The Cash-to-Close program offers eligible first-time homebuyers between $1,000 and up to 3% of their total purchase price in the form of a ten-year conditional loan towards downpayment and closing costs. The amount of Cash-to-Close assistance is based on funding availability and buyer need.

What are the benefits?

• Take advantage of participating lenders’ specialty mortgage products, reduced closing costs, and a $300.00 lender credit to eligible buyers
• Those homebuyers who take advantage of Cash-to-Close assistance and remain in their home for the full ten year will have their loan forgiven

Who is eligible?

• Must be a Boston resident
• Must have a household income that does not exceed 120% of Area Median Income as determined by the U.S. Department of Housing and Urban Development (HUD)

*Please note: the federal government changes these limits yearly, so please check with the Boston Home Center

• Must be a graduate of Homebuyer 101
• Must be able to contribute at least 1.5% of own funds toward the purchase price
• Must use one of the Boston Home Center’s approved mortgage lenders
• Must agree to live in the new home as primary residence for 10 years, or until the terms of the ten-year conditional loan are met

What properties are eligible?

• Condominiums, single-family, two-family, and three-family homes located in the City of Boston
• Must have one vacant unit available for new buyer to occupy – the result of our assistance cannot displace a tenant

How Do I Apply and What happens next?

• Graduate from an approved homebuyer education program
  Receive a Cash-to-Close certificate from Mayor Menino upon completion. View a list of approved homebuyer education providers.

• Meet with a participating mortgage lender to learn what you can afford
  Please bring a recent credit report to this meeting. If you meet their guidelines, the lender will give you a pre-qualification letter. View a list of participating mortgage lenders.

• Apply to the City of Boston for Cash-to-Close funding
  Pick up an application at the Boston Home Center or download the application and submit it with all required documentation to the Boston Home Center. After review and if you meet program requirements, you will receive a letter stating that you are eligible for Cash-to-Close funds.

• Shop for a home
  Now you can shop for a home knowing how much of a loan you may be able to afford and what benefits and responsibilities accompany the Cash-to-Close funding.

• Reserve your money from the City
  After you have found a property, you may submit your completed purchase and sale agreement to the Boston Home Center. Staff will assign a ‘fund reservation number’ based on the property’s purchase price, which will be sent to both you and your lender.

• Before you close on your loan
  Your lender will conduct an ‘Asset Needs Test’ to determine exactly how much financial assistance you should receive. Your Cash-to-Close financial assistance will be forwarded to your mortgage lender and credited towards your closing cost or downpayment.

Have questions?

For more information about the Cash-to-Close program, call:

The Boston Home Center
Department of Neighborhood Development
Phone: 617.635.HOME (4663)
Email: HomeCenter.DND@cityofboston.gov

No Income Affidavit - to be completed by any person(s) over the age of 18 who does not contribute income to the household of the Cash-to-Close applicant

No Child Support Affidavit - to be completed by a Cash-to-Close applicant who has dependants living with them but for whom they do not receive any support payment (examples: child support or Social Security)