See programs you qualify for

By Tyler Thompson · Licensed Real Estate Agent · Updated March 28, 2026

Homebuyer Programs in Kingsport, TN (2026)

Population: 58,000 | Median home price: $295,000 | Est. closing costs: $6,000 - $9,000

Kingsport is the largest city in the Tri-Cities region of northeast Tennessee, located in Sullivan County and known for its historic downtown, Eastman Chemical Company headquarters, and affordable cost of living. With a median home price around $295,000, Kingsport offers some of the most affordable homeownership opportunities in the state. Buyers here can access the THDA Great Choice Plus program for up to $15,000 in down payment assistance, the FTDD Consortium Down Payment Assistance Program funded through THDA and HUD block grants, and The Housing Fund for up to $35,000 in affordable DPA loans. Holston Habitat for Humanity builds affordable homes with zero-interest mortgages for qualifying families in Sullivan County. The Kingsport Housing and Redevelopment Authority also offers homeownership support including DPA and closing cost assistance for current program participants. By stacking state, regional, and nonprofit programs, Kingsport homebuyers can significantly reduce their upfront costs.

City Programs in Kingsport

Program Name	Type	Amount	First-Time Only	Details
Kingsport Housing Authority Homeownership Program	Grant	Down payment and closing cost assistance plus FSS escrow and HCV housing assistance payments	Yes	View →

Kingsport Housing Authority Homeownership Program

Type:: Grant
Amount:: Down payment and closing cost assistance plus FSS escrow and HCV housing assistance payments
First-time only:: Yes

County Programs in Sullivan County

Program Name	Type	Amount	First-Time Only	Details
FTDD Consortium Down Payment Assistance Program	Grant	Down payment assistance grant (amount varies by funding availability)	Yes	View →

FTDD Consortium Down Payment Assistance Program

Type:: Grant
Amount:: Down payment assistance grant (amount varies by funding availability)
First-time only:: Yes

State Programs in Tennessee

Program Name	Type	Amount	First-Time Only	Details
THDA Great Choice Home Loan	Government-Insured Mortgage	30-year fixed-rate first mortgage used with FHA, VA, USDA-RD or conventional financing (up to 96.5% financing on FHA, 100% on VA/USDA-RD); optional Great Choice Plus DPA of 5% of price up to $15,000 (amortizing) or $6,000/$10,000 (deferred, forgivable after 10 years)	Yes	View →
THDA Great Choice Plus - Amortizing Option	Repayable Loan	Up to 5% of the purchase price, maximum $15,000	Yes	View →
THDA Great Choice Plus - Deferred Option	Forgivable Loan	$6,000 forgivable second mortgage	Yes	View →
THDA Homeownership for Heroes	Government-Insured Mortgage	0.50% interest rate reduction on a THDA Great Choice Home Loan (FHA, VA or USDA-RD only); optional Great Choice Plus DPA of up to 5% of price (max $15,000) amortizing, or $6,000/$10,000 deferred and forgivable	Yes	View →

THDA Great Choice Home Loan

Type:: Government-Insured Mortgage
Amount:: 30-year fixed-rate first mortgage used with FHA, VA, USDA-RD or conventional financing (up to 96.5% financing on FHA, 100% on VA/USDA-RD); optional Great Choice Plus DPA of 5% of price up to $15,000 (amortizing) or $6,000/$10,000 (deferred, forgivable after 10 years)
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:: 0.50% interest rate reduction on a THDA Great Choice Home Loan (FHA, VA or USDA-RD only); optional Great Choice Plus DPA of up to 5% of price (max $15,000) amortizing, or $6,000/$10,000 deferred and forgivable
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
Habitat for Humanity of Holston Homeownership Program	Zero-Interest Loan	Affordable home purchase with zero-interest mortgage	Yes	View →
The Housing Fund Down Payment Assistance	Repayable Loan	Up to $35,000	Yes	View →

Habitat for Humanity of Holston Homeownership Program

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

The Housing Fund Down Payment Assistance

Type:: Repayable Loan
Amount:: Up to $35,000
First-time only:: Yes

Free eligibility check

15 programs available in Kingsport. See which ones you qualify for.

