PHFA / Affordable Loans in West Chester & Chester County, PA

What Are PHFA Loan Programs?

The Pennsylvania Housing Finance Agency (PHFA) offers a suite of affordable homeownership programs for qualifying Pennsylvania residents. These include below-market interest rates, down payment assistance grants, and closing cost help — often combined with FHA, conventional, or VA loans to maximize savings.

Key PHFA Programs for Chester County Buyers

• HFA Preferred: Conventional loan with reduced PMI rates and potential down payment assistance
• Keystone Home Loan: Fixed-rate mortgage with income and purchase price limits
• Keystone Government Loan: For FHA, VA, and USDA borrowers who also want PHFA rate advantages
• PHFA Grant / K-FIT: Down payment and closing cost assistance — up to $10,000 in some scenarios
• HOMEstead: Forgivable second mortgage for down payment assistance

PHFA Income & Purchase Price Limits

PHFA programs have income limits that vary by county and household size. In Chester County, limits are generally favorable given the area's median income levels. Purchase price limits also apply. Alex checks eligibility for every client because many are surprised to find they qualify — even at higher income levels than they expect.

First-Time vs. Repeat Buyer

Some PHFA programs are limited to first-time buyers (defined as not owning a primary residence in the past 3 years), while others are available to repeat buyers purchasing in targeted areas. Alex will identify which programs apply to your situation.