Current down payment assistance guidelines, updated from one source.
One source feeds every down payment assistance page Lendmire publishes; the Scranton, PA figures below refresh when the program sheets are updated.
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.
Covers the whole FHA down payment
The FHA minimum down payment is 3.5%, and this option covers all of it with nothing to pay back — no lien, no payment, no interest — for buyers at or below the area income limit or in a qualifying category.
On the forgivable and repayable options
The forgivable and repayable options have no income limit at all — one of the biggest advantages of this program. Only the nothing-to-repay option asks for income at or below 140% of the area median, or a qualifying category.
Credit score to start
This is the lowest score that opens an option here — the nothing-to-repay option; the forgivable second liens start a little higher and the repayable options higher still, so a stronger score opens more choices.
| 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 Pennsylvania · no option requires a first-time buyer · no option combines with another assistance program · owner-occupied primary residences only.
Program figures are hydrated from one guideline source and change when it changes. The nothing-to-repay option is not offered in every state; the forgivable and repayable options are second liens; no option combines with another assistance program; all are for owner-occupied primary residences. The rate in the calculator is an editable market benchmark, not a quote, and the payment shown is an illustrative estimate; no fee or lender identity appears on this page. Lendmire is the broker, not the lender, and is not affiliated with FHA, USDA, HUD, or the federal government.
What down payment assistance is — and how the options differ.
For Scranton, PA buyers, the first-time home buyer programs work the same way: 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 Pennsylvania.
Assistance covers the FHA down payment
The gap the program closes for a Scranton buyer is the minimum investment: the assistance covers that share of the price, the first lien carries the rest, and the buyer’s own savings stay for the move.
Four shapes: grant, forgivable, repayable, refinance
Nothing to repay, forgiven over time, or repaid with a balloon: the three purchase shapes in Scranton, PA cover the same minimum investment and differ in what the buyer owes afterward.
Credit floors, mortgage programs, and unit counts
Credit decides which options are open; the first lien decides which options attach; the property’s unit count and type decide which option carries it. The options table shows all three side by side.
Eligibility without a first-time-buyer rule
In Scranton, PA, the question is not whether this is a first home; it is which option fits the credit, the first lien, and the property — and, for the nothing-to-repay option, which qualifying category applies.
Enter a price, choose an option, and add your own cash. The calculator sizes the minimum investment, splits the assistance between the down payment and closing costs, and estimates the FHA payment with mortgage insurance, taxes, insurance, and dues.
Where Scranton’s first-time and moderate-income buyers shop — and how the assistance fits.
These Scranton, PA 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.
Citywide figures provide general market context, not an appraisal or an income calculation. The higher the median value, the larger the minimum investment in dollars; that is why the assistance is sized as a percentage of the price rather than a fixed sum, and why the larger option matters more in expensive markets.
Data sources: U.S. Census Bureau — ACS 5-Year (2024) housing and population estimates, including tenure, home values, gross rents, and household income.
Distinct Scranton submarkets, distinct property rules.
Across Scranton’s condominiums, townhomes, and older neighborhoods close to work, the same program produces different closings because prices, property types, and first liens differ block by block.
Two-to-four-unit homes, owner-occupied
A buyer who lives in one unit of a Scranton duplex or triplex can use the program on the whole building; the option that allows up to four units makes a house-hacking purchase reachable with the minimum investment covered. Median household income in Scranton sits near $50,739 on the latest Census estimate.
New construction and infill
A newly built Scranton home is eligible; the buyer’s own funds requirement is covered by the assistance, and the builder’s closing date is met once the first lien is approved. About 50% of Scranton’s households rent — roughly 15,164 renter households, the pool the program exists for.
Older neighborhoods and renovation loans
The older streets of Scranton are full of homes that need work, and the assistance pairs with a renovation first lien: the assistance is figured on the purchase price, while the loan itself covers price plus repairs. Median gross rent in Scranton is about $1,048 a month — the payment many renters already carry.
Condominiums close to work
In Scranton, a condominium near the job is the first home many buyers can reach; the program pairs with it as long as the project clears FHA review, and the assistance covers the minimum investment the same way it would on a house. Scranton counts a population near 76K within the Scranton–Wilkes-Barre, PA area.
