New York first-time home buyer programs: grants and loans

New York first-time home buyer programs start with SONYMA, the State of New York Mortgage Agency, part of the state housing agency Homes and Community Renewal (HCR). SONYMA offers fixed-rate loans and down payment loans through participating lenders, with income and price limits that vary by county. Cities, counties and federal programs can be added on top.

Looking at homes now? See the New York City listings we track, or all New York listings, with prices, income limits and deadlines.

Who runs first-time buyer programs in New York?

Three layers share the work.

• The state. HCR runs SONYMA. It also funds the Affordable Housing Corporation, which gives grants to nonprofits and local governments. You apply for that help through a local organization, not the state.
• Cities, counties and nonprofits. Rochester, Buffalo and several counties run their own down payment help. Amounts and rules differ.
• Federal loans. Loans backed by the Federal Housing Administration (FHA), Veterans Affairs (VA) and the Department of Agriculture (USDA) come from private lenders.

SONYMA does not take loan applications itself. You apply through a participating lender, a bank, credit union or mortgage company approved for SONYMA loans.

What does SONYMA offer?

SONYMA's main loans are 30-year mortgages with a fixed rate, which means the interest rate never changes. HCR says funds are limited and go first come, first served.

If you sell or refinance within the first 10 years, you may owe part of either down payment loan back. HCR also lists loans for veterans, recent college graduates, home repairs and energy-efficient new homes. Rates change often, so this guide gives none. SONYMA posts them on its current rates page.

Area median income, in the table above and below, is the middle income in your area. Half of households earn more and half earn less.

What are the 2026 income and price limits?

SONYMA sets limits by county. These apply to reservations accepted July 6, 2026 and until further notice, for homes outside target areas. The first income figure is for one or two people, the second for three or more.

Other counties differ, even close neighbors. The full lists are on the state's Achieving the Dream and Low Interest Rate pages.

A worked example. One person earning $95,000 in Erie County is over the Achieving the Dream limit of $89,520 but under the Low Interest Rate limit of $111,900. A family of three earning the same amount is under both limits. So the same pay can qualify for one loan and not the other.

The Down Payment Assistance Loan Plus has lower limits. For Erie, Monroe and Onondaga they are $67,140 for one or two people and $77,210 for three or more. Those figures are 60% of area median income.

Who counts as a first-time buyer, and do you need a class?

HCR says SONYMA borrowers must be first-time buyers, with two exceptions. Eligible military veterans and buyers in a federally designated target area do not have to be. In a target area the income limits are broader and the price limits higher. Use SONYMA's Target Area Look Up Tool, or call 1-800-382-4663, to check an address.

You must live in the home. HCR looks for two years of steady income, a record of paying bills on time and cash for the down payment (the money you pay up front) and closing costs (the fees due when you buy). Every applicant completes a homebuyer education course. For the larger down payment loan, counseling from an agency approved by HUD, the federal housing department, is preferred, and HCR points to the HomeSmartNY website to find a counselor.

How do you apply for a SONYMA loan?

1. Take the class. Find a nonprofit counselor through HomeSmartNY.
2. Gather documents. Lenders ask for recent pay stubs, your two latest bank statements, a list of debts, your rental history and three years of tax returns.
3. Get pre-qualified. That means a lender estimates how much you can borrow. Pick a participating lender. Ask whether it offers the down payment loan, because not all do.
4. Find a home and sign a contract. HCR suggests hiring your own real estate attorney.
5. Lock your rate. This holds your interest rate for a set time. Your lender updates the application and registers the loan with SONYMA. Its review adds about a week.

What do cities and counties add?

• Rochester. The Home Purchase Assistance Program Grant gives up to $8,000 toward closing costs. Your income must be under 120% of HUD's median family income, which is the middle income for families in the area. You put in $1,500 of your own money and you live there five years. Get your eligibility paperwork before you make an offer.
• Buffalo. The Down Payment and Closing Cost Assistance Program gives up to $15,000 for a one- or two-family home. You must be a first-time buyer who has not owned a home in three years, with low to moderate income. It can pay up to half of the down payment you need.
• Federal Home Loan Bank of New York. Its Homebuyer Dream Program gives grants of up to $30,000 through member banks to first-time buyers earning up to 80% of area median income. A Plus version covers 80% to 120%. The 2026 rounds stay open through November 27, 2026, but money runs out, so ask your lender early.
• Westchester and Long Island. Nonprofits such as Westchester Residential Opportunities and the Long Island Housing Partnership run counseling and down payment programs. Their rounds open and close, so check before you plan around them.

How do the New York City programs differ?

New York City has its own set, which this guide only names. The city housing department runs the HomeFirst Down Payment Assistance Program, with up to $100,000 for a home in the five boroughs, and the Housing Connect lottery site. SONYMA loans also work in the five boroughs, at the limits in the table above. Compare each program's income cap and class rule before you choose.

Which federal loans can you use?

• FHA. Loans from private lenders insured by the Federal Housing Administration. Down payments can be as low as 3.5%, and credit rules are looser than most conventional loans. Mortgage insurance is required.
• VA. For veterans, service members and their survivors. The Department of Veterans Affairs says nearly 90% of its backed loans have no down payment.
• USDA. For homes in eligible rural areas only. Household income cannot exceed 115% of median household income, and the loan can cover 100% of the price. Check an address on the Department of Agriculture's eligibility site.

HUD's New York page lists these routes and how to find a housing counselor.

Can you buy a home through a lottery in New York?

Yes, in some places. NYC Housing Connect lists homeownership opportunities in the five boroughs, and the city says all of its Mitchell-Lama lotteries now run there. Mitchell-Lama is a New York program for middle-income co-ops and rentals. In Westchester County, a nonprofit runs lotteries and waitlists for below-market condos and townhomes. Our guide to the NYC housing lottery covers the Housing Connect steps. For a wider look at first-time buyer help, see our guide to first-time home buyer programs.

What do we list in New York right now?

As of October 5, 2026, we list 168 open New York listings: 155 rentals and 13 homes for sale. None of the 13 is in the five boroughs. Eleven are in Westchester and the Hudson Valley, one is on Long Island and one is in Albany. By how you apply: 1 lottery, 9 waitlists and 3 first come, first served.

Our qualify check shows which of these homes fit your household. You can also browse open listings. The listings we track are not every sale in the state, so also ask SONYMA lenders and your county.