Kansas First-Time Home Buyer Programs 2026
Kansas offers a forgivable second mortgage worth 15% or 20% of the purchase price — with one significant catch: it cannot be used in the state’s largest metro areas.
Who qualifies as a first-time buyer in Kansas
The Kansas Housing Resources Corporation uses a three-year test rather than a literal first purchase. If you have not owned a home in the past three years, you qualify as a first-time buyer for program purposes even if you owned one before that.
| Requirement | Standard |
|---|---|
| Ownership history | First-time buyer, or no home ownership in the past three years |
| Household income | At or below 80% of area median income |
| Your own funds | At least 1% and no more than 10% of the sale price |
| First mortgage | Through a KHRC participating lender |
| First mortgage terms | 30-year fixed rate; total debt ratio 45% or less |
| Purchase price | Must be at or below KHRC’s maximum purchase price, updated annually |
| Counseling and education | HUD pre-purchase counseling and homebuyer education required |
| Assets | Non-retirement assets of $10,000 or more are subject to a spend-down requirement |
| Occupancy | The home must be your residence |
Veterans should compare this against a VA loan before committing. VA financing requires no down payment at all with full entitlement, which may outperform a forgivable second depending on the purchase. See the Kansas VA loan guide.
The KHRC First Time Homebuyer Program
The program is funded through the federal HOME Investment Partnerships Program and delivered as a forgivable soft second mortgage. It is not a cash grant and it is not a repayable loan in the ordinary sense.
| Term | Detail |
|---|---|
| Assistance amount | Up to 20% (income below 50% AMI) or up to 15% (51%–80% AMI) of the sales price, maximum $40,000 |
| Interest rate | 0% |
| Monthly payment | None |
| Forgiveness | Fully forgiven after 10 years in the home |
| If you leave early | Half the assistance is forgiven gradually over 5 or 10 years; the other half is repaid in full if you sell or refinance within 10 years |
| Applies to | Down payment and closing costs |
Assistance is capped at $40,000. Households with income below 50% of area median income can receive up to 20% of the sales price; households between 51% and 80% can receive up to 15% (KHRC program summary).
Where the assistance cannot be used
This is the single most important thing to establish before you plan around this program.
KHRC First Time Homebuyer assistance cannot be used in Johnson County, or within the city limits of Kansas City, Lawrence, Topeka or Wichita.
The reason is structural rather than arbitrary. Those areas receive their own federal housing allocations directly and administer their own homebuyer assistance, so KHRC’s funds are directed to the parts of the state outside those entitlement areas.
| Location | KHRC assistance | Where to look instead |
|---|---|---|
| Johnson County | Not available | County and city housing programs |
| Kansas City city limits | Not available | City housing department |
| Lawrence city limits | Not available | City housing department |
| Topeka city limits | Not available | City housing department |
| Wichita city limits | Not available | City housing department |
| Everywhere else in Kansas | Available | KHRC participating lender |
Note the distinction between county and city. The restriction names Johnson County as a whole, but for Kansas City, Lawrence, Topeka and Wichita it is the city limits specifically — so a property in Sedgwick County outside the Wichita city limits is treated differently from one inside them. Confirm the exact address with a KHRC participating lender.
Income limits and your own contribution
Household income must be at or below 80% of area median income, which is set county by county. KHRC publishes the full county table; these are the examples it gives for a family of four in 2026.
| County | Maximum income, family of four |
|---|---|
| Allen County | $67,300 |
| Sedgwick County | $75,050 |
| Leavenworth County | $89,100 |
Limits vary by county and household size. Check your own county against the current table at KHRC.
You must also put in between 1% and 10% of the sale price from your own funds. A small gift toward the purchase is permitted, but the 1% minimum has to be yours.
KHRC First Time Homebuyer Eligibility Checklist
Every condition below has to be true at the same time. Buyers most often fall out on the last two — the location rule and the own-funds rule — because neither is obvious until a lender walks through the file.
- First-time buyer status — You are a first-time homebuyer, or you have not owned a home in the past three years.
- Income — Household income at or below 80% of the area median income for your county.
- Your own funds — At least 1% and no more than 10% of the sale price has to come from your own money. Gifts are allowed toward the purchase, but that first 1% must be yours.
- Credit — KHRC sets no credit score requirement, but you have to qualify for a first mortgage at an interest rate in line with the current market.
- Location — The property must sit outside Johnson County and outside the city limits of Kansas City, Lawrence, Topeka and Wichita.
- Staying put — The assistance is a 0% interest loan with no monthly payment, forgiven in full at ten years. Sell or move out earlier and you owe the unused portion back.
Step by step
| Step | What happens |
|---|---|
| 1. Check the location | Confirm the address is outside Johnson County and the four excluded city limits |
| 2. Check income | Compare household income against the 80% AMI limit for that county |
| 3. Find a participating lender | KHRC publishes a list of lenders and their service areas |
| 4. Get pre-approved | Qualify for the first mortgage; the assistance layers on top |
| 5. Shop within budget | Existing properties are eligible; new construction only after a certificate of occupancy |
| 6. Close and stay | Remain in the home 10 years and the second mortgage is forgiven in full |
