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 $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 → |
| 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
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.
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.
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.
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.
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.
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.
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.