Buying your first home in Mount Airy or nearby Roxborough and East Falls can feel exciting and a little overwhelming. You might be wondering how to cover the down payment, which programs you qualify for, and where to start. You’re not alone, and the good news is there are real, local options to help. In this guide, you’ll learn about PHFA-backed solutions, how to match programs to neighborhood price points, a simple step-by-step roadmap from pre-approval to closing, an eligibility checklist, and tips for choosing the right lender. Let’s dive in.
Programs that help in NW Philly
Start with PHFA
The Pennsylvania Housing Finance Agency is the first stop for affordable first-mortgage products and down payment or closing cost assistance for eligible buyers. Visit the Pennsylvania Housing Finance Agency (PHFA) to review current loan options, assistance types, income and purchase-price limits for Philadelphia County, and the list of participating lenders. You typically must work with a PHFA-approved lender to use these programs.
Key items to verify on the PHFA site:
- Income and purchase-price limits for your household size
- Whether assistance is a forgivable grant, deferred 0 percent second mortgage, or repayable second
- Property eligibility rules and whether condos or 1- to 4-unit properties qualify
- Required homebuyer education and accepted providers
Pairing with common loan types
Many first-time buyers use PHFA alongside well-known loan products:
- FHA-insured loans for smaller down payments
- Conventional 3 percent down options such as Fannie Mae and Freddie Mac programs
- VA loans with 0 percent down for eligible veterans
- USDA programs are generally not used inside city neighborhoods
Rules vary by lender and product. Confirm details with a PHFA-participating lender and compare your options before you choose.
Homebuyer education
Many assistance programs require a certificate from an approved course. You can find counseling resources through HUD-approved housing counseling. Complete this early so it does not delay your closing.
Neighborhood fit: Mount Airy, Roxborough, East Falls
Mount Airy, Roxborough, and East Falls offer a mix of rowhomes, twins, single-family homes, and small condos. Your program choice often depends on property type, price point, and your down payment.
Use this quick method to align a program with a neighborhood:
- Check the current median sale price where you want to buy. Ask your agent for MLS data or review recent trends on major portals.
- Compare that price range to PHFA’s purchase-price limits for Philadelphia County.
- Estimate your down payment and see how PHFA assistance could cover part of it or your closing costs.
- Confirm the property type fits program rules. Many programs focus on primary residences and may allow 1- to 4-unit properties if you live in one unit. Condos may need to be on an approved list.
If you plan to consider a small multi-unit for owner-occupancy, discuss PHFA property rules and appraisal standards with your lender and agent before making an offer.
Roadmap: pre-approval to keys
Step 0: Prepare before applying (about 1–4 weeks)
- Check your credit and address any errors
- Lower high credit card balances to improve your profile
- Save for earnest money, down payment, closing costs, and any lender reserves
- Gather documents for pre-approval
Step 1: Get pre-approved with a PHFA lender (about 1–7 days)
- Choose a lender experienced with PHFA products
- Submit full documentation for a written pre-approval, not just a quick pre-qual
- Confirm the loan product and your estimated price range
Step 2: Shop with your agent (often 2–12 weeks)
- Target Mount Airy, Roxborough, and East Falls homes that fit your budget and program rules
- Verify property type eligibility and any seller concession limits with your lender
Step 3: Offer and contract (about 1–21 days)
- Align your offer with PHFA and lender timelines
- Include inspection contingencies and clarify who covers repairs or concessions
Step 4: Processing, appraisal, underwriting (about 2–6 weeks)
- Your lender orders the appraisal and reviews updated documents
- Respond quickly to paperwork requests to avoid delays
- Complete any required homebuyer education before closing
Step 5: Clear to close and signing (about 1–2 weeks)
- Review the Closing Disclosure at least three business days before closing
- Wire funds or bring a cashier’s check as instructed by your title company
- Sign, record the deed, and receive keys once everything is finalized
Common slowdowns to avoid:
- Waiting too long to finish homebuyer education
- Appraisal below contract price, which can require renegotiation
- Unexplained large bank deposits or missing documents
- Choosing a lender with limited PHFA experience
Typical timeline: from first lender contact to closing often ranges from about 45–75 days, depending on responsiveness and the transaction.
Eligibility checklist
Confirm these items early:
- You meet the program’s first-time buyer definition, often not owning a home in the last 3 years
- Your household income falls within Philadelphia County limits
- The home’s price fits the program’s purchase-price cap
- You plan to use the home as your primary residence
- Your credit score meets the minimum for the chosen loan
- You can document steady employment or acceptable alternatives
- You will complete required homebuyer education on time
- You can cover earnest money and any costs not covered by assistance
Documents to gather
- Government-issued photo ID and Social Security number
- Recent pay stubs, W-2s, and tax returns as applicable
- Two to three months of bank statements for all accounts
- Documents for other income, if used to qualify
- Student loan statements, if applicable
- List of debts like auto loans and credit cards
- Homebuyer education certificate if required
Choosing the right lender
Work with a PHFA-participating lender that regularly closes these loans in Philadelphia. Start with the PHFA participating lender directory and ask each lender about recent PHFA closings in the city.
Vetting checklist:
- Verify licensing and any complaints using NMLS Consumer Access
- Request a Loan Estimate for rate and fee comparison
- Confirm PHFA participation and familiarity with local appraisal panels and recording requirements
- Read reviews and the Better Business Bureau record, then prioritize documented PHFA experience
If you want a short, vetted list of local PHFA-experienced lenders, reach out and we will share options that fit your goals.
How Kershaw Real Estate helps
You deserve a local guide who knows these streets, price patterns, and the steps to put a PHFA-backed plan to work. With years of experience in Mount Airy, Roxborough, and East Falls, we help you nail down pre-approval, target properties that meet program rules, and navigate inspections, appraisals, and closing. If you are exploring an owner-occupied multi-unit, we can help you evaluate that path and coordinate contractors if needed.
From first tour to final signature, you get clear communication and practical problem solving. Ready to see your options and build a plan around your budget and timeline? Connect with Kershaw Real Estate to get started.
FAQs
Can PHFA assistance be used with FHA or conventional loans?
- Often yes, but rules and lender overlays vary. Confirm with a PHFA-participating lender and review details on the PHFA site.
Do I have to be a first-time buyer for PHFA?
- PHFA focuses on first-time buyers, and some options may help repeat buyers who meet income or need criteria. Check current definitions on the PHFA site.
Is homebuyer education required for assistance programs?
- Many PHFA and local assistance options require an approved education course. Find resources at HUD-approved housing counseling and complete it early.
How much cash do I need beyond assistance?
- You typically need earnest money, any part of the down payment not covered, remaining closing costs, and any required reserves. Your lender will estimate these.
How long does the buying process take?
- Pre-approval can take a few days with full documents. From accepted offer to closing is commonly 30–60 days, depending on the transaction and responsiveness.
