Current down payment assistance guidelines, updated from one source.
The current program figures below are refreshed from Lendmire’s down payment assistance standards source at each visit, so the options shown for Murfreesboro, TN are the options in force.
Of the purchase price
The largest option is a repayable second lien that covers your down payment and can reach closing costs and prepaids too; the smaller options cover the 3.5% FHA minimum down payment, in whole or, on the lowest tier, in part.
Covers the FHA down payment, in whole or in part
This covers the 3.5% FHA minimum down payment in whole or, on its lower tier, in part, and is forgiven at closing: no lien on the home, no monthly payment, no interest. It opens on the area income limit or on a qualifying category.
On the forgivable and repayable options
No income cap on the forgivable and repayable options: earn what you earn. The nothing-to-repay option is the one exception, opening at or below 140% of area median income or through a qualifying category.
Credit score to start
The score that opens the nothing-to-repay option; the forgivable options start a step higher and the repayable options higher still. Two-borrower files may use a blended score on the second-lien options.
| Option | Assistance | What you repay | Credit · mortgage · units |
|---|---|---|---|
| Grant-style assistance — nothing to repay | 2% or 3.5% of the price | Nothing — released at closing | 620+ · FHA 203(b), FHA repair escrow, FHA Limited 203(k), FHA Standard 203(k) · 1–4 units |
| Forgivable second lien — three-year | 3.5% of the price | Nothing after 36 on-time mortgage payments | 640+ · FHA 203(b), FHA Limited 203(k), HUD-184, USDA · 1–2 units |
| Forgivable second lien — five-year | 3.5% of the price | Nothing after 60 on-time mortgage payments | 640+ · FHA 203(b), FHA Limited 203(k), HUD-184, USDA · 1–2 units |
| Repayable second lien — thirty-year amortization, ten-year balloon | 3.5% or 5% of the price | Second lien, 30-year amortization, balloon in year 10 | 660+ · FHA 203(b), FHA Limited 203(k), HUD-184, USDA · 1–2 units |
| Closing-cost repayable second lien | 3.5% or 5% of the price | Second lien, 30-year amortization, balloon in year 10 | 660+ · FHA 203(b) · 1–2 units |
| Refinance-cost second lien (repayable) | 1% to 3.5% of the balance | Second lien, repaid | 660+ · FHA 203(b) · 1–4 units |
Current down payment assistance snapshot · updated September 7, 2026 · six options offered in Tennessee · no option requires a first-time buyer · no option combines with another assistance program · owner-occupied primary residences only.
The figures on this page are program parameters, not offers: assistance percentages, credit floors, unit limits, and forgiveness periods vary by option and by state, and every file is underwritten individually. The calculator estimates an FHA payment at an editable benchmark rate that is not a quote; no fee or lender is stated or implied. Lendmire brokers these loans through its wholesale network in sixteen licensed states, is never the lender, and is not affiliated with FHA, USDA, HUD, or the federal government. Lendmire, LLC — NMLS #2371349. Equal Housing Opportunity.
What down payment assistance is — and how the options differ.
For Murfreesboro, TN buyers, the first-time home buyer programs come down to three parts: the first lien carries most of the price, the assistance covers the minimum investment, and the shape of the assistance — nothing to repay, forgivable, or repayable — decides what it costs to carry.
For the program overview, see Lendmire’s down payment assistance program, or the statewide guide at Down Payment Assistance in Tennessee.
Assistance covers the FHA down payment
An FHA purchase asks for a minimum investment from the buyer; the assistance covers it, measured as a percentage of the lesser of price or value, and the largest option carries a further share for closing costs and prepaids.
Four shapes: grant, forgivable, repayable, refinance
The assistance comes as a grant where it is offered, as a forgivable second lien, or as a repayable second lien, with a refinance-cost version for an existing FHA loan; each pairs with the first lien differently, and the options table on this page shows what is offered in Tennessee.
Credit floors, mortgage programs, and unit counts
Two-borrower files can qualify on a blended score on the second-lien options when the higher earner has the higher score and an automated approval is in hand; every borrower still needs a score of their own, and the first lien and the unit count place the file as the options table shows.
Eligibility without a first-time-buyer rule
No option requires a first-time buyer. The nothing-to-repay option asks for one qualifying category — income at or below the area limit, a community-service occupation, a first purchase, or an underserved tract — and a homebuyer education course; the second-lien options ask for neither.
