MaineHousing Launches First Generation Homebuyer Program

AUGUSTA – MaineHousing has launched its First Generation homebuyer program, which can provide $10,000 in down payment assistance for eligible homebuyers.

This program is for people whose parents or guardians did not own a home that the applicant lived in during their lifetime. Individuals who lived in foster care as children are also eligible for the program, which became available in April.

“The First Gen loan provides a pathway to home ownership for first-time homebuyers, who are also the first generation in their families to be purchasing a home,” said MaineHousing Director Daniel Brennan in announcing the pilot program.

The program provides a $10,000 down payment assistance grant to applicants who complete both a Financial Literacy course and a Homebuyer Education class to help prepare them to be successful long-term homeowners. 

“MaineHousing is pleased to offer this opportunity to first generation homebuyers who will also receive the added benefit of a below market mortgage interest rate to further enhance their home’s affordability,” Brennan said.

The program will also provide a fixed interest rate mortgage that will be 1% below MaineHousing’s regular First Home Loan program base rate.

Borrowers who complete both the Financial Literacy class and Homebuyer Education course from MaineHousing approved providers will earn $10,000 in grant funds credited at closing.

Other key requirements include:

• Borrowers must be true first-time homebuyers having had no previous ownership interest in a principal residence in any location at any time.
• At least one borrower must either never have lived in a home owned by their biological parents or legal guardians during the borrower’s lifetime; or be an individual who was in foster care at some point in their childhood.

For more information about the program and to find a list of approved lenders visit: www.MaineHousing.org or click here: First Generation Pilot Program.