What’s New in First-Time Home Buyer Programs for 2025

By Natalia Wolting • Dec 31, 2024

Learn what's new in first-time homebuyers program in 2025

As the housing market evolves, first-time homebuyer programs are adapting to meet the needs of a changing workforce and economic landscape. For remote workers and individuals considering relocation, 2025 brings exciting updates and opportunities to make homeownership more accessible and affordable. Here’s a comprehensive guide to the latest developments in first-time homebuyer programs and how they can help you take the first step toward owning a home.

Key Changes in First-Time Homebuyer Programs

In 2025, policymakers and housing organizations are rolling out enhancements to address affordability challenges, expand access and cater to the unique needs of remote workers.

1. Expanded Down Payment Assistance Programs

Saving for a down payment remains a significant hurdle for many first-time buyers. In response, down payment assistance (DPA) programs have increased their offerings:

Higher Grant Limits - Many state-level DPA programs now provide grants of up to $15,000 to $20,000, easing the burden on first-time buyers.
Broader Eligibility - Income thresholds have been adjusted to include middle-income earners, making these programs accessible to remote workers with diverse income levels.
Employer Partnerships - Employers are teaming up with housing authorities to offer down payment assistance, particularly for remote workers relocating to lower-cost areas.

2. Federal Tax Incentives

New federal tax initiatives for 2025 aim to make homeownership more affordable:

Revived First-Time Homebuyer Tax Credit - Eligible buyers can claim up to $15,000 in tax credits, reducing the overall cost of homeownership.
First-Time Homebuyer Savings Accounts - These accounts allow individuals to save for a home with tax-free earnings, providing an incentive for long-term planning.
Relocation Deductions - Remote workers relocating to purchase their first home in a more affordable area may now deduct certain moving expenses, subject to IRS guidelines.

3. Specialized Loan Programs for Remote Workers

Lenders are recognizing the unique needs of remote workers and introducing tailored loan programs:

Non-Traditional Income Verification – More financial companies are beginning to accept non-traditional income streams, making it easier for freelancers and gig workers to qualify.
Relocation Incentives: Low-interest loans and grants are being offered for buyers moving to opportunity zones and rural areas.
Green Loans: Remote workers purchasing energy-efficient homes can access reduced rates and additional funding for eco-friendly upgrades.

Spotlight on Relocation Incentives

Communities and cities are introducing targeted incentives to attract remote workers and first-time homebuyers:

MakeMyMove’s Relocation Assistance: MakeMyMove connects remote workers with communities offering financial incentives to relocate. Many of these programs include homebuyer grants and community support, making relocation seamless. Learn more about MakeMyMove relocation incentives here.
Tulsa Remote Program: This program offers $10,000 in grants to remote workers who relocate to Tulsa, Oklahoma, plus access to affordable housing and a vibrant community.

MakeMyMove and First-Time Homeownership

MakeMyMove has been instrumental in connecting remote workers with communities eager to attract new residents. By offering detailed housing guides, financial incentives and community insights, MakeMyMove helps bridge the gap between remote work flexibility and affordable homeownership. Visit MakeMyMove’s housing resources for tools and tips to plan your move and explore the best homebuyer programs in your target areas.

Learn about the MakeMyMove process – beginning to end.

How It Works

State-Specific Programs to Watch in 2025

Many states are launching targeted initiatives to attract first-time homebuyers. These incentives often align with remote workers’ desires for affordable living and a better quality of life.

Indiana Housing & Community Development Authority - Down payment assistance, low-interest rate loans and tax credits are available.
Kentucky Housing Corporation - The Regular Down Payment Assistance Program is available to all KHC first mortgage loan recipients. Homebuyers must have a 620 credit score or higher.
Vermont Housing Grants: The Vermont Housing and Conservation Board provides up to $50,000 or 20% of the purchase price for single-family homes.

Enhanced Educational Resources

A lack of knowledge often prevents potential buyers from entering the market. Recognizing this, many programs are doubling down on education in 2025.

Educational Updates

Virtual Workshops - First-time buyers can attend free virtual workshops to learn about budgeting, mortgage options and navigating the buying process.
Online Portals - New online platforms, such as HUD’s revamped housing assistance site, offer personalized guidance, calculators and eligibility tools.
One-on-One Advising - Many programs now include access to housing counselors who specialize in working with remote workers and those relocating to new areas.

Tips for Remote Workers Considering Relocation

For remote workers, the flexibility to live anywhere opens up exciting possibilities for homeownership. Here are some tips to make the most of these new programs:

1. Research Local Incentives - Look into state and local programs that offer relocation grants, tax breaks, or down payment assistance.

2. Leverage Employer Benefits - Check if your company offers housing assistance or relocation benefits.

3. Work with a Specialist - Partner with a real estate agent or mortgage advisor experienced in first-time buyer programs and remote worker needs.

4. Prioritize Affordability - Focus on areas where your budget stretches further and consider communities with additional incentives.

5. Plan Ahead - Take advantage of savings programs or tax credits to prepare for future home purchases.

The Path to Homeownership in 2025

With new and updated programs in 2025, the path to homeownership has never been more accessible. Whether you’re a remote worker looking for a change or a first-time buyer ready to take the plunge, these initiatives provide the financial and educational support needed to succeed. Start exploring your options today and let MakeMyMove be your guide to finding the perfect home and community.

About MakeMyMove

Remote work has freed millions of Americans to live where they want, and many are making the move to places that better match their lifestyle. In turn, cities and towns across the country are offering incentives like cash, perks and programming to remote workers who move and work from their communities. At MakeMyMove, you can explore all the places, get personalized help to find the one that’s right for you, connect with locals, and access support to make your move a piece of cake.