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housebuyerguides

How to Apply

Step 1: Check your eligibility. Review income limits for Sullivan County under the THDA Great Choice program. The FTDD Consortium DPA covers Sullivan County and has its own income guidelines. The Housing Fund serves buyers earning up to 120% of the Area Median Income.

Step 2: Complete homebuyer education. THDA requires a homebuyer education course from a THDA-certified counselor. Holston Habitat for Humanity also offers homeowner education classes for their program participants in the Tri-Cities area.

Step 3: Contact a local housing partner. Reach out to The Housing Fund at 615-780-7000 to discuss DPA loan options up to $35,000. Contact the First Tennessee Development District for their consortium DPA program. If you are a current Kingsport Housing Authority participant, contact Hope Caruthers at 423-392-2545 about their homeownership program.

Step 4: Get pre-approved for a mortgage. Work with a THDA-participating lender in the Tri-Cities area to get pre-approved for a Great Choice Home Loan with down payment assistance.

Step 5: Find a home within program price limits. Shop for homes within THDA purchase price limits for Sullivan County. At Kingsport's median price of $295,000, most homes fall well within typical program limits.

Step 6: Submit your application and close. Your lender will coordinate DPA funds from THDA and any additional assistance from the FTDD Consortium or The Housing Fund. Expect 30 to 60 days from contract to closing.

Frequently Asked Questions

How much down payment assistance can I get in Kingsport, TN?+

Kingsport homebuyers can stack multiple programs for significant assistance. The THDA Great Choice Plus program offers up to $15,000 or 5% of the purchase price, plus a $6,000 forgivable second mortgage option. The FTDD Consortium Down Payment Assistance Program provides grant-based DPA funded through THDA and HUD block grants for Sullivan County residents. The Housing Fund offers affordable DPA loans up to $35,000 for down payment, prepaids, and closing costs. The Kingsport Housing Authority provides additional DPA and closing cost assistance for current program participants.

Do I have to be a first-time homebuyer to qualify?+

Not for all programs. The THDA Great Choice Home Loan is available to both first-time and repeat buyers. The Housing Fund DPA is also open to repeat buyers in many cases. However, the Kingsport Housing Authority Homeownership Program requires participants to be current KHRA housing program members for at least one year. Holston Habitat for Humanity requires applicants to demonstrate housing need.

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

THDA sets purchase price limits by county. For Sullivan County, check the current limits on the THDA website at thda.org. With Kingsport's median home price around $295,000, most homes in the area fall well within typical THDA program price limits, making it one of the more affordable markets in Tennessee for using these programs.

What homebuyer education is required?+

THDA requires completion of a homebuyer education course from a THDA-certified counselor. Holston Habitat for Humanity offers homeowner education classes for their program participants in the Tri-Cities area. The Kingsport Housing Authority also provides credit counseling and homebuyer education through their homeownership program. Contact Hope Caruthers at 423-392-2545 for details.

What credit score do I need to buy a home in Kingsport?+

THDA Great Choice loans require a minimum credit score of 640 for all borrowers. The Housing Fund requires a minimum of 600 for DPA loans under $10,000 and 620 for loans between $10,000 and $35,000. FHA loans generally require a 580 minimum, and conventional loans typically require 620 or higher.

Are there programs for veterans or first responders in Kingsport?+

Yes. The THDA Homeownership for Heroes program offers a 0.5% reduced interest rate plus up to $15,000 or 5% of the purchase price in down payment assistance. This is available to veterans, active military, firefighters, EMTs, paramedics, and state and local law enforcement officials. VA loans also provide 0% down payment financing for eligible veterans with no loan limit for those with full entitlement.