Homebuyer Programs in Jackson, TN (2026)

Last updated March 28, 2026 | Population: 70,000 | Median home price: $270,000 | Est. closing costs: $5,500 - $8,000

Skyline of Jackson, TN

Jackson is the largest city in West Tennessee and the county seat of Madison County, serving as a regional hub for healthcare, education, and commerce. With a median home price of around $270,000, Jackson offers affordable homeownership compared to many Tennessee metros. Buyers here can access the THDA Great Choice Plus program for up to $15,000 in down payment assistance, The Housing Fund for up to $35,000 in affordable DPA loans, and the Jackson Housing Authority Homeownership Voucher Program for qualifying participants. Habitat for Humanity Jackson TN Area also builds affordable homes for income-qualifying families. By combining state and local programs, Jackson homebuyers can potentially stack significant assistance to reduce their out-of-pocket costs.

Top Homebuyer Programs in Jackson

Jackson Housing Authority Homeownership Voucher Program
Type:
Grant
Amount:
Monthly mortgage subsidy for up to 15 years
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 Jackson TN Area Homeownership Program
Type:
Zero-Interest Loan
Amount:
Affordable mortgage with 0% interest
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 Madison County under the THDA Great Choice program and The Housing Fund. THDA limits for Madison County are approximately $83,800 for 1-2 person households and $90,580 for 3+ person households.

  2. Step 2:

    Complete homebuyer education. THDA requires a homebuyer education course from a THDA-certified counselor. The Jackson Housing Authority also offers homeownership financial literacy training at 125 Preston Street, Jackson, TN 38303. Call (731) 422-1671 for class schedules.

  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 Jackson TN Area at 1668 N Parkway, Jackson, TN 38301 if you qualify for their homeownership program.

  4. Step 4:

    Get pre-approved for a mortgage. Work with a THDA-participating lender such as Leaders Credit Union in Jackson to get pre-approved for a Great Choice Home Loan with down payment assistance.

  5. Step 5:

    Find a home within program price limits. Shop for homes within THDA purchase price limits for Madison County and any additional limits set by your DPA program.

  6. Step 6:

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

Frequently Asked Questions

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