Massachusetts down payment assistance with MassHousing
Choose your Massachusetts city or town, income and price: the three MassHousing options side by side, with the monthly cost of each.
Help you may get in Worcester city, Worcester County
$30,000
MassHousing Down Payment Assistance, Option 1 (deferred): deferred loan, repaid when you sell or refinance. 0 programs likely fit, 3 to check.
| Your income vs. area median for 3 people | 94% |
| HUD 80% income limit, 3 people | $94,850 |
| Down payment at 3.5% | $14,700 |
| Cash still needed with the help | $0 |
| Monthly payment, no help | $2,806 |
| Monthly payment, with the help | $2,806 |
| FHA limit · conforming limit | $545,100 · $832,750 |
Programs read on the MassHousing pages; HUD FY 2026 limits; payment = principal and interest over 30 years at 7.4% (Freddie Mac, October 15, 2026). The approved lender confirms eligibility.
| Program | Fit | Amount | Form | Why |
|---|---|---|---|---|
| MassHousing Down Payment Assistance, Option 1 (deferred) | Check with the agency | $30,000 | Deferred loan, repaid when you sell or refinance | county income limit not transcribed: see the agency table |
| MassHousing Down Payment Assistance, Option 2 (2%, 15 years) | Check with the agency | $25,000 | Monthly-payment loan, 15 years at 2% | county income limit not transcribed: see the agency table |
| MassHousing Down Payment Assistance, Option 3 (3%, 15 years) | Check with the agency | $25,000 | Monthly-payment loan, 15 years at 3% | county income limit not transcribed: see the agency table |
Prepared by Radif Partners · Method · updated: HUD 2026 limits effective May 1, 2026 · Freddie Mac rate of October 15, 2026 · programs read on October 21, 2026
In Massachusetts the statewide help comes from MassHousing, and it is a loan in every version, offered with a MassHousing first mortgage to income-eligible first-time buyers. Option 1 is a deferred second mortgage of up to $30,000 with no interest and no payment, due in full when you sell, refinance or pay off the first loan. Options 2 and 3 lend up to $25,000 that you repay every month over 15 years at a fixed 2% or 3%: MassHousing's own example is 180 payments of $160.88 or $172.65. The approved lender decides which option and amount you get. The calculator works out the three for your figures: in Worcester, a household of three earning $110,000 buying at $420,000 with FHA needs $14,700 down, which Option 1 would cover in full, if the household is under the MassHousing limit for the town.
MassHousing's three options
| Program | Amount | Repayment (agency wording) | First-time only | Min. credit | Status |
|---|---|---|---|---|---|
| MassHousing Down Payment Assistance, Option 1 (deferred) | up to $30,000 | interest-free deferred second mortgage; the entire balance is due when the home is sold or refinanced, or the first mortgage is paid off | yes | open | |
| MassHousing Down Payment Assistance, Option 2 (2%, 15 years) | up to $25,000 | 15-year amortizing second mortgage at a fixed 2% (APR 2%); MassHousing's example: $25,000 = 180 payments of $160.88 | yes | open | |
| MassHousing Down Payment Assistance, Option 3 (3%, 15 years) | up to $25,000 | 15-year amortizing second mortgage at a fixed 3% (APR 3%); MassHousing's example: $25,000 = 180 payments of $172.62 | yes | open |
The three options share the same buyer: a first-time buyer under the income limit of the community, with a MassHousing first mortgage and a homebuyer course. What changes is who pays for the money and when. Option 1 is free until the house changes hands. Options 2 and 3 are ordinary installment loans at a low fixed rate: $25,000 at 2% over 15 years is $160.88 a month and $28,958 in total; at 3% it is $172.65 a month and $31,076.
Prices in ten Massachusetts cities
| County | HUD median (4 people) | HUD 80% limit (3 people) | FHA limit | Conforming limit |
|---|---|---|---|---|
| Boston city, Suffolk County | $164,600 | $123,400 | $962,550 | $962,550 |
| Cambridge city, Middlesex County | $164,600 | $123,400 | $962,550 | $962,550 |
| Quincy city, Norfolk County | $164,600 | $123,400 | $962,550 | $962,550 |
| Lowell city, Middlesex County | $143,000 | $98,650 | $962,550 | $962,550 |
| Brockton city, Plymouth County | $127,800 | $97,000 | $962,550 | $962,550 |
| Worcester city, Worcester County | $130,400 | $94,850 | $545,100 | $832,750 |
| Fall River city, Bristol County | $112,100 | $80,750 | $787,750 | $832,750 |
| New Bedford city, Bristol County | $94,300 | $94,700 | $787,750 | $832,750 |
| Springfield city, Hampden County | $96,700 | $94,700 | $541,287 | $832,750 |
| Pittsfield city, Berkshire County | $109,400 | $94,850 | $541,287 | $832,750 |
Massachusetts is the one state on this site whose HUD areas follow cities and towns, so two neighbors can sit in different areas. Boston, Cambridge and Quincy share a median of $164,600 and an FHA limit of $962,550; Worcester is at $130,400 and $545,100; Springfield at $96,700 and the FHA floor. A $30,000 deferred loan covers the whole FHA down payment on a home up to about $857,143, which in western Massachusetts is most homes and in Boston few.
Your Massachusetts city or town
Help you may get in Springfield city, Hampden County
$30,000
| Your income vs. area median for 3 people | 98% |
| HUD 80% income limit, 3 people | $94,700 |
| Down payment at 3.5% | $10,500 |
| Cash still needed with the help | $0 |
Worcester, worked through
| Program | Result | Amount | Why |
|---|---|---|---|
| MassHousing Down Payment Assistance, Option 1 (deferred) | Check with the agency | $30,000 | county income limit not transcribed: see the agency table |
| MassHousing Down Payment Assistance, Option 2 (2%, 15 years) | Check with the agency | $25,000 | county income limit not transcribed: see the agency table |
| MassHousing Down Payment Assistance, Option 3 (3%, 15 years) | Check with the agency | $25,000 | county income limit not transcribed: see the agency table |
In Boston, at $140,000 and $650,000, the FHA minimum is $22,750; Option 1 covers $22,750 of it, and the household's income is at 95% of the HUD median for three, so the MassHousing limit for Boston is the figure to check before anything else. The rest of the down payment and the closing costs come from savings or a gift.
Choosing between deferred and repaid
A buyer who plans to stay ten years or more and never refinance pays nothing for Option 1. A buyer who may move or refinance within a few years owes the whole Option 1 balance at that moment, while under Options 2 or 3 part of it is already repaid. The monthly cost of the repayable options counts in the debt-to-income ratio, which can lower the first mortgage you qualify for. Ask the MassHousing lender to run all three on your file, and ask your city's housing office about local grants that MassHousing lenders accept alongside them.