For first-time buyers wanting to purchase a home in Arlington, this program provides a deferred-payment, no-interest loan of up to 25% of the home purchase price. The loan may be used to cover a portion of the down payment and all closing costs not paid by the seller, up to a maximum of three discount points to reduce the interest rate on the first mortgage. The program uses a notification list, on a first come, first served basis to allocate funding for qualified homebuyers. The maximum purchase price is $362,790 and the maximum loan amount is $90,700.
MIPAP uses a shared appreciation model, which means there are no interest or monthly loan payments over the course of the loan. Instead, when a homebuyer chooses to sell or refinance the property, an appraisal of the property will be done to determine if the property has increased in value. If the property value has increased, the homebuyer would owe the County the original subordinate loan amount plus a proportionate share of the net appreciation (up to 25%).
- Applicants must be first-time homebuyers with a total household income that does not exceed the HUD Metropolitan area moderate income limits for family size. Current employment or residency in Arlington is not required.
- Property must be located in Arlington County.
- Eligible property types include: single-family properties (detached home, duplex, townhouse) and multi-family properties (condominiums or cooperative) that meet local zoning and housing standards.
- Applicants must contribute a down payment minimum of 1% of the purchase price.
How to Receive Notifications of MIPAP Funds and ADU’s
- Download the Homebuyer Information Packet (available en Español) and complete the included Assessment Form.
- Attend a VHDA first-time homebuyer seminar. Arlington Home Ownership Made Easier (AHOME) offers free programs in English and Spanish and submit a copy of attendance certificate.
- Obtain a good faith estimate from a qualified mortgage lender for placement on the notification list.