See programs you qualify for
Get Matched Free →By Tyler Thompson · Licensed Real Estate Agent · Updated April 28, 2026
Homebuyer Programs in Issaquah, WA (2026)
Issaquah is an East King County city of about 38,977 residents at the foot of the Issaquah Alps, with a median home price near $1,060,000 — one of the more expensive markets in Washington. Issaquah is one of 15 ARCH member cities, which unlocks two important programs: the ARCH East King County Down Payment Assistance Loan provides up to $30,000 as a deferred loan, and the ARCH Affordable Homeownership Program offers a curated inventory of resale-restricted homes priced well below market (often $100,000+ off comparable market-rate homes). Stack with the Washington State Housing Finance Commission Home Advantage DPA up to 5% of the loan, HomeChoice up to $15,000 for buyers with disabilities, Veterans DPA up to $10,000, and the Covenant Homeownership Program up to $150,000 for eligible historically excluded buyers. Habitat for Humanity Seattle-King and Kittitas Counties serves Issaquah families at 30%-80% of King County AMI, and the King County Housing Authority Homeownership Voucher Program lets eligible Section 8 households apply their voucher subsidy toward a mortgage. Credit union grants from BECU (up to $8,000) and WSECU (up to $10,000) reduce closing-day costs.
City Programs in Issaquah
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| ARCH Affordable Homeownership Program | Grant | Below-market home purchase; subsidy value varies by property (typically tens of thousands to $100,000+ off comparable market-rate homes). | Yes | View → |
| ARCH East King County Down Payment Assistance Loan | Deferred Loan | Up to $30,000 | No | View → |
- Type:
- Grant
- Amount:
- Below-market home purchase; subsidy value varies by property (typically tens of thousands to $100,000+ off comparable market-rate homes).
- First-time only:
- Yes
- Type:
- Deferred Loan
- Amount:
- Up to $30,000
- First-time only:
- No
County Programs in King County
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| King County Housing Authority Homeownership Voucher Program | Government-Guaranteed Mortgage | Monthly Housing Choice Voucher subsidy applied to mortgage payment in place of rent. | Yes | View → |
- Type:
- Government-Guaranteed Mortgage
- Amount:
- Monthly Housing Choice Voucher subsidy applied to mortgage payment in place of rent.
- First-time only:
- Yes
State Programs in Washington
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| Covenant Homeownership Program | Forgivable Loan | Up to $150,000 (20% down plus closing costs) | Yes | View → |
| Home Advantage DPA | Deferred Loan | Up to 5% of the first mortgage loan amount | No | View → |
| Home Advantage Needs-Based DPA | Deferred Loan | Up to $10,000 | No | View → |
| HomeChoice Down Payment Assistance | Deferred Loan | Up to $15,000 | Yes | View → |
| Opportunity Down Payment Assistance | Deferred Loan | Up to $15,000 | Yes | View → |
| Veterans Down Payment Assistance | Repayable Loan | Up to $10,000 | Yes | View → |
- Type:
- Forgivable Loan
- Amount:
- Up to $150,000 (20% down plus closing costs)
- First-time only:
- Yes
- Type:
- Deferred Loan
- Amount:
- Up to 5% of the first mortgage loan amount
- First-time only:
- No
- Type:
- Deferred Loan
- Amount:
- Up to $10,000
- First-time only:
- No
- Type:
- Deferred Loan
- Amount:
- Up to $15,000
- First-time only:
- Yes
- Type:
- Deferred Loan
- Amount:
- Up to $15,000
- First-time only:
- Yes
- Type:
- Repayable Loan
- Amount:
- Up to $10,000
- 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 → |
| 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+ | Forgivable Loan | Up to $15,000 in home purchase assistance for down payment and closing costs | 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 → |
- 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
- Type:
- Forgivable Loan
- Amount:
- Up to $20,000 in home purchase assistance for down payment and closing costs
- First-time only:
- No
- Type:
- Forgivable Loan
- Amount:
- Up to $17,500 in home purchase assistance for down payment and closing costs
- First-time only:
- Yes
- Type:
- Forgivable Loan
- Amount:
- Up to $15,000 in home purchase assistance for down payment and closing costs
- First-time only:
- No
- Type:
- Government Property Sale Program
- Amount:
- 50% discount off the list price of HUD-owned homes
- First-time only:
- Yes
- 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
- 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
- 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
- Type:
- Government-Guaranteed Mortgage
- Amount:
- 100% financing (no down payment required); loan amount up to appraised value
- First-time only:
- No
- 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 |
|---|---|---|---|---|
| BECU First-Time Homebuyer Grant | Grant | Up to $8,000 (the lesser of 3% of purchase price, 3% of appraised value, or $8,000) | Yes | View → |
| Habitat for Humanity Seattle-King and Kittitas Counties Homeownership Program | Zero-Interest Loan | Below-market home sale with zero percent interest mortgage | Yes | View → |
| WSECU Welcome Home Grant | Grant | Up to 5% of the home sale price, not to exceed $10,000 | Yes | View → |
- Type:
- Grant
- Amount:
- Up to $8,000 (the lesser of 3% of purchase price, 3% of appraised value, or $8,000)
- First-time only:
- Yes
- Type:
- Zero-Interest Loan
- Amount:
- Below-market home sale with zero percent interest mortgage
- First-time only:
- Yes
- Type:
- Grant
- Amount:
- Up to 5% of the home sale price, not to exceed $10,000
- First-time only:
- Yes
How to Apply
Confirm your eligibility. ARCH and most local programs require household income at or below 80% of King County AMI (roughly $147,400 for a four-person household for 2026). The ARCH Affordable Homeownership Program also has tiers for households at or below 50% AMI.
Complete homebuyer education. The Washington Homeownership Resource Center, ARCH, and Habitat all offer HUD-approved courses. ARCH DPA, WSHFC programs, and credit union grants all require a certificate plus a one-on-one pre-purchase counseling session.
Browse ARCH affordable homes. Visit archhousing.org to see current resale-restricted homes in Issaquah and other East King County cities. Inventory turns over as current owners sell, often through dedicated lotteries.
Get pre-approved through a participating WSHFC lender. The Washington State Housing Finance Commission has a network of lenders trained on Home Advantage, HomeChoice, Opportunity, Veterans DPA, ARCH DPA, and Covenant Homeownership programs. Call the Washington Homeownership Hotline at 1-877-894-4663 to find one. WSECU and BECU originate WSHFC loans alongside their own grants.
For Habitat homeownership, contact Habitat for Humanity Seattle-King and Kittitas Counties through habitatskc.org. For Section 8 voucher homeownership, call the King County Housing Authority at (206) 574-1100.
Find a home within program price limits. WSHFC sales price limits in King County align with the conventional loan limit (well above $700,000 for 2026). ARCH Affordable Homeownership homes are priced at a fraction of the Issaquah median of $1,060,000.
Submit your loan and DPA application. ARCH DPA is processed alongside your WSHFC mortgage. ARCH Affordable home purchases follow ARCH intake processes; Habitat applications follow their own intake cycles.
Close on your home. WSHFC and ARCH DPA loans record as deferred second mortgages. Credit union grants apply as a credit on your closing disclosure.