Homestead Loan Program

The Homestead Loan Program provides residents with mortgage assistance to purchase or build a first home or to acquire land for the purpose of building a first home.

The program also allows existing home owners the opportunity to improve or repair their primary residence. Primary or secondary financing is also available to qualified buyers. 


Types of Mortgages

  • Maximum loan amount $50,000
  • Fixed rate with a 10-year term.
  • Maximum loan amount  $220,000
  • Fixed rate with a 30-year term
  • Maximum loan amount $40,000
  • Low rate with a 10-year  term

To qualify for these programs, applicants will be required to complete VIHFA application package and be prequalified by the VIHFA homeownership staff. Borrowers must comply with VIHFA Home Mortgage Program or Lot Sale Program eligibility requirements as outlined. 

The Homestead Loan Program can help first-time Home buyers buy or build their first home and existing home owners improve their primary residence. 

Eligibility Requirements

  • Must be a first time home buyer.
  • Must meet established income requirements.
  • Must be a resident of the Territory for the last three years.
  • Must have the ability to make a minimum earnest money deposit of $500. For qualified veterans, no earnest money deposit is required.
  • Must be pre-qualified for a mortgage loan based on nationally accepted underwriting standards of FHA/VA/Conventional Mortgages.
  • Must attend VIHFA’s Home Buyer’s Education Program and earn a Certificate of Completion.
  • Must occupy the property as your primary residence. 

How to Apply

  1. Complete VIHFA application.
  2. Call for a pre-qualification interview. 
  3. Pay priority fee of $100.00. Veterans pay $75.00.
  4. Enroll in the Homebuyer Education Course.