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1. Who is qualified to apply for the program?

• You are a full or part-time employee (minimum 20 hours per week) of Loudoun County government, Courts and Constitutional Officers, or Loudoun County Public Schools (LCPS) for a minimum of 12 months. (Temporary, seasonal or probationary employees are ineligible).
• You are either a first time homebuyer or you currently own property outside Loudoun County which will be sold prior to settlement. This would also include undeveloped land and inherited real estate, whether or not you actually occupied the property as your primary residence.
• You have a Gross Annual Household Income between $45,650 - $106,500.
• You have not been a resident of Loudoun County in the last 12 months. (First-time homebuyers are exempt from this requirement). Proof of residency will be required.
• You are able to contribute at least $1,000 of your own money towards down payment/closing costs.
• You have a contract to purchase a home within 45 to 60 days.

2. I’m qualified to apply! What are the terms of the loan?

The loan is secured by a second lien on the home for a 5-year term at 0.00%. The maximum loan amount is $10,000. As long as you maintain employment with Loudoun County or Loudoun County Public Schools (LCPS), keep the home as your primary residence and do not sell your home for a period of 5 years, the entire loan balance will be forgiven.

Should you decide to sell the home prior to the 5-year residency requirement being met, the remaining unforgiven loan balance must be paid in full through the loan proceeds.

If you discontinue employment with Loudoun County or LCPS, the remaining unforgiven amount will be converted to a loan at an interest rate of 3%. Monthly payments will be required until the balance has been paid in full.

3. Is this actually a grant or a loan?

The funds are a forgivable loan. Your loan balance will be forgiven at 20%, or $2,000 each year for five years as long as you comply with the terms and conditions of the program. You will receive a 1099-form annually from the county for the forgiven amount as it is considered taxable income.

4. I am also participating in the Affordable Dwelling Unit (ADU) Purchase program. Can I use the PEG program in conjunction with my home purchase?

I am also participating in the Affordable Dwelling Unit (ADU) Purchase program. Can I use the PEG program in conjunction with my home purchase?

5. I need more than the maximum $10,000 to cover all of my closing costs and down payment. I think I qualify for the DPCC program as well. Can I use both programs?

No - even if borrowers are eligible for both down payment assistance programs, only one may be used.

6. The checklist says that everyone over the age of 18 must submit proof of income. My spouse/child is not currently employed. What documentation will you need from them?

Occupants over 18 who do not receive income must submit a notarized statement certifying that they do not receive income from employment or any other source. You may request a Zero Income Certification form from the county if you prefer.

Full-time students may submit proof of enrollment such as a class schedule to fulfill this requirement.