South Carolina First-Time Home Buyer Programs 2026

By Grantsights12 min readUpdated Nov 3, 202617 official sourcesHow we checkCorrections

Quick Answer: South Carolina's state help comes from SC Housing, and all of its down payment help is forgivable, not a grant: a 0% second mortgage with no payments.

Full answer and how we checked it

The Homebuyer (bond) program's assistance is forgiven after 15 years, with a $450,000 price limit and county income limits effective June 1, 2026. Palmetto Home Advantage gives 3% or 4% of the loan amount, forgiven over 10 years, with no first-time rule. The $10,000 Palmetto Heroes program for public servants closed for 2026 on April 13. Locally, Richland County offers up to $24,500, forgiven after 5 or 10 years. See our national first-time home buyer grants guide for how South Carolina compares.

This guide is for: people buying a first home in South Carolina who want to know what SC Housing really offers in 2026, which counties have the higher limits, and what local help exists in Columbia and Charleston.

Data note: Grantsights checked SC Housing's homebuyer programs page (opens in a new tab), Homebuyer Program page (opens in a new tab), Palmetto Home Advantage page (opens in a new tab) and County First page, the 2026/2027 income and home price limits (effective for reservations on and after June 1, 2026), the program handout dated October 1, 2025, the Palmetto Home Advantage flyer dated October 1, 2026 and the agency's April 24, 2026 Palmetto Heroes release against Richland County's and the City of Charleston's homeownership pages, IRS Form 8828 instructions and U.S. Census Bureau QuickFacts on November 3, 2026.

In this guide (10 sections)

South Carolina Home Buyer Programs Compared (2026)
SC Housing Income and Home Price Limits by County (June 1, 2026)
How Far $10,000 Goes in South Carolina's Biggest Counties
Local Help in Columbia, Charleston, Greenville and Rock Hill
FHA, VA and USDA Loans in South Carolina
What SC Housing Doesn't Tell You on Its Program Pages
Common Mistakes and Red Flags for South Carolina Buyers
How to Apply for SC Housing Help, Step by Step
If SC Housing Funds Close or You're Denied
Sources

South Carolina Home Buyer Programs Compared (2026)

South Carolina buyers can look at 5 SC Housing products and 2 local programs in this guide. Every one of the SC Housing options is forgivable, which is better than most neighboring states, but only if you stay the full term.

South Carolina program	Run by	Type	Amount	Repayment terms	First-time buyer rule	Credit minimum	Funding status (as stated by agency)
Homebuyer Program (bond) with forgivable DPA	SC Housing	Forgivable loan, 0%	$10,000 in SC Housing's 2025-2026 matrix; current page gives no figure	No payments; forgiven if you occupy the home for the full 15-year term	No principal residence in 3 years (12 non-targeted counties); no home owned at closing (targeted counties)	640	"All funding is based on availability"; reserve through a lender
Palmetto Home Advantage	SC Housing (serviced by Lakeview)	Forgivable loan, 0%	0%, 3% or 4% of the loan amount	10-year term, no monthly payment	None	640	Not posted
County First	SC Housing	Forgivable loan, 0%	Same as Homebuyer Program	Same 15-year forgiveness	First-time or move-up, in 31 rural counties	640	Not posted
Made It Home!	SC Housing with participating builders	Forgivable loan, 0%	Up to $25,000	Forgiven after 10 years in the home	First-time buyers	Not stated on the page	Through participating builders; can't combine with other SC Housing DPA
Palmetto Heroes	SC Housing	Forgivable loan	$10,000	Forgivable (with a low fixed-rate first mortgage)	First-time buyers who are public servants	Not stated on the page	Closed for 2026 (ran March 16 to April 13, 2026)
Richland County Homeownership Assistance (RCHAP)	Richland County	Forgivable loan	Up to $24,500	Forgiven after 5 years (under $15,000) or 10 years ($15,000+); prorated repayment if you move	First-time or no ownership in 3 years	Not published	Monthly workshops listed through October 14, 2026; funding level not stated
Charleston Homeownership Initiative	City of Charleston	Affordable home sale with 90-year covenant	Below-market price, not cash	Resale restricted by covenant	No home owned in 3 years	Qualify for a first mortgage	Accepting applications for Juniper Townhomes

Sources: SC Housing program pages, 2026/2027 limits sheet (06.01.2026), program handout (10.01.2025), 2025-2026 program matrix (05.06.2025) and April 24, 2026 news release; Richland County Homeownership Assistance page; City of Charleston Homeownership Initiative page. All checked November 3, 2026.

