What is a MSHDA loan? What other down payment assistance options are out there?

Buying a house can be costly, there's no doubt about it. Not all of us are fortunate enough to have been able to save up $15,000+ to acquire our first home, but there are programs out there to help!

The most common of these programs being called a MSHDA loan. This loan is generally up to $7,500 applied toward your closing costs from the state. Some select areas, you could qualify for up to $10,000. This loan does NOT gain interest, and you do NOT make payments on it on top of your mortgage payment. Instead, you pay it off either when you refinance or sell the home. 
This program has helped many people be able to purchase a home, and it can help you too. The income limits are fairly loose, and the credit score requirement is only a 640, and this program only requires you to contribute 1% of the sales price of the property, whereas most loans require a minimum of at least 3.5%. 
While $7,500 doesn't cover ALL of the costs, it certainly eats into a nice chunk of it, but where do you get the rest from? 
Asking the sellers to pay some of your closing costs is also an option, and can be used in combination with the MSHDA loan. On a property that is selling for $200,000, if you ask the seller for 3% concessions (money they pay off the top of their proceeds for your closing costs) and you have MSHDA, that's $13,500 covered for you! Certainly a money saver. 
If you don't qualify for MSHDA, you can still get down payment assitance! Many lenders have different options to help fund the closing costs for you as well, and those programs are going to be different from lender to lender. 

Click here for the income limits per area, and to find out the funding available. The Targetted areas will offer $10,000, and the Non-targetted will offer $7,500.