Vermont’s VHFA builds around its low-rate MOVE loan, adds up to $10,000 in ASSIST down payment help, and layers on a $15,000 grant for first-generation buyers — plus a tax credit option bundled right into the loan.
This guide covers what is actually available to first-time buyers in Vermont in 2026 — the agency behind these programs, the loans and down payment help on offer, who qualifies, and how to apply. For the wider local picture, see our Vermont first-time home buyer guide.
The VHFA and its home loan programs
Vermont’s first-time buyer programs are run by the Vermont Housing Finance Agency (VHFA). Like most housing finance agencies, it does not lend directly — instead it offers below-market first mortgages, bundled with down payment help, through a network of approved local lenders. Its main first-mortgage options are:
- MOVE — the flagship loan with VHFA’s lowest rates, which pairs with ASSIST
- MOVE MCC — a MOVE loan bundled with a Mortgage Credit Certificate
- ADVANTAGE — higher income and price limits, with first-time status not required unless using assistance
Most of these can be built on top of an FHA, VA, or USDA loan, or a conventional loan, depending on the product you pick — and the real value comes when you pair one with the down payment assistance below.
Down payment assistance in Vermont
Down payment assistance is the heart of what VHFA offers, and Vermont gives buyers more than one way to get it. ASSIST provides a zero-interest deferred second, and first-generation buyers can add a sizable grant.
- ASSIST — deferred second at 0% interest (non-amortizing; repaid at sale/refinance/payoff), up to $10,000, paired with MOVE.
- First Generation Homebuyer Grant — grant (no repayment), $15,000 for buyers whose parents never owned, or with foster-care or parental-foreclosure history.
If those terms are unfamiliar, our national guide to down payment assistance explains exactly how grants, forgivable second mortgages, and deferred loans differ — and what each one means when you eventually sell or refinance.
How much help could you get?
On a $320,000 home in Vermont, ASSIST provides up to $10,000 as a zero-interest deferred second, repaid only when you sell or refinance. A first-generation buyer could add the $15,000 First Generation grant, which never has to be repaid — a combined $25,000 toward the purchase. Bundle in a MOVE MCC for annual tax savings too. Confirm current amounts and limits with VHFA.
Who qualifies in Vermont?
Every program sets its own rules, and they change periodically, but the common requirements in Vermont look like this:
- Income limits. VHFA income limits vary by program (MOVE is lower, ADVANTAGE the highest).
- First-time status. Most programs require first-time status; ADVANTAGE relaxes it unless using assistance, and ASSIST requires that you have never owned a home.
- Credit score. Minimums run from 640 to 680 depending on the loan type. Our guide to credit score requirements covers what moves the needle.
- Homebuyer education. Homebuyer education is required for at least one borrower, and when using assistance.
- Purchase price limits. VHFA purchase-price limits apply by program.
Vermont programs worth knowing about
Beyond the standard offerings, Vermont aims extra help at specific buyers and places. Watch for:
- First Generation Homebuyer Grant — $15,000 for first-generation buyers
- MOVE MCC — a tax-credit option bundled with the MOVE loan
- ASSIST — note it limits borrowers to under $20,000 in liquid assets
Mortgage Credit Certificates in Vermont
Vermont offers a Mortgage Credit Certificate through its MOVE MCC option, providing an annual federal income-tax credit of up to $2,000. A Mortgage Credit Certificate is a federal tax credit worth a percentage of the mortgage interest you pay every year for the life of the loan, and where it is available it can usually be combined with the assistance above — putting money back in your pocket each tax season.
How to apply for Vermont assistance
- Set your budget first. Our home affordability guide helps you land on a realistic price range before you start shopping.
- Complete a homebuyer education course. Nearly every Vermont program requires one, and it is usually free and available online.
- Find a participating lender. Not every lender originates VHFA loans, so ask directly which VHFA programs a lender offers and have them run your numbers against a few.
- Get pre-approved and lock in the right program for your income, credit, and target home before you make an offer.
One important note: VHFA program funding and terms change from year to year, and some assistance rounds close when the money runs out. Always confirm current amounts and availability directly with VHFA before you count on a specific figure. Our first-time home buyer checklist keeps the rest of your process on track.
Vermont first-time buyer programs FAQ
Do I have to be a first-time buyer to get assistance in Vermont?
Most programs require first-time status; ADVANTAGE relaxes it unless using assistance, and ASSIST requires that you have never owned a home.
What credit score do I need for VHFA programs?
Minimums run from 640 to 680 depending on the loan type. Keep in mind a program’s own minimum can sit above the loan’s floor, so confirm the exact number with your lender.
Can I use Vermont assistance with an FHA, VA, or USDA loan?
Yes. VHFA assistance is built to layer on top of a first mortgage, and FHA, VA, and USDA loans are common partners because their own down payment requirements are already low. Your lender structures both pieces so they close together.
Can I combine Vermont’s ASSIST and First Generation programs?
Yes. A first-time buyer who is also a first-generation buyer can pair the up-to-$10,000 ASSIST deferred loan with the $15,000 First Generation grant, for up to $25,000 in help — and still bundle a MOVE MCC for annual tax savings. ASSIST does limit borrowers to under $20,000 in liquid assets. Confirm current amounts and eligibility with a VHFA-participating lender.
First-time home buyer grants in Vermont
Looking specifically for grant money? Our guide to first-time home buyer grants in Vermont covers which programs are true grants, which are forgivable, and the truth about the widely advertised federal grant.