How much down payment help can I get from SC Housing in 2026?
South Carolina buyers hear "$10,000 from SC Housing" and assume one program. It's actually four, with different amounts, terms, and windows. The Palmetto Heroes $10,000 round is closed for 2026 — but the year-round Homebuyer Program still offers $10,000 DPA, subject to current availability. Here's the real map, so you know which door is open for your file right now.
What is the SC Housing Homebuyer Program?
The SC Housing Homebuyer Program is the agency's year-round path: a 30-year fixed-rate first mortgage (FHA, VA, USDA, or conventional) with forgivable down payment assistance layered on. The DPA is a second lien at 0% interest with no monthly payment, on a 15-year (180-month) term. Stay in the home through the term and the lien is forgiven in full. Income and home price limits apply by county, and the current assistance amount is set in SC Housing's program handout, and we confirm it on your file the day we price it.
What is Palmetto Home Advantage, and how is it different?
Palmetto Home Advantage is SC Housing's flexible statewide option. Under the program guide effective June 1, 2026, assistance is available at 3% or 4% of the first mortgage amount (a 0%-assistance pricing option also exists), structured as a forgivable second mortgage with a 10-year term and zero percent interest. The statewide limit is $135,750 of qualifying income — borrower income, not household (per SC Housing's program page as of July 2026) — and the minimum credit score is 640. Two things make it different: move-up and repeat buyers are eligible alongside first-timers, and on a conventional first mortgage it comes with reduced mortgage insurance.
How do the 2026 SC Housing options compare?
| Program | Assistance | Structure | Who it fits |
|---|---|---|---|
| Homebuyer Program | Set by current handout | Forgivable second, 0%, no payment, forgiven at 15 years | First-time buyers within county income/price limits |
| Palmetto Home Advantage | 3% or 4% of first mortgage | Forgivable second, 0%, 10-year term | First-time AND repeat buyers, qualifying income to $135,750 (as of July 2026) |
| First-Generation | $10,000 | Forgivable second, 0%, 15-year term | Buyers whose parents never owned a home (FHA/VA/USDA) |
| County First | Up to $8,500 | Forgivable second | Buyers in designated counties |
| Palmetto Heroes | $10,000 | Forgivable second, annual allocation | Public servants + Veterans (2026 round closed April 13) |
Program parameters change. Verify current numbers with SC Housing or your loan officer. You use one DPA program per purchase.
Palmetto Heroes closed in April. Is it coming back?
It's an annual program. The 2026 round opened March 16 and its $10,000 assistance was fully reserved by April 13: 272 loans in four weeks. If you're a teacher, nurse, officer, firefighter, EMT, Veteran, or active-duty service member planning a 2027 purchase, the winning move is a file that's fully pre-approved before the next announcement. We wrote a full breakdown of that timing strategy in why Palmetto Heroes sells out in 28 days.
Which one should I use?
Run the math, not the headline. A repeat buyer earning $120,000 usually can't use the first-time-buyer path but fits Palmetto Home Advantage cleanly. A first-time buyer in a County First county might beat both. And sometimes the honest answer is none of them. DPA-backed first mortgages carry program pricing, so if you already have the down payment saved, we compare the no-assistance path side by side and tell you which one actually costs less. See all of our South Carolina loan programs or send your scenario below.
Common questions
Is there a first-generation homebuyer program in South Carolina?
Yes. SC Housing's First-Generation program offers $10,000 as a 15-year forgivable, 0% interest second mortgage, for buyers where neither the borrower, co-borrowers, nor their parents have owned a home. It pairs with FHA, VA, or USDA financing through a participating SC Housing lender.
Do SC Housing programs require me to be a first-time buyer?
The Homebuyer Program generally targets first-time buyers (with exceptions such as qualifying in targeted counties). Palmetto Home Advantage does not; move-up and repeat buyers are eligible.
What credit score do I need for SC Housing down payment assistance?
Palmetto Home Advantage requires a 640 minimum for all borrowers. Homebuyer Program minimums vary by loan type in the current handout, so verify your loan type's floor before you shop.
Do I ever repay the forgivable assistance?
People often call these "grants," but they're forgivable second mortgages, and you only repay if you leave early. Sell or refinance before the forgiveness term ends (15 years on the Homebuyer Program, 10 on Palmetto Home Advantage) and the remaining lien is due. Stay, and it's forgiven.
Can I combine two SC Housing programs on one purchase?
No. You use one DPA program per purchase. The right one depends on your income, county, credit, and whether you've owned before. We model the options side by side on your numbers.
How much down payment assistance can I get in South Carolina?
The flagship number: $10,000 through the SC Housing Homebuyer Program (per the program guide updated February 2026), structured as a 0%, no-payment second. The alternative: Palmetto Home Advantage at 3% or 4% of your loan amount. Separate city and county options may be available — Charleston and Greenville programs reach $20,000 — but you use one DPA per closing, and we match the right one to your file.
Is SC Housing down payment assistance a grant or a loan?
It's a forgivable loan, not a grant: a 0% second mortgage with no monthly payment, forgiven after 15 years in the home (Palmetto Home Advantage's version forgives after 10). Sell, refinance, or move out before then and the balance is repayable in full. That distinction is exactly why we walk the payoff math before you commit.
What first-time buyer programs does South Carolina have in 2026?
The roster: the SC Housing Homebuyer Program ($10,000 DPA), Palmetto Home Advantage (no first-time requirement, 3-4% assistance), County First (up to $8,500 in underserved counties), the annual Palmetto Heroes round ($10,000 for teachers, nurses, first responders, and Veterans — 2026 funds exhausted April 13), plus city programs in Charleston, Columbia, and Greenville. Figures verified July 2026.
How much down payment do I need for my first house in South Carolina?
As little as 0% (VA or USDA), 3% conventional, or 3.5% FHA. At South Carolina's median price near $397,600 (March 2026), FHA's 3.5% is roughly $13,900 — which the $10,000 SC Housing DPA covers most of. Cash-to-close near zero is a realistic structure for qualified buyers, and we show the exact number before you shop.
How Mike + Cornerstone help
I'm licensed in South Carolina. Before you write an offer, we run your real payment (taxes at the right assessment ratio, insurance, and any assistance you qualify for) so the number you budget is the number you pay. Talk to Mike first Get pre-approved
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