The assistance is measured on the price, so the calculator starts there. It then applies the option you choose, your own cash, and an editable benchmark rate to show the loan, the mortgage insurance, and the payment.
Where Murfreesboro’s first-time and moderate-income buyers shop — and how the assistance fits.
These Murfreesboro, TN figures describe the market, not a borrower; the first lien’s approval and the option’s rules carry the file, and the numbers here only explain the neighborhood it sits in.
Read the figures as backdrop. Value and income rarely move at the same pace; the market figures below show what a Murfreesboro home costs and how many households rent, and the calculator shows what that means for the minimum investment.
Data sources: U.S. Census Bureau — ACS 5-Year (2024) housing and population estimates, including tenure, home values, gross rents, and household income.
Distinct Murfreesboro submarkets, distinct property rules.
A down payment assistance file in Murfreesboro reads differently by submarket — condominium approval, association packages, unit counts, and USDA eligibility all shift from one to the next.
Older neighborhoods and renovation loans
In Murfreesboro’s established neighborhoods, a buyer can use the program with a limited renovation loan or, on the nothing-to-repay option, a standard one, so the down payment help and the repair budget close together. Median gross rent in Murfreesboro is about $1,481 a month — the payment many renters already carry.
Small multi-unit homes, owner-occupied
A buyer who lives in one unit of a Murfreesboro duplex can use the program on the whole building; the nothing-to-repay option, which reaches four units, makes a house-hacking purchase reachable with the minimum investment covered. Median household income in Murfreesboro sits near $80,108 on the latest Census estimate.
Manufactured homes on owned land
For Murfreesboro buyers looking at manufactured housing, the assistance is available on owned land, with single-width homes reaching only the option that accepts them. On a home at Murfreesboro’s median value, the FHA minimum investment comes to about $14,100 — the figure the assistance is built to cover.
Condominiums close to work
Condominiums are often the entry point in Murfreesboro, and the assistance follows the first lien: the building needs FHA approval, or a single-unit approval, before the down payment help can attach to it. The median owner-occupied home value in Murfreesboro runs near $402,100 on the latest Census estimate.
New construction and infill
Infill and new-build homes in Murfreesboro pair with the assistance as long as the property is the buyer’s primary residence and the first lien is a government program. Murfreesboro itself counts a population near 161K; it sits within the Nashville-Davidson–Murfreesboro–Franklin, TN area.
Townhomes and attached homes
In Murfreesboro, a townhome in a planned development pairs cleanly with the program; the association’s rules and dues are read alongside the first lien, and the assistance covers the down payment. About 48% of Murfreesboro’s households rent — roughly 28,900 renter households, the pool the program exists for.
These are patterns, not promises: each Murfreesboro purchase is underwritten on its own appraisal, its own credit, and its own option.
Four ways Murfreesboro buyers put down payment assistance to work.
How Murfreesboro buyers put the program to work depends on the first lien, the property, and what the help needs to cover; these four paths cover most files.
Pair the assistance with a USDA or HUD-184 mortgage
In USDA-eligible areas around Murfreesboro, the forgivable and repayable options pair with a no-down-payment first lien (the separate closing-cost option is FHA only); HUD-184 first liens pair the same way.
Buy a small multi-unit home and live in one unit
House-hacking in Murfreesboro, TN pairs with the program when the buyer occupies a unit; the unit count decides which option applies, and the first lien carries the building.
Cover the costs of an FHA refinance
Owners in Murfreesboro with an FHA loan and little cash for a refinance use the refinance-cost option, subject to its own credit floor and the combined-leverage limit it carries.
Buy a first home with the down payment covered
A Murfreesboro buyer with the income for the payment but not the cash to close uses the assistance to cover the FHA minimum investment, a grant with nothing to repay, and keeps savings for the move.
Size the assistance on a Murfreesboro price before requesting a quote.
This tool applies the program to a Murfreesboro scenario: the price sets the minimum investment, the option and your cash set the down payment, and the FHA loan, mortgage insurance, and payment follow at the benchmark rate shown. Every field is editable; the rate is a market reference, not a quote.
Murfreesboro FHA payment with assistance
Starting assumptions reflect Murfreesboro’s home values; change any field and the loan, the mortgage insurance, and the payment are recalculated.
