See programs you qualify for

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

Homebuyer Programs in Spartanburg, SC (2026)

Population: 39,000 | Median home price: $215,000 | Est. closing costs: $4,500 - $6,500

Spartanburg sits in the Upstate region of South Carolina with a median home price around $215,000, making it one of the most affordable metros in the state. First-time homebuyers here can tap into the City of Spartanburg First-Time Homebuyer Program for up to $20,000 in forgivable down payment and closing cost assistance funded through CDBG and HOME grants. At the state level, the SC Housing Homebuyer Program offers up to $10,000 in forgivable DPA with Spartanburg County income limits of $90,500 for 1-2 persons, the Palmetto Home Advantage provides up to 4% of the loan amount for both first-time and repeat buyers, and the Palmetto Heroes Program adds $10,000 for public service professionals and military. Buyers in the Northside neighborhood may qualify for an additional $20,000 through CommunityWorks. Habitat for Humanity of Spartanburg also partners with qualifying families on affordable zero-interest mortgages, and the Spartanburg Housing Authority offers a homeownership program for Housing Choice Voucher holders. By stacking city, state, and federal programs, Spartanburg buyers can potentially cover their entire down payment and closing costs.

City Programs in Spartanburg

Program Name	Type	Amount	First-Time Only	Details
City of Spartanburg First-Time Homebuyer Program	Forgivable Loan	Up to $20,000	Yes	View →
Spartanburg Housing Authority HCV Homeownership Program	Grant	Housing Choice Voucher applied toward mortgage payments instead of rent.	No	View →

City of Spartanburg First-Time Homebuyer Program

Type:: Forgivable Loan
Amount:: Up to $20,000
First-time only:: Yes

Spartanburg Housing Authority HCV Homeownership Program

Type:: Grant
Amount:: Housing Choice Voucher applied toward mortgage payments instead of rent.
First-time only:: No

State Programs in South Carolina

Program Name	Type	Amount	First-Time Only	Details
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+	Grant	Up to $15,000 in home purchase assistance for down payment and closing costs	No	View →
Palmetto Heroes Program	Forgivable Loan	$10,000 in forgivable down payment assistance	Yes	View →
Palmetto Home Advantage	Forgivable Loan	Up to 4% of the first mortgage loan amount	No	View →
SC Housing Homebuyer Program	Forgivable Loan	Up to $10,000 in forgivable down payment assistance	Yes	View →

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:: Grant
Amount:: Up to $15,000 in home purchase assistance for down payment and closing costs
First-time only:: No

Palmetto Heroes Program

Type:: Forgivable Loan
Amount:: $10,000 in forgivable down payment assistance
First-time only:: Yes

Palmetto Home Advantage

Type:: Forgivable Loan
Amount:: Up to 4% of the first mortgage loan amount
First-time only:: No

SC Housing Homebuyer Program

Type:: Forgivable Loan
Amount:: Up to $10,000 in forgivable down payment assistance
First-time only:: Yes

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 →
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 →

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

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

Program Name	Type	Amount	First-Time Only	Details
CommunityWorks Northside Down Payment Assistance	Forgivable Loan	Up to $20,000	Yes	View →
Habitat for Humanity of Spartanburg Homeownership	Zero-Interest Loan	Affordable home purchase with zero-interest mortgage and affordable monthly payments	Yes	View →

CommunityWorks Northside Down Payment Assistance

Type:: Forgivable Loan
Amount:: Up to $20,000
First-time only:: Yes

Habitat for Humanity of Spartanburg Homeownership

Type:: Zero-Interest Loan
Amount:: Affordable home purchase with zero-interest mortgage and affordable monthly payments
First-time only:: Yes

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How to Apply

Step 1: Check your eligibility. Review income limits for Spartanburg County. The City of Spartanburg program requires income at or below 80% AMI (around $60,000 for a family of four). The SC Housing Homebuyer Program has Spartanburg County limits of $90,500 for 1-2 persons and $104,075 for 3 or more persons. The Palmetto Home Advantage has a statewide limit of $135,750. Confirm you have not owned a home in the past 3 years if applying for first-time buyer programs.

Step 2: Complete homebuyer education. Take a HUD-approved homebuyer education course, required for the City of Spartanburg program and all SC Housing programs. Contact CommunityWorks Carolina at 864-235-6331 for local course options.

Step 3: Contact the City of Spartanburg Neighborhood Services Department at 864-580-5011. They administer the city's $20,000 first-time homebuyer program using CDBG and HOME funds and can help you understand local eligibility requirements.

Step 4: Get pre-approved for a mortgage. Work with an SC Housing-approved lender for state programs (SC Housing Homebuyer or Palmetto Home Advantage), or any FHA, VA, or USDA approved lender. Your lender will help determine which state and federal programs you can combine.

Step 5: Find a home within program limits. For the city program, the home must be within Spartanburg city limits. The SC Housing Homebuyer Program has a purchase price limit of $450,000. For the CommunityWorks Northside program, the home must be in the Northside neighborhood.

Step 6: Submit your application. Your lender and the City of Spartanburg will coordinate applications for all applicable programs. Allow 30 to 60 days for processing.

Frequently Asked Questions

How much down payment assistance can I get in Spartanburg?+

Spartanburg buyers can potentially layer multiple programs. The City of Spartanburg First-Time Homebuyer Program offers up to $20,000 in forgivable assistance. The SC Housing Homebuyer Program adds up to $10,000, and the Palmetto Home Advantage provides up to 4% of the loan amount. Buyers in the Northside neighborhood may also qualify for up to $20,000 through CommunityWorks. Public service workers (teachers, nurses, law enforcement, firefighters, veterans) can access an additional $10,000 through the Palmetto Heroes Program. The exact amount depends on your income, profession, and which programs you qualify for.

Do I have to be a first-time homebuyer to get assistance in Spartanburg?+

For the City of Spartanburg program ($20,000) and the SC Housing Homebuyer Program ($10,000), yes, you must not have owned a home in the past 3 years. However, the Palmetto Home Advantage program (up to 4% of loan amount) is available to both first-time and repeat buyers. The Spartanburg Housing Authority HCV Homeownership Program also does not require first-time buyer status.

What is the maximum home price I can pay using Spartanburg assistance programs?+

The SC Housing Homebuyer Program has a purchase price limit of $450,000 for Spartanburg County. The Palmetto Home Advantage program has no sales price limit. The City of Spartanburg program does not publish a specific price cap but the home must be within city limits and meet program guidelines.

What homebuyer education is required?+

Both the City of Spartanburg program and all SC Housing programs require a HUD-approved homebuyer education course. CommunityWorks Carolina offers courses in the Spartanburg area. Contact them at 864-235-6331 or hba@cwcarolina.org.

What credit score do I need?+

All SC Housing programs (Homebuyer Program, Palmetto Home Advantage, and Palmetto Heroes) require a minimum credit score of 640. The City of Spartanburg program does not publish a specific credit score requirement but you will need to qualify for a fixed-rate mortgage. FHA loans require a minimum 500 credit score (580 for 3.5% down), though most lenders prefer 620 or higher.

Are there programs for low-income families or voucher holders?+

Yes. Habitat for Humanity of Spartanburg partners with families in need to provide affordable homes with zero-interest mortgages. Applicants are selected based on level of need, willingness to partner, and ability to make affordable payments. The Spartanburg Housing Authority also offers an HCV Homeownership Program where Housing Choice Voucher holders can apply their voucher toward a mortgage instead of rent. Contact Spartanburg Housing Authority or visit shasc.org for details.

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