Home-Buy the American Dream

The City of Madison Department of Planning, Community & Economic Development designed the Home-Buy the American Dream program to assist low- to-moderate income first-time homebuyers purchase a home in the City of Madison and/or Dane County.

Available Assistance
Under the Home-Buy the American Dream program, applicants receive down payment and closing costs assistance in the form of a deferred loan. The maximum assistance amount for the City of Madison is $20,000 and $5,000 for Dane County, with a minimum of $1,000 for both. The loan does not require repayment until the sale, cash-out refinance for reasons other than property improvements, the property is transferred, or is no longer the primary residence of the homebuyer.

Eligibility Requirements
To be eligible for the Home-Buy the American Dream program, all applicants must be first-time homebuyers who have not owned a home in the previous three years. Their annual household income must fall within the program’s set limits (shown below). They must qualify for a first mortgage with a 30-year term, and contribute 1% of the purchase price from their own funds.

Property Guidelines
Eligible property types include single-family homes, condos, or duplexes that are located in the City of Madison or Dane County. The city of Madison will order a Housing Quality Standards (HQS) inspection for Madison properties only. If built prior to 1978, a Lead-Based Paint Inspection will also be ordered. For Dane County properties outside the City of Madison, the borrower must provide a copy of a private 3rd party inspection.

Income Limits
1-person household: $52,850
2-person household: $60,400
3-person household: $67,950
4-person household: $75,500
5-person household: $81,550
6-person household: $87,600
7-person household: $93,650
8-person household: $99,700
 
Note: All information mentioned above was accurate at the time of publication and may no longer be current - visit the program website for updated information.