Down Payment Assistance
Down Payment Assistance in Alaska (2026)
Alaska homebuyers can get down payment assistance through the Alaska Housing Finance Corporation (AHFC); the amount is set as a share of the loan or price rather than a single dollar figure.
Limits
Set by area — see the agency
income and price limits are set by the agency; see its program pageNew to this? Quick definitions
- DPA —
- down payment assistance. Money — as a grant or loan — that helps cover the upfront cash you'd otherwise need to buy a home.
- Grant vs. loan —
- a grant is money you never repay. A loan (forgivable, deferred, or repayable) can come with strings attached, even at 0% interest.
- Forgivable loan —
- the balance is wiped out over time if you stay in the home — but it's still a real loan until then, and selling or refinancing early can trigger repayment.
- Deferred loan (silent second) —
- a second loan on your home with no monthly payments, often called a "silent second" because you won't notice it until you sell, refinance, or pay off your first mortgage — that's when it comes due.
- AMI —
- Area Median Income. The midpoint household income for your county, used to set eligibility — programs list limits as a percentage of AMI (e.g. 80% of AMI).
- Income limit —
- the maximum household income you can earn and still qualify, based on where you live and how many people are in your household.
- Purchase price cap —
- the maximum home price a program will help you buy — homes priced above the cap don't qualify, even if your income does.
Do you likely qualify?
Income and purchase-price limits for the AHELP down payment assistance (nonprofit partners) are set by county and household size — find your county in the programme terms below.
Primary Program: AHELP down payment assistance (nonprofit partners)
0% interest, no monthly payments. Repaid when you sell, refinance, or pay off the first mortgage — this is sometimes called a "silent second" because you won't notice it until then.
- Administering Agency
- Alaska Housing Finance Corporation (AHFC)
How Down Payment Assistance Works
Most state DPA programs are layered on top of a first mortgage — you apply through an approved lender who originates both the primary loan and the DPA second lien at the same closing. The DPA funds reduce the cash you need upfront.
Grants
Free money — no repayment ever. Typically the smallest amounts but highest value.
Forgivable Loans
Balance forgiven after a set period (usually 3–15 years) if you stay in the home. Selling early triggers repayment.
Deferred Loans
No monthly payments. Balance due when you sell, refinance, or pay off your mortgage.
Mistakes first-time buyers make
- Assuming you don't qualify without actually checking the income limit for your county and household size.
- Treating a "forgivable" loan as free money — it can still come due in full if you sell or refinance before the forgiveness term ends.
- Stacking programs incorrectly, or assuming state and local programs combine automatically without confirming with your lender.
- Skipping the required homebuyer education course, which can delay or disqualify your application at closing.
Pro tips
- Talk to a HUD-approved housing counselor first — it's free and they know every program you may qualify for, not just the state's.
- Apply for mortgage pre-approval alongside your DPA program application; most DPA funds are disbursed through an approved lender at the same closing.
- Check local city and county programs in addition to the state program above — many are stackable and cover different costs.
- Ask exactly what triggers repayment on any loan-based assistance before you sign, not after.
Down Payment Calculator
Down Payment Planner
Alaska median pre-loaded
Your Savings Plan
Timeline
11.8 yrs
saving $500/mo
No PMI at 20% down
20% or more avoids private mortgage insurance entirely.
Estimate only — does not include investment returns on savings.
Full Calculator →What the Assistance Does on a $352,000 Alaska Home
A worked example at Alaska's median home price (Zillow Home Value Index, April 2026), using the same payment model as the Alaska salary page: a 7.03% 30-year fixed rate (Freddie Mac PMMS, week of September 24, 2026), PMI from the National MI rate card on the 10%-down case, the state's effective property-tax rate and homeowners premium, and principal, interest, tax and insurance held to 28% of gross income.
Whether a household under the income limit can carry it
Carrying the median home takes $97,543 a year with 20% down, or $112,800 with 10% down and PMI. The first-mortgage income limit at Alaska Housing Finance Corporation (AHFC) is $120,300 (First Home Limited, non-targeted, households of 1-2, 'All Other Areas' ($138,345 for 3+); Anchorage $135,100 (1-2) / $155,365 (3+); effective 06/01/2026). (Alaska Housing Finance Corporation, retrieved 2026-09-14) A household at that limit clears both figures, so the median home sits inside the programme's range: incomes from $112,800 up to $120,300 can carry it with 10% down. At exactly $120,300, the same model supports a price of about $437,589, $85,589 above the median.
