citadel Home Help, can be layered on your purchase.
Step 6: Tour homes, sign and close
Once you hold income certification, a counseling certificate and documented mortgage approval, PHDC shares your file with developers in your chosen neighborhoods, and their sales teams contact you to tour homes. Open sites have included Germantown, Nicetown-Tioga, Sharswood, West Poplar and Whitman. Plan on $3,000 to $5,000 of your own cash for the down payment, closing costs and inspections, per PHDC's FAQ.
Real Cost Example
On a $280,000 Turn the Key home in Philadelphia, the city's reported average price, the $75,000 soft mortgage buydown reduces the amount your first mortgage must cover to about $205,000. A 3% conventional down payment on that balance would be about $6,150. The $10,000 Philly First Home grant (the lesser of $10,000 or 6% of the price) can cover that down payment, leaving about $3,850 to apply toward closing costs.
Estimated closing costs in Philadelphia run $5,500 to $8,000. After the leftover $3,850 from Philly First Home, a buyer would still need roughly $1,650 to $4,150 in cash. That is in line with PHDC's guidance that buyers should expect to bring $3,000 to $5,000 for the down payment, closing costs and inspections. The city reports an average final price of $183,499 after grants and buydowns.
A buyer who also finances through Citadel Credit Union, a lender on PHDC's Turn the Key list, could apply for Citadel Home Help, which offers up to $18,000 in down payment assistance with a 620 minimum credit score. On paper, the $75,000 buydown, $10,000 Philly First Home grant and $18,000 Citadel benefit total $103,000, subject to Citadel's own approval and limits.
Combining With Other Programs
Turn the Key is designed to stack. The $75,000 mortgage buydown pairs with the $10,000 Philly First Home grant, which pays the lesser of $10,000 or 6% of the purchase price and requires a first-time buyer, City-funded counseling and the same income chart. Several lenders on PHDC's participating lender list add their own help: Citadel Home Help up to $18,000, TD Home Access with a $10,000 lender credit, and WSFS's Down Payment Grant Program up to $5,000 for buyers at or below 80% of AMI.
The buydown cannot be moved to another property; it only applies to a Turn the Key home. Philly First Home advises confirming with your housing counselor that every grant you use is compatible with it, and each lender grant carries its own income, credit and census tract rules. Some lender grants also cap combined loan-to-value. For questions about your file, call PHDC at 215-448-3000 (TTY 215-448-2184) or email turnthekey@phdc.phila.gov.
To lower cash to close further, ask your lender about loans that allow seller assist of up to 6%, such as the FHA and Fulton options on PHDC's list. Gift funds from family can cover part of the $3,000 to $5,000 PHDC expects buyers to bring. Owners with a 10-year tax abatement cannot claim the Homestead exemption until it expires.
Pros and Cons
Turn the Key offers one of the largest price reductions available to Philadelphia buyers. The $75,000 buydown plus the $10,000 Philly First Home grant can total $85,000, and the city reports an average final price of $183,499 on homes that list at $280,000. The soft mortgage carries no monthly payment and is satisfied after year 20. Homes are new construction with three bedrooms, and the city reports an average payment of $1,400 versus about $1,800 average rent for a two-bedroom apartment. PHDC's list of 34 participating lenders gives buyers plenty of loan options.
The biggest limitation is supply. You can only buy a Turn the Key home in a neighborhood where a development is under way, and many sites, including Brewerytown, Strawberry Mansion and Grays Ferry, are already marked sold out. Submitting the interest form does not guarantee a home or a waiting list spot. Resale within 15 years is price-restricted by the Land Bank, and the home must stay your primary residence. None of the homes are ADA accessible, and none have garages. Buyers who want an existing home should look at Philly First Home or Citadel Home Help instead.
Frequently Asked Questions
How much assistance can I get through Turn the Key in Philadelphia?+−
Do I have to pay back the Turn the Key buydown?+−
What is the income limit for Turn the Key?+−
What credit score do I need for a Turn the Key home?+−
Is there a waiting list for Turn the Key homes?+−
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Program details last verified: October 16, 2026