Editable benchmark: 7.28% as of October 1, 2026 · Freddie Mac 30-year average via FRED®. A conventional market reference, not an FHA loan quote.
Illustrative starting assumptions: a $400,000 price near Murfreesboro’s median owner-occupied home value, the strongest assistance option offered in Tennessee applied against the FHA minimum investment, a thirty-year term at the current Freddie Mac benchmark, property taxes and insurance estimated for Tennessee (U.S. Census Bureau). Every field is editable.
Illustrative estimate only — not a Loan Estimate, approval, quote, or commitment to lend. The rate field carries the weekly Freddie Mac thirty-year conventional benchmark, a market reference and not an FHA loan quote; your rate is set by the lender at lock. FHA mortgage insurance follows HUD’s published schedule for the term, leverage and loan size entered; taxes, insurance and dues are editable estimates; closing costs are not included; a repayable second lien adds its own payment, which is not shown here. Consumer mortgage lending licensed in sixteen states. Lendmire is not affiliated with or acting on behalf of FHA, USDA, HUD, or the federal government.
Same buyer, three very different closings.
The right structure for a Murfreesboro, TN buyer depends on savings, credit, the first lien, and whether the help needs to reach closing costs.
Assistance on an FHA loan, your own down payment, or assistance on a USDA or HUD-184 loan.
The structure for a Murfreesboro buyer who qualifies for the payment but not the cash to close — the help is sized on the price and the option decides what, if anything, is owed afterward.
For a Murfreesboro, TN buyer with the cash in hand, the plain FHA purchase is the cleaner file; the assistance exists for the buyer who does not have it yet. For the first lien itself, see Lendmire’s FHA loan program.
USDA and HUD-184 first liens pair with the forgivable options and the ten-year repayable option on a Murfreesboro, TN file; the separate closing-cost option is FHA only. For the USDA first lien, see the USDA loan program.
If the payment fits but the cash to close does not, down payment assistance is the structure; if the cash is there, the plain purchase; if the property is USDA-eligible, the USDA first lien with assistance for costs.
What to prepare for a Murfreesboro scenario review.
A typical starting file for a first purchase with assistance.
This is a general preparation guide, not a universal checklist. The selected lender may request additional information based on the mortgage, the assistance option, the property, and the eligibility category. Nothing here is legal or tax advice.
Local details that can change the loan.
Beyond the credit tier and the first lien, a handful of details decide which option a Murfreesboro buyer can use — or whether the assistance attaches at all.
Use these checks to keep the Murfreesboro file clean and fundable.
The checks below keep a Murfreesboro assistance file on track, and each one comes from the option’s own terms rather than from a lender’s preference.
- Know the option: read the second lien as the loan it is.
- Confirm the category: remember that the second-lien options need no category and carry no income limit.
- Consider a blended score: every borrower needs a score of their own.
The option decides what you owe afterward
Choose the shape before the amount: the forgivable options cover the minimum investment and cost nothing to carry when the first lien stays current; the repayable option covers more and is repaid; where it is offered, a nothing-to-repay option released at closing costs nothing at all.
The eligibility category for the nothing-to-repay option
The category is checked at application on the nothing-to-repay option, together with the signed assistance application and the education certificate; no option requires a first-time buyer, and the second-lien options carry no income limit.
Blended scores for two-borrower files
A Murfreesboro, TN couple where one score is strong and the other is not may reach an option through the blended score, which applies only when the primary wage earner also holds the higher score and the file carries an automated approval; there is no manual underwriting on a blended file.
Homebuyer education on the nothing-to-repay option
The nothing-to-repay option requires a HUD-approved homebuyer education or pre-purchase counseling course, online or in person; the buyer pays for it up front and the cost is credited back at closing. The second-lien options do not require it.
Property type and unit count select the option
The property itself can move a Murfreesboro, TN file: a fourplex, a single-width manufactured home, or an unapproved condominium project each changes which option can attach, so the address is read before the option is promised.
From a Murfreesboro pre-approval to keys with the assistance in place.
The process for a Murfreesboro, TN purchase with assistance is deliberate, because the details around the assistance are what stall closings.
Pick the option
Lendmire reads the Murfreesboro scenario against the options offered in Tennessee: the credit tier, the first lien, the unit count, the category, and whether the help must reach closing costs.
