Where Do I Start?

The Pennsylvania Housing Finance Agency (PHFA or the Agency) offers home purchase loans to qualified borrowers throughout the Commonwealth. Competitive 30 year fixed interest rates, lower fees, and closing cost and downpayment assistance programs are just some of the many benefits of a PHFA mortgage.

First, determine if you're eligible for a PHFA home loan.

The Keystone Home Loan has income and purchase price limits, but you do not have to be a first-time homebuyer if you are buying a home in a ’Targeted’ area. These areas are indicated on the list of income and purchase price limits in Keystone Home Loan Program Income and Purchase Price Limits.

The Keystone Government Loan Program (K-Gov) provides first mortgage financing on loans insured by the Federal Housing Administration (FHA), guaranteed by Rural Development (RD) or guaranteed by the Department of Veterans' Affairs (VA).  Loans are underwritten using the guidelines of the respective federal agency providing the insurance/guaranty.  PHFA does not impose any additional income or purchase price limits and there is no first time homebuyer requirement.

If the buyer is employed by a PHFA Participating Employer, additional advantages are available to eligible borrowers through the Employer Assisted Housing Program.

Next, contact a participating lender or counseling agency.

If, after reading over the information at the links above, you think you might be eligible for a PHFA home loan, your next step would be to contact one of our participating lenders. PHFA does not handle the mortgage application process. Instead, we have a network of lenders and brokers throughout the state who will process and close your loan. We then buy the loan from them immediately following the loan closing (also referred to as Settlement). So, you would be making your mortgage payment directly to PHFA for the life of your loan. The lender will be able to determine if you are ready for a home loan, and if so, how much of a home you can afford.

PHFA also offers homebuyers the opportunity to receive homebuyer counseling and education through one of its approved counseling agencies. We strongly encourage you to seek the assistance of a counselor before you sign a sales agreement, especially if you are a first-time buyer. PHFA requires borrowers with a FICO credit score lower than 660 to complete a course prior to closing on their loan.

PHFA also has other homeownership programs.

Feel free to call the PHFA Homebuyers’ Hotline at 1.800.822.1174 if you have questions.