If you're buying your first home in Ohio, the Ohio Housing Finance Agency (OHFA) might be the best-kept secret in the state. I've helped dozens of Ohio buyers use OHFA programs to save thousands — and some walked into their new home with literally zero dollars out of pocket.
But here's the thing: OHFA programs are confusing. The income limits change by county, the rates fluctuate, and the down payment assistance rules have specific requirements that trip people up. I've seen buyers miss out on $10,000+ in free money simply because they didn't know the rules.
This guide breaks down everything you need to know about OHFA loans in 2026 — no jargon, no confusion, just the facts that matter.
What Is OHFA? (And Why Should You Care?)
The Ohio Housing Finance Agency is a state agency that helps Ohio residents buy homes through below-market interest rates and down payment assistance. They don't lend money directly — instead, they work with approved lenders throughout Ohio who offer OHFA-backed loans.
The bottom line: OHFA can save you $5,000-$15,000+ on your home purchase through lower rates and down payment assistance. If you qualify, there's no reason not to use it.
OHFA Programs at a Glance (2026)
| Program | What You Get | Key Requirement |
|---|---|---|
| OHFA First-Time Homebuyer | Below-market 30-year fixed rate | First-time buyer, income limits |
| Your Choice! DPA (2.5%) | 2.5% of purchase price — forgivable after 7 years | 640+ credit, OHFA first mortgage |
| Your Choice! DPA (5%) | 5% of purchase price — forgivable after 7 years | 640+ credit, slightly higher rate |
| Ohio Heroes | Extra 0.25% rate discount | Teachers, nurses, vets, police, fire |
| OHFA Grants for Grads | Extra 0.25% rate discount | Graduated college in last 48 months |
| Mortgage Tax Credit | Up to $2,000/year federal tax credit | Can combine with OHFA loan |
2026 OHFA Income Limits by Region
Income limits are based on your total household income (everyone on the loan) and vary by county. Here are the 2026 limits for Ohio's major metro areas:
| County/Metro Area | 1-2 Person Household | 3+ Person Household |
|---|---|---|
| Franklin (Columbus) | $113,300 | $130,295 |
| Cuyahoga (Cleveland) | $113,300 | $130,295 |
| Hamilton (Cincinnati) | $113,300 | $130,295 |
| Summit (Akron) | $97,000 | $111,550 |
| Montgomery (Dayton) | $97,000 | $111,550 |
| Lucas (Toledo) | $97,000 | $111,550 |
| Most Rural Counties | $97,000 | $111,550 |
Pro tip: These limits are higher than most people expect. A household earning $95,000/year in Columbus still qualifies. Don't assume you make too much — check the specific limits for your county at myohiohome.org.
The Down Payment Assistance: Your Choice! Program
This is the crown jewel of OHFA. The "Your Choice!" down payment assistance gives you either 2.5% or 5% of the purchase price as a second loan that's completely forgiven after 7 years. You read that right — free money if you stay in the home.
Real Example: $250,000 Home in Columbus
OHFA Eligibility Requirements (2026)
Not sure if you qualify? Get pre-approved with an OHFA-approved lender — they can check your eligibility in minutes and tell you exactly which programs you qualify for.
Find an OHFA-Approved Lender Near You
Not all lenders offer OHFA programs. Compare those who do and get the best rate.
Compare OHFA Lenders →Step-by-Step: How to Apply for an OHFA Loan
Ohio Heroes: Extra Savings for Qualifying Professions
If you work in one of these professions, you get an additional 0.25% rate discount on top of the already-below-market OHFA rate:
OHFA Mortgage Tax Credit (MTC)
This is a hidden gem most people miss. The Mortgage Tax Credit gives you a federal tax credit of up to 40% of your annual mortgage interest, capped at $2,000/year. That's money directly off your tax bill — not a deduction, a credit.
Over a 30-year mortgage, that's up to $60,000 in tax savings. And yes, you can combine it with your OHFA loan and DPA. It's like triple-stacking benefits.
Frequently Asked Questions
What are the OHFA income limits for 2026?
$97,000 for 1-2 person households in most counties; $113,300 in metro areas (Columbus, Cleveland, Cincinnati). 3+ person households get ~15% higher limits.
What is the current OHFA interest rate?
OHFA rates range from 5.50-6.25% in early 2026, typically 0.25-0.75% below market rates. Check myohiohome.org for current rates.
How much down payment assistance does OHFA offer?
2.5% or 5% of the purchase price as a forgivable loan (forgiven after 7 years). Can cover your entire down payment and some closing costs.
Do I have to be a first-time buyer?
Generally yes (no homeownership in past 3 years). Exceptions: veterans and buyers in target areas.
What credit score do I need?
640+ for conventional with DPA, 650+ for FHA with DPA. Without DPA, FHA minimum is 580.
Can I combine OHFA with FHA or VA loans?
Yes! OHFA works with FHA, VA, USDA, and conventional loans. FHA + OHFA DPA is the most popular combination.
Ready to Buy in Ohio?
Get pre-approved with an OHFA-approved lender and see how much you can save.
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