The First Mortgage and Closing Taxes This Assistance Has to Cover in Alaska
Transfer tax
Alaska has no state real estate transfer tax, and state law now prohibits boroughs and cities from taxing transfers of real property. (Alaska State Legislature, retrieved 2026-09-14)
None permitted: AS 29.45.650(l) bars boroughs and AS 29.45.700(h) bars cities from levying a sales or use tax on the transfer of real property. (Alaska State Legislature, retrieved 2026-09-14)
Recording fees
$20.00 first page or fraction thereof; $5.00 each additional page (same instrument); $2.00 per name indexed over six (statewide DNR Recorder's Office, AS 40.17.030(a)(10); 11 AAC 05.200) (Alaska Department of Natural Resources, Recorder's Office, retrieved 2026-09-14)
Alaska Housing Finance Corporation (AHFC): First Home Limited (Tax-Exempt Program) first-time homebuyer loan
First Home Limited (Tax-Exempt Program) first-time homebuyer loan is the first-mortgage programme run by Alaska Housing Finance Corporation (AHFC). (Alaska Housing Finance Corporation, retrieved 2026-09-14) Its purchase-price limit is $566,354 (First Home Limited, non-targeted areas, new or existing single family; applies to Anchorage and most areas; varies by area $566,354–$624,491 (Juneau highest), effective 06/01/2026), so a $352,000 home is within it. (Alaska Housing Finance Corporation, retrieved 2026-09-14) The income limit is $120,300 (First Home Limited, non-targeted, households of 1-2, 'All Other Areas' ($138,345 for 3+); Anchorage $135,100 (1-2) / $155,365 (3+); effective 06/01/2026). (Alaska Housing Finance Corporation, retrieved 2026-09-14) Minimum credit score: 620. (Alaska Housing Finance Corporation, retrieved 2026-09-14)
Frequently Asked Questions
What down payment assistance is available in Alaska?
Alaska's primary DPA program is the AHELP down payment assistance (nonprofit partners), administered by the Alaska Housing Finance Corporation (AHFC). It is structured as a deferred loan. 0% interest, no monthly payments. Repaid when you sell, refinance, or pay off the first mortgage — this is sometimes called a "silent second" because you won't notice it until then.
Do I have to repay Alaska down payment assistance?
0% interest, no monthly payments. Repaid when you sell, refinance, or pay off the first mortgage — this is sometimes called a "silent second" because you won't notice it until then.
Can I combine Alaska DPA with other assistance programs?
Yes — Alaska's DPA programs can generally be combined ("stacked") with local city and county assistance programs, employer homebuyer benefits, and federal programs. Check with an approved lender or HUD-approved counselor to identify all programs you qualify for.
What are the income limits for Alaska down payment assistance?
The AHELP down payment assistance (nonprofit partners) does not publish its income limit as a single percentage of AMI; limits are set in dollars by county and household size. Check the Alaska Housing Finance Corporation (AHFC) website for current limits in your area.
Related Calculators
Home Affordability Calculator
See how much home you can afford in Alaska
PMI Calculator
Estimate private mortgage insurance on lower down payments
Alaska First-Time Buyer Programs
State mortgage programs with low rates and low down payments
Mortgage Payments by Price
See full PITI costs for 8 home prices in Alaska, from $200K to $750K
What to do next
Down payment assistance is one piece of the puzzle. Here's where to go depending on where you are in the process.
Not sure if you qualify?
Check the Alaska Housing Finance Corporation (AHFC) income limits above before ruling yourself out — many buyers qualify without realizing it.
Want the full true cost picture?
DPA covers the down payment, not your ongoing costs. See the true cost of owning a home in Alaska for the full monthly picture.
Ready to apply?
Most DPA funds are disbursed through an approved lender at closing — get pre-approved and ask specifically about AHELP down payment assistance (nonprofit partners) when you apply.