Get the mortgage approved
The first lien’s approval carries the file; the assistance is arranged alongside it, with the eligibility category and the education certificate in hand where they apply.
Clear the property
The appraisal, the condominium approval where one applies, the manufactured-home title, and the county loan limit are settled; small repairs go into an escrow holdback where the option allows it.
Close both loans together
The Murfreesboro closing carries both instruments: the first lien and the assistance, each documented on its own and closed together, with the education certificate in the file where it applies.
A brokerage that pairs the assistance to the loan.
An assistance file rewards preparation, and preparation is what a brokerage built for first-time and moderate-income buyers provides.
The option, matched to the buyer
A Murfreesboro scenario is placed on the right option first — the credit tier, the first lien, and the category — and the rest of the file is then built to fit it, before anything is ordered.
The mortgage, matched to the property
USDA where the address is eligible, HUD-184 where the buyer qualifies, FHA everywhere; the Murfreesboro, TN first lien is the foundation the assistance stands on.
The right wholesale program
Not every wholesale lender carries down payment assistance, and the ones that do differ on shape, floors, and states; Lendmire knows which is which.
Trusted by first-time buyers & families alike.
Murfreesboro down payment assistance FAQs
The questions a Murfreesboro, TN buyer asks before requesting an assistance review, answered plainly.
Do I have to be a first-time homebuyer?
No option requires it. A Murfreesboro buyer who has owned before qualifies for the second-lien options on credit, mortgage, and property alone, and for the nothing-to-repay option through any of the other categories.
Is there an income limit?
For most of the options, no. The forgivable and repayable second liens carry no income limit at all. The nothing-to-repay option is the one that looks at income, and even there a qualifying occupation, a first purchase, or an underserved census tract opens it as an alternative to the income test.
What first-time home buyer programs are available in Murfreesboro?
Down payment help in four shapes for a Murfreesboro, TN buyer: money with nothing to repay, a forgivable second lien that costs nothing while the mortgage stays current, a repayable second lien that reaches closing costs, and a refinance-cost option for an existing FHA loan. The forgivable and ten-year repayable shapes pair with an FHA, USDA, or HUD-184 mortgage; the rest pair with FHA only.
Do I have to pay the assistance back?
It depends on the shape a Murfreesboro, TN buyer takes. Two carry nothing to repay: the nothing-to-repay option where it is offered, and the forgivable second liens, released after the on-time payment period. The repayable options are loans, paid back with interest and a balloon.
What credit score do I need?
Each option has its own floor, starting in the low six hundreds on the nothing-to-repay option and stepping up on the forgivable and repayable second liens; every borrower needs a score, and two-borrower files may qualify on a blended score on the second-lien options. The snapshot shows the floors in force.
What does Lendmire do on a Murfreesboro first-time home buyer file?
The structural work covers the option, the first lien, the property, the category, the education course, the disclosures, and closing. A Murfreesboro buyer brings the contract; Lendmire brings the fit.
Which mortgages can the assistance be used with?
FHA on every option, with the repair-escrow and renovation programs where the options table allows them and the standard FHA loan alone on the closing-cost and refinance options; USDA and HUD-184 on the forgivable and repayable second liens (the closing-cost repayable option, the one that also reaches prepaid items, is FHA only). Conventional first liens are outside the program.
Is there an option for refinancing?
Yes, a refinance-cost option: a repayable second lien sized as a share of the balance on an existing FHA loan, covering closing costs and keeping the first lien inside FHA leverage limits. It is not a streamline, and it cannot refinance a loan that already carries assistance.
What if my mortgage is above the county loan limit?
A high-balance first lien narrows the choice to the repayable options in Murfreesboro, TN.
How does a forgivable second lien work — the small second loan behind the mortgage?
It is a lien that costs nothing to carry and disappears on schedule; the clock runs with the first lien’s payments.
The down payment is the hurdle. Let us clear it.
Share the property, the price, and a little about your situation; a Lendmire loan officer names the option that fits and follows up.
This guide covers Murfreesboro — for the statewide options, categories, and property rules, see Down Payment Assistance in Tennessee, part of Lendmire’s down payment assistance program.
Nearby markets in Tennessee: Smyrna · Lebanon · Franklin · Spring Hill · Nashville · Hendersonville · Gallatin · Columbia
Related programs: FHA Loans · USDA Loans · FHA 203(k) Rehab Loans