Homebuyer Programs in Hendersonville, TN (2026)

Last updated March 28, 2026 | Population: 65,000 | Median home price: $595,000 | Est. closing costs: $12,000 - $18,000

Skyline of Hendersonville, TN

Hendersonville is a growing city in Sumner County, just northeast of Nashville along Old Hickory Lake, known for its family-friendly neighborhoods and strong schools. With a median home price around $595,000, Hendersonville sits at the higher end of the Middle Tennessee market, making down payment assistance especially valuable for buyers here. The THDA Great Choice Plus program offers up to $15,000 in down payment assistance, and The Housing Fund provides affordable DPA loans up to $35,000 to help cover down payments, prepaids, and closing costs. Habitat for Humanity of Sumner County also builds affordable homes for income-qualifying families in the area. By combining state programs with nonprofit resources, Hendersonville buyers can access meaningful assistance to offset the cost of homeownership in this desirable Nashville suburb.

Top Homebuyer Programs in Hendersonville

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 Sumner County Homeownership Program
Type:
Zero-Interest Loan
Amount:
Affordable mortgage with 0% interest; payments capped at 30% of gross monthly income
First-time only:
Yes
The Housing Fund Down Payment Assistance
Type:
Repayable Loan
Amount:
Up to $35,000
First-time only:
Yes
THDA Great Choice Home Loan
Type:
Government-Insured Mortgage
Amount:
30-year fixed-rate mortgage at below-market interest rates
First-time only:
Yes
THDA Great Choice Plus - Amortizing Option
Type:
Repayable Loan
Amount:
Up to 5% of the purchase price, maximum $15,000
First-time only:
Yes
THDA Great Choice Plus - Deferred Option
Type:
Forgivable Loan
Amount:
$6,000 forgivable second mortgage
First-time only:
Yes
THDA Homeownership for Heroes
Type:
Government-Insured Mortgage
Amount:
0.5% reduced interest rate plus up to $15,000 or 5% of purchase price in DPA
First-time only:
No

How to Apply

  1. Step 1:

    Check your eligibility. Review income limits for Sumner County under the THDA Great Choice program. Sumner County income limits are approximately $119,760 for 1-2 person households and $139,720 for 3+ person households. The Housing Fund serves buyers earning up to 120% of the Area Median Income.

  2. Step 2:

    Complete homebuyer education. THDA requires a homebuyer education course from a THDA-certified counselor. Contact the Tennessee Housing Development Agency at thda.org for a list of approved education providers in the Nashville metro area.

  3. Step 3:

    Contact a local housing partner. Reach out to The Housing Fund to discuss DPA loan options up to $35,000, or contact Habitat for Humanity of Sumner County in Gallatin if you qualify for their affordable homeownership program.

  4. Step 4:

    Get pre-approved for a mortgage. Work with a THDA-participating lender to get pre-approved for a Great Choice Home Loan with down payment assistance. Enbright Credit Union and other local lenders in Sumner County are THDA-approved.

  5. Step 5:

    Find a home within program price limits. Shop for homes within THDA purchase price limits for Sumner County. Check thda.org for current limits.

  6. Step 6:

    Submit your application and close. Your lender will coordinate DPA funds from THDA and any additional assistance from The Housing Fund. Expect 30 to 60 days from contract to closing.

Frequently Asked Questions

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