Manufactured homes on owned land
For Scranton 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 Scranton’s median value, the FHA minimum investment comes to about $5,500 — the figure the assistance is built to cover.
Townhomes and attached homes
In Scranton, 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. The median owner-occupied home value in Scranton runs near $158,100 on the latest Census estimate.
Submarket descriptions are general market context; the first lien’s approval, the option’s rules, and full underwriting decide every figure in a file.
Four ways Scranton buyers put down payment assistance to work.
From a first home to a small multi-unit building to an FHA refinance, down payment assistance in Scranton, PA solves a specific set of problems.
Buy a first home with the down payment covered
A Scranton buyer with the income for the payment but not the cash to close uses the assistance to cover the FHA minimum investment, some with nothing to repay, and keeps savings for the move.
Cover the costs of an FHA refinance
The refinance-cost option in Scranton, PA is for an existing FHA loan, not a streamline, and not a loan that already carries assistance; it is sized on the lesser of balance or value.
Buy a two-to-four-unit home and live in one unit
House-hacking in Scranton, PA 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 closing costs too on the larger option
A Scranton buyer who needs more than the minimum investment uses the repayable option that covers down payment, closing costs, and prepaid items, including costs paid outside closing.
Size the assistance on a Scranton price before requesting a quote.
Run a Scranton price through the options before you request a quote: the minimum investment, the assistance applied, what is left for closing costs, the mortgage insurance tier, and the estimated payment. Enter income to see the ratios a lender reads.
Scranton FHA payment with assistance
Starting assumptions reflect Scranton’s home values; change any field and the loan, the mortgage insurance, and the payment are recalculated.
Editable benchmark: 6.71% as of September 3, 2026 · Freddie Mac 30-year average via FRED®. A conventional market reference, not an FHA loan quote.
Illustrative starting assumptions: a $160,000 price near Scranton’s median owner-occupied home value (kept where an FHA first lien is realistic), the strongest assistance option offered in Pennsylvania applied against the FHA minimum investment, a thirty-year term at the current Freddie Mac benchmark, property taxes and insurance estimated for Pennsylvania (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, four very different closings.
Down payment assistance is one of four ways a Scranton buyer covers the minimum investment; each has a different cost after closing.
Assistance on a government loan, saving the minimum, or a gift.
Assistance paired with the first lien at closing: the minimum investment covered, the shape chosen by credit, first lien, and eligibility category, and the second-lien options open to repeat buyers with no income limit.
Paying the minimum investment yourself keeps the closing simplest — no second lien, no category, no course; the trade is the months or years of saving that the assistance replaces. For the first lien itself, see Lendmire’s FHA loan program.
USDA and HUD-184 first liens pair with the forgivable and repayable options, which then cover closing costs and prepaids rather than a down payment the first lien does not require. For the USDA first lien, see the USDA loan program.
Assistance fits the buyer short of cash to close; the plain purchase fits the buyer with savings; the USDA and HUD-184 pairing fits eligible properties and borrowers; a documented gift fits when family can help — Lendmire places the Scranton, PA file where it reads best.
What to prepare for a Scranton 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.
Every Scranton file is underwritten individually, but the same handful of considerations recur; they are worth settling before the contract is signed.
Use these checks to keep the Scranton file clean and fundable.
A clean Scranton file starts with the option chosen, the first lien matched to the property, and the homebuyer education course completed where it is required.
- Know the option: read the second lien as the loan it is.
- Confirm the category: complete the homebuyer education course where required.
- Understand the clock: keep the first lien current through the forgiveness period.
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; a nothing-to-repay option released at closing where it is offered.
The eligibility category for the nothing-to-repay option
The nothing-to-repay option opens on any one of four categories — household income at or below the area limit, a community-service occupation, a first purchase, or a property in an underserved census tract — plus a homebuyer education course; the second-lien options need none of these.
The forgiveness clock on the forgivable options
The clock starts at closing and runs with the first lien’s payments; a Scranton buyer who plans to sell or refinance inside the period should expect the second lien to be paid at that point, since it is not resubordinated.
