Alabama Step Up Program
(Down Payment Assistance)

AHFA Makes Homeownership Possible

Do you dream of owning a home? Do you think you cannot afford it? The Alabama Housing Finance Authority has helped more than 105,000 families achieve their dream of owning a home. We offer a variety of loan programs that fit the needs of many buyers. AHFA enables low-to-moderate income buyers to purchase a home with 30-year, fixed interest rates and down-payment assistance, not to mention the generous sales price and income limits make qualifying easy.

Step Up

Mortgage loans with down payment assistance and a fixed interest rate for 30 years. Applicants must earn less than $97,300 and meet standards for creditworthiness.

Mortgage Credit Certificate

MCCs are a tax credit, not a mortgage. They put extra cash in your pocket each month, so that you can more easily afford a house payment, which means fewer tax dollars will be withheld from your regular paycheck, increasing your take-home pay.

To Be Eligible For a Step Up Mortgage

• You must buy a new or existing home. Refinancing an existing mortgage does not qualify.

• You must buy a home in Alabama and occupy it, as your primary residence, within 60 days of closing.

• Your annual household income cannot exceed $97,300.

• You must be a legal resident of the United States.

• You must apply for an FHA or conventional loan through a Participating Lender.

• Your credit score must be 640 or higher.

• You must complete a homeownership education course.

Learn more and Click Here to be directed to the Alabama housing Authority Website.

To Be Eligible For a Mortgage Credit Certificate

• You must be a first-time homebuyer (or have not owned a home in the last three years).

• You must buy a new or existing home. Refinancing an existing mortgage does not qualify.

• You must buy a home in Alabama and occupy it, as your primary residence, within 60 days of closing.

• You must meet federally established income and sales price limits.

• You must be a legal resident of the United States.

• You must apply for a 30-year, amortizing loan through a participating lender.

Learn more and Click Here to be directed to the Alabama housing Authority Website.

Get Help From a Lender

Get matched with a lender who can help you get qualified in Alabama – it is easy, free and only takes a few minutes. Click Here to contact one of our recommended Lenders