Sussex County Housing Trust Fund - Homebuyer Assistance

For information on the Housing Trust Fund, visit the Sussex County Housing Trust Fund page.

More information for Developer applicants can be found on the Development Fund page.

FUNDING SOURCE

American Rescue Plan Act (ARPA) & Sussex County Council fund the Homebuyer Assistance Program.

FUNDING AVAILABILITY

SCHTF is making available funding to assist qualifying households with the purchase of a Sussex County home. Funds are available on a first-come-first-serve basis until exhausted. Visit this page for updates on when the next round of funding will be made available.

As of July 3, 2024, round 3 funding is available.  Note: any referral applications received on or after July 3, 2024 will be assessed with the new award amount of $20,000 versus the previously offered $10,000, $20,000, and $30,000 increments.

As of November 20, 2024 round 3 funding is exhausted for households earning above 65% AMI.  Funds for households earning below 65% AMI are available only until December 31, 2024.  After that date, all round 3 funding will be exhausted.

Direct Homebuyer Assistance

PROGRAM PARAMETERS

Direct Homebuyer Assistance funding is available through the Sussex County Housing Trust Fund (SCHTF) and administered by the Sussex County Community Development & Housing Department (CD&H). Funds are typically replenished annually on July 1st and are available until exhausted.  Sussex County intends to use the Homebuyer Assistance funding to provide affordable homeownership opportunities to qualifying homebuyers in Sussex County.

TERMS & CONDITIONS

  • Direct Buyer Assistance may be used for closing/settlement costs only and may not receive funds back at settlement.
  • The household must maintain the home as their primary residence.
  • Liquid assets must not exceed $15,000 within 3 months of application receipt by Sussex County.
  • Program is not limited to first-time homebuyers.
  • From the time of application through settlement, applicants cannot own any real property other than current primary residence that is being sold prior to the purchase of residencial real estate for which applicant is seeking funds under the program.
  • Program can be used to purchase single-family homes, duplexes, townhomes, manufactured homes on permanent foundations, modulars, or new construction homes.  
  • The home must be located in Sussex County, Delaware.
  • A Home Inspection is required for existing homes and a Certificate of Occupancy (CO) is required for new construction.
  • Homebuyer must complete at least 8 hours of pre-purchase homeownership counseling through a HUD-approved agency and receive a completion certificate.
  • The household must earn less than 120% AMI for Sussex County, Delaware.

Eligible Household Incomes & Corresponding Buyer Assistance
    HOUSEHOLD SIZE

BUYER ASSISTANCE

AREA MEDIAN INCOME

1

2

3

4

5

6

7

8

$20,000

120% AMI

(MAXIMUM)

<$82,080

<$93,840

<$105,600

<$117,240

<$126,720

<$136,080

<$145,440

<$154,800

 *2024 Income Limits - Effective 4/1/24

AFFORDABILITY CONTROLS

  • Buyer assistance will be secured as a soft second 0% interest prorated mortgage repayable only at the time of sale or transfer of the property and will not be subordinated unless there is adequate equity to cover the SCHTF assistance amount.
    • If no triggering events take place, the SCHTF mortgage shall be considered satisfied after a period of ten (10) years.  

HOW TO APPLY

  • Contact a HUD-approved housing counseling agency to begin the process. The counselor will submit your application and income verification to CD&H on your behalf.
    • NeighborGood Partners (formerly known as NCALL Research) - (302) 855-1370
    • First State Community Action Agency - (302) 856-7761
    • Interfaith Community Housing of Delaware - (302) 652-3991 x100
    • Neighborhood House - (302) 658-5404 x118

DOCUMENTS