Tell us the county, who is signing, and the address
Program and regulatory figures verified October 5, 2026. Details change; confirm your scenario with us.
The fastest way to a useful answer is the county, who will be on the loan, and the address if you have one.
What should I send?
County, who is going to be on the loan, approximate income for those people only, and the property address if you have one. That lets us check the First Step area row, Step Up's flat limit and the grant's AMI test in a single pass, rather than guessing which programme you meant.
If you have owned a home in the last three years, say so — it decides whether First Step is open to you at all, and a targeted address or veteran status can reopen it.
What comes back?
Which AHFA programme fits, the income row that applies, what the assistance comes to at your price, and — the part worth asking for — whether you should take the assistance at all.
That last one matters in Alabama more than in most states. The money is a ten-year second mortgage with a payment at your first mortgage's rate, it counts inside the 45% ratio, and AHFA says plainly you can decline it and bring your own down payment. Sometimes the right answer is First Step's below-market rate with no second at all.
If First Step is in play we will flag the commitment fee and the recapture exposure rather than leave you to find them.
Do you lend across all of Alabama?
Yes, statewide across all 67 counties, which all sit at the same $832,750 conforming loan limit. What varies is your First Step income row — from $89,500 in the 55 counties in the "All Other" row up to $115,100 in Huntsville — whether your address sits in a targeted census tract, and whether your income reaches down to the grant's 80% AMI threshold.
Step Up's $172,800 is the same in every one of them.
Frequently asked questions
How do I apply for Alabama down payment assistance?
Through an AHFA participating lender, because the assistance is a second mortgage reserved alongside an AHFA first mortgage. Homebuyer education must be completed before closing with a certificate dated within a year of reservation, and on First Step a commitment fee is wired to AHFA within 72 hours of reservation.Do you lend across all of Alabama?
Yes, statewide across all 67 counties, which all sit at the same $832,750 conforming loan limit. What varies is the First Step income row for your area, whether your address is in a targeted census tract, and whether your income qualifies for the Affordable Income Subsidy Grant.How quickly will someone respond?
Our team reviews every Alabama scenario and reaches out shortly, usually with the programme that fits, the income row that applies, and an honest read on whether taking the assistance second mortgage helps or hurts your file. If something is time sensitive, calling (480) 296-6513 is faster than the form.Mike Certo · NMLS #260555 · Cornerstone First Mortgage NMLS #173855 · Equal Housing Lender. Educational content about financing, not a loan commitment and not legal or tax advice. AHFA program terms, income limits and sales price limits are set by the Alabama Housing Finance Authority and change; figures here carry the date we verified them against AHFA's published documents. AHFA down payment assistance is an amortizing second mortgage with a monthly payment, not a grant. Federal recapture tax may apply on First Step bond loans; consult a tax advisor. Loans are subject to borrower and property qualification.