First-time home buyer programs in Kansas and Overland Park

What KHRC offers statewide

KHRC is the state’s housing finance agency. Its fact sheet (updated January 2026) says it administers federal and state housing programs and is a self-supporting public corporation. KHRC “is not a direct provider of housing or services”: buyers apply through a participating lender.

The First Time Homebuyer (FTHB) program is funded by the federal HOME Investment Partnerships Program. According to KHRC:

• It helps with the down payment and closing costs through a forgivable soft second mortgage.
• Applicants must be first-time homebuyers or must not have owned a home for three years, with household income at or below 80% of the area median income.
• The buyer must invest at least 1% and at most 10% of the sale price from their own funds. A small gift is allowed, but the 1% must be the buyer’s own money.
• The loan is at 0% interest, for 15% or 20% of the purchase price. No monthly payments are required. If the buyer sells before 10 years, they owe the unused portion; after 10 years the loan is fully forgiven.
• There is no credit score requirement, but the buyer must obtain a first mortgage at an interest rate in line with the market.
• The property must be an existing home. A new-construction home qualifies only if the contract is signed after the certificate of occupancy is issued. KHRC says fixer-uppers work poorly, because the seller must complete repairs for the home to pass an inspection.
• HUD housing counseling and HUD homebuyer education are required, according to KHRC’s program page.

A worked example

This is an illustration, not a quote. A buyer purchases an existing home for $200,000 in a county where the program applies. A 15% loan is $30,000 and a 20% loan is $40,000. The buyer’s own investment is at least $2,000 (1%) and at most $20,000 (10%). If the buyer lives there for 10 years, the loan is forgiven.

Where it does not apply

KHRC’s fact sheet states: “First Time Homebuyer assistance cannot be used within Johnson County or the city limits of Kansas City, Lawrence, Topeka, or Wichita.” Its explanation is that major metro areas receive their own federal resources and run their own housing initiatives, which may or may not include homebuyer assistance.

So a buyer in Overland Park cannot use the KHRC loan. The income limits below are KHRC’s 2026 examples for a family of four, in counties where the program does apply:

Source: KHRC First Time Homebuyer fact sheet. KHRC publishes the full county table as a PDF on its program page.

What exists in Johnson County and Overland Park

Johnson County Housing Services. The department lists a Housing Authority (Housing Choice Voucher program), two home rehabilitation programs, a HOME development loan program for affordable housing and a HOME-ARP program. The page lists no homebuyer or down payment assistance program. KHRC’s own Homebuyer 101 page lists only “Johnson County Home Rehabilitation” for the county.

HOME Rehabilitation (for homeowners, not buyers). The county offers a 0% deferred payment loan for repairs to an owner-occupied home in Johnson County, forgiven 10% per year over 10 years. The listed conditions include:

Source: Johnson County Housing Services. Applications go through the waitlist: 913-715-6600 or homerepair@jocogov.org.

This program helps people who already own. It matters to a buyer mostly later, if the home needs a health, safety or accessibility repair.

City of Overland Park. The city pages we read list neighborhood, building and code resources, but we found no down payment assistance program for buyers. Call City Hall at 913-895-6000 to ask whether anything has been added.

Programs that are closed

The Kansas Homeowner Assistance Fund paid past-due mortgage, property tax and utility costs for homeowners with income up to 150% of area median income. KHRC says it stopped accepting applications on December 15, 2023.

How to apply and where to start

1. Check the county first. Outside the excluded areas, start at KHRC’s “Start Your Homebuying Journey” form, then pick a lender from KHRC’s participating lender list. KHRC’s program contact is FTHB@kshousingcorp.org or 785-217-2044.
2. Compare first mortgages. KHRC advises asking several lenders for a Loan Estimate and comparing both rate and fees.
3. Complete HUD-approved counseling if the program requires it.
4. In Overland Park, compare federal loan options such as FHA loans and VA loans, and read our home buying steps.

See also closing costs in Kansas, home prices in Kansas and Overland Park and our page on buying a home in Overland Park.