The Ohio Down Payment Assistance Guide
Program and regulatory figures verified September 25, 2026. Details change; confirm your scenario with us.
If you read one page on Ohio assistance, read this one. The whole picture in order, with links into the detail where you need it.
Step one: which first mortgage
Ohio does not ask you to pick an assistance amount. It asks which first mortgage fits your household, and the assistance follows at 3% conventional or 3.5% government. OHFA's own summary is the OHFA Programs at a Glance.
| Program | For | Gives up |
|---|---|---|
| First-Time Homebuyer | Three-year test, veterans, or target area | Nothing |
| Ohio Heroes | Military, police, fire, health care, teachers | Nothing; adds a rate discount |
| Grants for Grads | Degree within 18 months | Multi-unit; one unit only |
| Next Home | Repeat buyers | Grants for Grads and the Mortgage Tax Credit |
| FTHB Edge | Income in the 20% band, non-target area | Rates could be higher |
Step two: understand what the money is secured against
Four of the five carry a seven-year second, subject to repayment in its entirety if the property is sold or refinanced within those seven years, forgiven on the seventh anniversary. It is all or nothing.
Grants for Grads forgives 20% a year over five, and treats a sale as forgiven if you document that you will continue to reside in Ohio. Why that is the most unusual clause in Ohio assistance.
Step three: the income limits, and their two multipliers
$98,800 for one to two people across 58 counties, up to $146,700 in Union. Two formulas, and do not chain them: non-target three-or-more is 1.15 times the non-target one-to-two figure, and target one-to-two is exactly 1.20 times non-target one-to-two. The target three-or-more figure is published separately and is higher than a flat 1.20 would give, so read it. Every county group.
Only people who both live in the property and are obligated on the note are counted, which is what makes the co-signer route work. The co-signer rule Illinois does not have.
Step four: credit and ratios
FHA 650, everything else 640, manufactured 660. FHA is the demanding option here, not the forgiving one. The matrix.
Step five: the tax credit almost nobody takes
MTC Plus pays a 40% credit with an OHFA first mortgage and costs $250. MTC Basic pays 15% or 20% stand-alone and costs $500. Recapture needs three conditions to coincide, and OHFA reimburses it. The detail.
Step six: the property and the paperwork
One to four units, manufactured allowed if at least doublewide, two acres inside a municipal corporation and five outside. Occupy within 60 days and hold it a year. Education from a HUD-approved agency within 12 months, four hours, with live interaction. Property · Education.
And one thing Ohio does not ask for
A minimum borrower investment of its own. OHFA requires none beyond what Fannie Mae, Freddie Mac, FHA, VA or USDA-RD require. Illinois requires the greater of 1% or $1,000 on top. The full test.
Cornerstone First Mortgage is a participating lender in the Ohio Housing Finance Agency's programs. Send us the scenario.
Frequently asked questions
How does down payment assistance work in Ohio?
The Ohio Housing Finance Agency pairs a 30-year fixed first mortgage with assistance of 3% of the purchase price on a conventional loan or 3.5% on FHA, VA or USDA-RD, delivered as a second mortgage with no accrued interest. Five first mortgage programs carry it: First-Time Homebuyer, Ohio Heroes, Grants for Grads, Next Home and FTHB Edge. The assistance percentage is the same on all of them.
What is the catch with Ohio down payment assistance?
The repayment trigger. On four of the five programs the assistance is a seven-year second that is subject to repayment in its entirety if the property is sold or refinanced within the first seven years, with no partial forgiveness before the seventh anniversary. Grants for Grads is the exception, forgiving 20% per year over five years and treating a sale as forgiven if the borrower documents continued Ohio residency.
Do I need to be a first-time buyer for Ohio assistance?
No. Next Home serves repeat buyers with the same assistance, though it gives up Grants for Grads and the Mortgage Tax Credit. Even within the first-time programs there are three routes: no ownership interest in a principal residence in three years, an honourable discharge from the U.S. military even if you have owned before, or buying in a designated target area census tract.
How much money do I need for an Ohio assistance purchase?
Whatever your loan type requires, and nothing more from OHFA. The guidelines state that no minimum borrower investment is required by OHFA unless required by Fannie Mae or Freddie Mac on conventional loans, or FHA, VA or USDA-RD on government loans. This differs from Illinois, where IHDA adds a requirement of the greater of 1% of the purchase price or $1,000.
What is the income limit for Ohio down payment assistance?
For a one to two person household in a non-target area, effective July 1, 2026, it runs from $98,800 across 58 counties up to $146,700 in Union County, with $111,500 in the Columbus group and $105,000 around Cleveland. Two separate formulas apply, and they cannot be chained: for a non-target household of three or more, multiply the non-target one-to-two figure by 1.15; for a target area, the one-to-two limit is 1.20 times non-target one-to-two, while a household of three or more must use OHFA's published target three-or-more figure, which is higher than a flat 1.20 would give.
Mike Certo · NMLS #260555 · Cornerstone First Mortgage NMLS #173855 · Equal Housing Lender. Cornerstone First Mortgage is a participating lender in the Ohio Housing Finance Agency's programs. The Ohio Housing Finance Agency is an Equal Opportunity Housing entity. Loans are available on a fair and equal basis regardless of race, color, religion, sex, familial status, national origin, military status, disability or ancestry. Please visit www.ohiohome.org for more information. Educational content about financing, not a loan commitment and not legal or tax advice. OHFA program terms and limits are set by the Ohio Housing Finance Agency and change; figures here carry the date we verified them. Loans are subject to borrower and property qualification.