Guides / Down Payment Assistance / Louisiana

Down Payment Assistance in Louisiana

Louisiana does have a distinct state-level down payment assistance system, run by the Louisiana Housing Corporation (LHC), Louisiana's state housing finance agency — not a single program but several complementary ones that pair a first mortgage with grant or soft-second assistance. The two flagship offerings are the Mortgage Revenue Bond (MRB) Home and MRB Assisted programs (5-9% and 4% assistance respectively, both requiring 80% AMI income limits, a 640 minimum credit score, and first-time-buyer status), plus a Preferred Conventional option with a flat $99,000 income cap open to repeat buyers. Disaster-recovery parishes also have access to a much larger (up to $60,000) soft-second program funded through CDBG dollars. All figures were verified against LHC's official site (lhc.la.gov) and corroborated by multiple independent 2026 sources; exact percentages within MRB Home's 5-9% range and precise eligible-parish lists for the CDBG program require checking LHC's current program guideline PDFs or an approved participating lender, as these can be adjusted periodically.

Programs

MRB Home Program
Louisiana Housing Corporation (LHC), via Mortgage Revenue Bond financing and network of approved participating lenders
Amount: Below-market-rate 30-year fixed mortgage paired with an optional forgivable grant of 5% to 9% of the loan amount (exact percentage depends on loan amount) for down payment and closing costs — no interest, no repayment required if terms are met
Type: Grant (forgivable, paired with first mortgage) — not a repayable loan
Must be a first-time homebuyer (no home ownership in the past 3 years, unless purchasing in a designated targeted area); household income at or below 80% of Area Median Income (AMI); minimum credit score of 640; must complete a LHC-approved homebuyer education course; property must be in Louisiana and used as primary residence
MRB Assisted Program
Louisiana Housing Corporation (LHC)
Amount: Below-market-rate 30-year fixed mortgage plus a soft-second loan equal to 4% of the mortgage amount for down payment/closing costs, forgiven after 3 years if occupancy requirements are met
Type: Soft-second forgivable loan (0% interest, forgiven after 3-year residency requirement)
First-time homebuyer required (waived for targeted census tracts); income at or below 80% AMI generally (up to 140% AMI permitted in designated Targeted Census Tracts); minimum credit score of 640; homebuyer education course required
LHC Preferred Conventional Program
Louisiana Housing Corporation (LHC), used with a conventional first mortgage
Amount: Assistance funds of up to 4% of the total purchase price, usable for down payment, closing costs, and/or prepaid items
Type: Grant/assistance funds paired with a conventional loan (higher LTV allowed, no upfront mortgage insurance premium)
Not restricted to first-time buyers; household income cannot exceed a flat $99,000 cap regardless of family size or parish; minimum credit score of 640; first-time buyers must complete homebuyer education
Pathways to Homeownership / Resilience Soft Second Mortgage Program
Louisiana Housing Corporation (LHC), funded via CDBG disaster-recovery allocations, limited to specific eligible parishes (varies by program — e.g., Allen, Acadia, Ascension among others)
Amount: Soft-second loan of up to 20% of purchase price (capped at $55,000) for down payment, plus up to $5,000 grant for closing costs — total assistance up to $60,000; 0% interest; fully forgiven after 10 years of occupancy (repayable only on early sale/refinance)
Type: Soft-second forgivable loan + closing cost grant
First-time homebuyer required; household income at or below 80% AMI; minimum credit score of 640; property must be located in an eligible hurricane/disaster-recovery parish (availability varies by specific parish and which of the two overlapping programs applies); homebuyer education required

Facts on this page reflect research current as of 2026-07-05. Programs, rates, and laws change — confirm current figures with the relevant state agency before relying on them.

Related Resources
Property Taxes in LouisianaTransfer Tax & Closing Costs in LouisianaBuyer-Agent Agreements in LouisianaSeller Disclosure Laws in LouisianaFind Agents in LouisianaDown Payment Calculator