Homebuyer Programs in Alexandria, VA (2026)

Last updated March 28, 2026 | Population: 155,000 | Median home price: $660,000 | Est. closing costs: $13,000 - $20,000

Skyline of Alexandria, VA

Alexandria is a historic city on the Potomac River just south of Washington, D.C., known for its charming Old Town and strong employment base. With a median home price of around $660,000, Alexandria is a high-cost market where local assistance programs are especially impactful. Buyers should be aware that VHDA purchase price limits range from $450,000 to $750,000 depending on the area, so some Virginia Housing state programs like the DPA Grant and SPARC may not be available for homes priced above the cap in Alexandria. The City of Alexandria Flexible Homeownership Assistance Program provides a shared equity loan of up to $50,000 for down payment and closing costs, and Housing Alexandria offers $8,000 in closing cost assistance. These local programs are not subject to VHDA price limits. The DHCD HOMEownership DPA offers up to $40,000 for income-eligible buyers with its own separate limits. Combining local and eligible state programs can help bridge the affordability gap in this competitive market.

Top Homebuyer Programs in Alexandria

Alexandria Flexible Homeownership Assistance Program
Type:
Zero-Interest Loan
Amount:
City shared equity loan up to $50,000 for down payment and closing costs
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
Housing Alexandria Closing Cost Assistance
Type:
Grant
Amount:
$8,000 in closing cost assistance
First-time only:
Yes
DHCD HOMEownership Down Payment Assistance Program
Type:
Deferred Loan
Amount:
Up to 10% to 15% of the sales price plus up to $2,500 for closing costs. Maximum assistance of $40,000.
First-time only:
Yes
Virginia Down Payment Assistance Pilot Program
Type:
Deferred Loan
Amount:
Up to $50,000
First-time only:
Yes
Virginia Housing Closing Cost Assistance Grant
Type:
Grant
Amount:
Up to 2% of the purchase price
First-time only:
Yes
Virginia Housing Down Payment Assistance Grant
Type:
Grant
Amount:
2% to 2.5% of the purchase price
First-time only:
Yes
Virginia Housing SPARC Program
Type:
Zero-Interest Loan
Amount:
1 percentage point reduction on Virginia Housing first mortgage interest rate
First-time only:
Yes

How to Apply

  1. Step 1:

    Check your eligibility. The Alexandria FHAP serves first-time buyers with income limits based on household size. Housing Alexandria also has income requirements for its closing cost assistance. Important

  2. Step 2:

    Complete homebuyer education through a HUD-approved housing counseling agency. AHOME Inc. also offers workshops for the Northern Virginia area.

  3. Step 3:

    Contact the City of Alexandria Office of Housing to apply for the Flexible Homeownership Assistance Program (up to $50,000 shared equity loan). This program is not subject to VHDA purchase price limits.

  4. Step 4:

    Apply to Housing Alexandria for $8,000 in closing cost assistance during an open application period.

  5. Step 5:

    Contact a Virginia Housing-approved lender to access the state DPA Grant (2% to 2.5% of purchase price) and explore additional state programs. Confirm that your target home price falls within VHDA purchase price limits before counting on these programs.

  6. Step 6:

    Get pre-approved, find a home within the City of Alexandria, and complete the formal application process.

Frequently Asked Questions

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