Homeownership Programs

Down payment assistance, affordable mortgages, and resources to help you achieve the dream of owning your own home.

Beautiful family home exterior representing homeownership dreams

Your Path to Homeownership

Dakota County CDA is committed to helping families achieve the American dream of homeownership. We offer several programs designed to make buying a home more affordable and accessible, especially for first-time homebuyers.

Available Programs

Down Payment Assistance

Our down payment assistance program provides eligible homebuyers with funds to cover down payment and closing costs.

  • Up to $10,000 in assistance (varies by program)
  • Deferred loans with 0% interest
  • Forgivable after a specified period of ownership
  • Can be combined with other assistance programs

First-Time Homebuyer Loans

Special mortgage products designed for first-time buyers with competitive rates and flexible terms.

  • Below-market interest rates
  • Lower down payment requirements
  • Reduced mortgage insurance costs
  • Available through participating lenders

Community Land Trust

Permanently affordable homes where you own the house and lease the land at a reduced cost.

  • Lower purchase prices
  • Reduced property taxes
  • Build equity while keeping homes affordable
  • Priority for income-qualified buyers

Eligibility Requirements

  • First-time homebuyer (haven't owned a home in the past 3 years)
  • Income limits: Typically 80% of Area Median Income
  • Purchase price limits: Varies by program and property type
  • Complete homebuyer education course (HUD-approved)
  • Contribute minimum funds toward purchase (typically $1,000+)
  • Home must be in Dakota County and meet program guidelines

Income Limits (80% AMI)

Household SizeMaximum Income
1-2 Persons$62,800
3 Persons$70,650
4+ Persons$78,500+

Steps to Homeownership

1

Complete Homebuyer Education

Take our free HUD-approved homebuyer education class.

2

Get Pre-Approved

Work with a participating lender to get pre-approved for a mortgage.

3

Apply for Assistance

Submit your application for down payment assistance.

4

Find Your Home

Work with a real estate agent to find an eligible home.

5

Close and Move In!

Complete the purchase and enjoy your new home.