The balloon on the repayable option
The repayable second lien amortizes over thirty years but comes due in the tenth year; it carries interest and a monthly payment, its own loan number, and a balloon disclosure. It is the option that reaches closing costs, and it is a loan.
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.
From a Scranton pre-approval to keys with the assistance in place.
Lendmire runs a Scranton assistance file in a set order: pick the option, match the first lien, clear the property, close both liens together.
Pick the option
Every Scranton file starts with the option and the first lien; the category, the education course, and the property rules are then settled around them, in that order.
Get the mortgage approved
Lendmire packages the Scranton file for the first lien first, because the assistance follows its approval; the option’s floor and the first lien’s rules both have to clear.
Clear the property
The property side of a Scranton, PA file is where the option can change: unit count, project approval, and the loan limit are confirmed before the closing is scheduled.
Close both loans together
Final underwriting reads the whole Scranton, PA file against the first lien’s rules and the option’s; the loan funds with the assistance in place and the second lien, where there is one, recorded behind it.
A brokerage that pairs the assistance to the loan.
Down payment assistance is where a generalist stumbles: the options differ by first lien, by credit tier, by unit count, and by state, and the wholesale programs that carry them competently are a short list.
The option, matched to the buyer
The nothing-to-repay option where it fits, the forgivable options where it does not, the repayable option where closing costs are the hurdle — chosen for the Scranton, PA buyer, not by default.
The mortgage, matched to the property
FHA, USDA, or HUD-184 is chosen with the Scranton property — its address, its unit count, its type — so the assistance option that pairs with it is the one that attaches.
The right wholesale program
Assistance programs differ across wholesale lenders in what they offer and where; Lendmire places a Scranton, PA file where its credit, its first lien, and its property read best, subject to lender program eligibility.
Trusted by first-time buyers & families alike.
Scranton down payment assistance FAQs
Plain answers to the questions Scranton buyers ask most about down payment assistance, before you request a review. Every file is underwritten individually; nothing here is a commitment.
Do I have to be a first-time homebuyer?
No option requires it. A Scranton buyer who has owned before qualifies for the second-lien options on credit, first lien, and property alone, and for the nothing-to-repay option through any of the other categories.
Is there an income limit?
The second-lien options have none; the nothing-to-repay option has an area income limit that a qualifying occupation, a first purchase, or an underserved tract can substitute for.
What first-time home buyer programs are available in Scranton?
Four shapes paired with a government first lien: a nothing-to-repay option released at closing; forgivable second liens with no interest and no payment, released after an on-time payment period; a repayable second lien with a balloon that also reaches closing costs and prepaids; and a refinance-cost option for an existing FHA loan. The options table on this page shows what is offered in Pennsylvania.
Do I have to pay the assistance back?
Two of the shapes: the nothing-to-repay option where it is offered, and the forgivable second liens, which are released after the on-time payment period. The repayable option is a loan.
What credit score do I need?
A Scranton buyer’s credit tier decides which options are open — the options table on this page shows the floor for every option offered in Pennsylvania.
How does a forgivable second lien work — the small second loan behind the mortgage?
You do not pay it as long as the first lien stays current through the period; after the period it is forgiven. A sale or refinance inside the period pays it off.
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?
Above the county limit, the repayable options carry the assistance; below it, every option is available. The price and the limit are settled before the option is chosen.
What property types are eligible?
Single-family homes, FHA-approved condominiums, townhomes and planned developments, owner-occupied two-to-four-unit homes within each option’s limit, and manufactured homes on owned land — single-width on the nothing-to-repay option, double-width on the second-lien options. Unique property types are outside the second-lien options.
Which mortgages can the assistance be used with?
Government first liens only: FHA for every option, USDA and HUD-184 for the second-lien options.
Talk through a Scranton assistance file before the contract is signed.
Start with the price, the first lien you expect, and your credit tier. No credit pull or commitment is required to request an initial scenario review.
This guide covers Scranton — for the statewide options, categories, and property rules, see Down Payment Assistance in Pennsylvania, part of Lendmire’s down payment assistance program.
Also in Pennsylvania: Reading · Philadelphia · Altoona · Chambersburg · FHA Loans · USDA Loans