Kansas Housing Resources Corporation (KHRC) Programs:
Updated June 1, 2026KHRC administers HUD HOME-funded first-time homebuyer assistance statewide through participating lenders. The statewide FTHB subsidy is a 0% second (soft) loan sized to a percentage of the purchase price (income-tiered) and is commonly forgivable if program occupancy rules are met. Verify current eligibility, participating lenders, and county-specific income/purchase rules at KHRC's First Time Homebuyer page and the KHRC income limits file linked below.
Kansas First-Time Homebuyer (KHRC / HOME) Program — at a glance:
Who it serves: First-time buyers (no ownership in the past 3 years in most cases) at or below KHRC's HUD/HOME income limits (county-specific).
What it offers: A 0% deferred second loan for down payment and closing-cost assistance equal to a percentage of the purchase price (KHRC: typically 20% of sales price for households ≤50% AMI; 15% for households >50% and ≤80% AMI). Assistance is subject to minimum/maximum limits and a proportional forgiveness schedule — see official manual.
How to apply: Through an approved KHRC participating lender or KHRC intake: Start with KHRC.
- Geography: KHRC's statewide HOME FTHB excludes properties located within participating jurisdictions: the city limits of Kansas City, Lawrence, Topeka, Wichita, and Johnson County — those places may operate local HOME/CDBG programs instead. See the KHRC program manual for the full geographic rule. KHRC FTHB Training & Operations Manual (6/26/25).
- Income: County-specific HUD/HOME limits apply (KHRC publishes adjusted HOME income limits; example county tables are in the KHRC PDF below). KHRC / HUD HOME income limits (effective 6/1/24).
- Assistance size & caps: Tiers are income-based (≈20% for very-low income ≤50% AMI; ≈15% for low income 50–80% AMI). KHRC program manual shows a minimum assistance of $1,000 and a maximum of $40,000; assistance is applied to down payment and allowable closing costs.
- Forgiveness & recapture: The subsidy has two equal parts (a soft second and an interest-free portion). The soft-second portion is forgiven proportionately over 60 months if less than $15,000, and over 120 months if $15,000 or greater. The interest-free portion is repaid if the home is sold within the affordability period; HUD/HOME recapture rules apply. See the KHRC manual for exact recapture rules and examples. KHRC manual.
- Buyer investment & gifts: Buyers must invest at least 1% of the sales price (maximum required buyer contribution 10%). Gifts are allowed within program rules; asset spend-down rules may apply.
- Primary mortgage rules: KHRC requires a 30-year fully amortizing first mortgage (FHA/VA/USDA or conventional), and caps the primary mortgage rate at no more than Freddie Mac's PMMS + 0.65% (see program manual for underwriting details).
- Property standards: Homes must pass HOME/HUD inspection and cannot lie in the 100-year flood plain; manufactured homes have additional requirements.
- Homebuyer education: KHRC requires approved counseling/homebuyer education for most applicants.
Down Payment Assistance (DPA) Options — what buyers should know:
KHRC (HOME) DPA: A 0% deferred second loan sized to a percentage of the purchase price (KHRC guidance: ~20% for households ≤50% AMI; ~15% for households between 50–80% AMI). Minimum assistance is $1,000; maximum is $40,000. Forgiveness and recapture rules vary by subsidy amount (see KHRC manual). Apply through a participating lender or KHRC intake: KHRC FTHB.
Local / City Programs (what to check)
Many cities and counties (and local housing authorities) run their own HOME or CDBG-funded DPA programs with different dollar caps, eligibility tiers, and geographic targeting. These local program dollar amounts and income/purchase caps change frequently — editors should verify each local program page before publishing flat-dollar examples.
- Johnson County / Overland Park area: Johnson County and many of its cities may administer local HOME/CDBG funds; KHRC's statewide FTHB excludes Johnson County — check Johnson County and city pages for current local grants/limits.
- Wichita / Sedgwick County: The City of Wichita and regional partners run homebuyer initiatives and infill incentives; verify income and geographic targeting on city pages.
- Topeka / Shawnee County and Lawrence / Douglas County: These jurisdictions operate local programs that may differ from KHRC; confirm current caps on the city/county housing or community development pages.
Important for editors: We intentionally avoided publishing local flat-dollar examples (e.g., "up to $10,000–$15,000") unless they are cited from the local program page. Local caps and income tiers should be pulled directly from the city/county housing or program administrator page at time of publication.
Additional Federal Options (brief)
- USDA Rural Development: 0% down purchase loans for eligible rural areas; property and income eligibility rules apply. See USDA Single Family Housing programs.
- VA Loans: Eligible veterans and certain service members may purchase with no down payment and without PMI; confirm entitlement and eligibility at VA Home Loans.
- FHA: Federal FHA-insured mortgages allow lower down payments (typically 3.5% with a 580+ credit score); see HUD/FHA guidance at HUD / FHA single-family housing.
Kansas first-time buyer assistance is split between KHRC's statewide HOME FTHB and local HOME/CDBG programs run by counties and cities. Always confirm the latest income limits, maximum assistance, participating-lender lists, and geographic eligibility with the program administrator or an approved lender before publishing or advising buyers. KHRC resources: Start your homebuying journey, KHRC FTHB overview, and the KHRC HUD/HOME income limits (effective 6/1/24). Full program manual: KHRC FTHB Training & Operations Manual (6/26/25).
Program details, income limits, interest-rate caps, and availability may change. Always confirm the latest requirements with the official program administrator or a participating lender.
Seeking Agents® connects buyers with Kansas agents who know local program variations and can help identify participating lenders — free for buyers/sellers.