See programs you qualify for
Get Matched Free →By Tyler Thompson · Licensed Real Estate Agent · Updated April 28, 2026
Homebuyer Programs in Olympia, WA (2026)
Olympia is the capital of Washington and the largest city in Thurston County, with a median home price of approximately $520,000. First-time buyers in Olympia can stack significant assistance: the Washington State Housing Finance Commission offers Home Advantage DPA up to 5% of the loan, the HomeChoice program provides up to $15,000 for buyers with disabilities, and the Veterans DPA program offers up to $10,000 for service members. Locally, the OlyFed Affordable Homebuyer Program provides discounted first mortgages for buyers at or below 80% AMI in Thurston County, the Thurston Housing Land Trust offers homes 30%-50% below market through its community land trust model, and South Puget Sound Habitat for Humanity builds affordable homes for households between 30%-80% AMI. Credit union grants from WSECU (up to $10,000) and BECU (up to $8,000) can stack with state DPA to dramatically reduce out-of-pocket costs at closing.
State Programs in Washington
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| Covenant Homeownership Program | Forgivable Loan | Up to 20% of the purchase price (or appraised value, if lower), capped at $150,000, plus buyer-paid 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 20% of the purchase price (or appraised value, if lower), capped at $150,000, plus buyer-paid 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 → |
| 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:
- 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 → |
| OlyFed Affordable Homebuyer Program | Repayable Loan | Discounted interest rate, reduced origination fee (flat $800 vs typical 1%), discounted PMI, and ability to finance up to 97% with all but $1,000 of down payment from gifts/DPA | Yes | View → |
| South Puget Sound Habitat for Humanity Homeownership Program | Zero-Interest Loan | Below-market home sale paired with an affordable, zero-interest Habitat mortgage; effective subsidy typically tens of thousands of dollars | Yes | View → |
| Thurston Housing Land Trust Homeownership | Repayable Loan | Homes typically priced 30%-50% below market through community land trust model; subsidy value varies by property | No | 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:
- Repayable Loan
- Amount:
- Discounted interest rate, reduced origination fee (flat $800 vs typical 1%), discounted PMI, and ability to finance up to 97% with all but $1,000 of down payment from gifts/DPA
- First-time only:
- Yes
- Type:
- Zero-Interest Loan
- Amount:
- Below-market home sale paired with an affordable, zero-interest Habitat mortgage; effective subsidy typically tens of thousands of dollars
- First-time only:
- Yes
- Type:
- Repayable Loan
- Amount:
- Homes typically priced 30%-50% below market through community land trust model; subsidy value varies by property
- First-time only:
- No
- Type:
- Grant
- Amount:
- Up to 5% of the home sale price, not to exceed $10,000
- First-time only:
- Yes
How to Apply
Step 1: Confirm your eligibility. Income limits in Thurston County typically follow 80% AMI for most local programs. Pull a recent pay stub and tax return so you can verify household income against current HUD limits.
Step 2: Complete homebuyer education. South Puget Sound Habitat for Humanity, OlyFed, and the Washington Homeownership Resource Center all offer HUD-approved homebuyer courses. Most state and credit union programs require a certificate.
Step 3: Contact a local nonprofit or lender. For Habitat homeownership, call South Puget Sound Habitat at (360) 956-3456 x104. For below-market CLT homes, contact Thurston Housing Land Trust through their website. For a discounted first mortgage, contact OlyFed.
Step 4: 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, and Covenant Homeownership programs. Call the Washington Homeownership Hotline at 1-877-894-4663 to find one.
Step 5: Find a home within program price limits. The OlyFed program caps loan amounts at $404,500. WSHFC and Covenant programs have purchase price limits that vary by county; verify with your loan officer before making an offer.
Step 6: Submit your loan and DPA application. Most state programs are processed alongside your mortgage application. Stand-alone Habitat or THLT applications follow their own intake cycles, so plan ahead.
Step 7: Close on your home. State DPA loans typically record as a deferred second mortgage at closing. Credit union grants are applied as a credit on your closing disclosure.
Frequently Asked Questions
How much down payment assistance can I get in Olympia?+−
Do I have to be a first-time homebuyer?+−
What is the maximum home price?+−
What homebuyer education is required?+−
What does the Thurston Housing Land Trust do that is different?+−
I am a state employee or work in K-12 education. Are there extra programs?+−
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