The honest summary: SC Housing's assistance never needs a monthly payment, but "forgivable" here means "forgiven at the end." Sell in year 14 on the bond program and the full amount comes due.

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SC Housing Income and Home Price Limits by County (June 1, 2026)

SC Housing uses a single $450,000 home price limit on the Homebuyer (bond) program and income limits that change by county. According to the SC Housing 2026/2027 limits sheet, the figures took effect for reservations on and after June 1, 2026, and stay until HUD releases 2027 limits. Targeted counties get higher limits.

County (most populous first)	Targeted?	Income limit, 1-2 people	Income limit, 3+ people	Home price limit
Greenville	Non-targeted	$106,400	$122,360	$450,000
Charleston	Non-targeted	$117,500	$135,125	$450,000
Richland (Columbia)	Non-targeted	$95,800	$110,170	$450,000
Horry (Myrtle Beach)	Targeted	$114,960	$134,120	$450,000
Spartanburg	Non-targeted	$95,800	$110,170	$450,000
Lexington	Non-targeted	$95,800	$110,170	$450,000
York (Rock Hill)	Non-targeted	$117,400	$135,010	$450,000
Berkeley	Targeted	$141,000	$164,500	$450,000
Anderson	Non-targeted	$95,800	$110,170	$450,000
Dorchester	Targeted	$141,000	$164,500	$450,000
Palmetto Home Advantage (all counties)	n/a	$140,000 borrower income	$140,000 borrower income	No price limit

Source: SC Housing, "2026/2027 Income and Home Price Limits" (effective for reservations on and after 06.01.2026), linked from the Homebuyer Program page (opens in a new tab). Horry isn't named on the sheet, so it uses the "any county not listed" targeted limits. Counties appear in order of their July 1, 2025 Census Bureau population estimates.

The Berkeley and Dorchester figures stand out: a household of 3 near Summerville can earn up to $164,500, higher than neighboring Charleston County's $135,125.

How Far $10,000 Goes in South Carolina's Biggest Counties

Grantsights analysis of Census Bureau QuickFacts median home values (2020-2024 ACS) finds a $10,000 forgivable loan covers 3.9% of South Carolina's $259,000 median value, enough for a 3.5% FHA down payment with $935 left. It runs short in the Upstate and Lowcountry counties where prices are climbing fastest.

County	Median value of owner-occupied homes	$10,000 as share of median	3.5% FHA down payment	Left for closing costs (or short)
South Carolina (statewide)	$259,000	3.9%	$9,065	$935 left
Greenville	$299,000	3.3%	$10,465	$465 short
Richland	$242,800	4.1%	$8,498	$1,502 left
Charleston	$489,100	2.0%	$17,119	$7,119 short (median is over the $450,000 limit)
Horry	$287,700	3.5%	$10,070	$70 short
Spartanburg	$233,300	4.3%	$8,166	$1,834 left
York	$361,300	2.8%	$12,646	$2,646 short
Berkeley	$310,300	3.2%	$10,861	$861 short

Calculation: $10,000 (SC Housing 2025-2026 matrix amount for the bond program's forgivable DPA) divided by county median value; FHA minimum down payment of 3.5% from HUD's loans page (opens in a new tab). South Carolina medians are the 2020-2024 ACS values shown in Census Bureau QuickFacts.

Charleston is the outlier. The median home there is worth more than the bond program's $450,000 price limit, so many Charleston buyers end up on Palmetto Home Advantage, which has no price cap but a shorter 10-year forgiveness term.

Local Help in Columbia, Charleston, Greenville and Rock Hill

South Carolina's local programs are thin compared with North Carolina's or Georgia's, and Grantsights found posted terms for only 2 of them on official pages.

Richland County (Columbia area): up to $24,500

Richland County's Homeownership Assistance page (opens in a new tab) offers first-time buyers up to $24,500 for down payment, closing costs or principal reduction, for homes in unincorporated Richland County or the Town of Blythewood. It's a deferred, forgivable second mortgage funded by HUD:

Under $15,000 in assistance carries a 5-year lien; $15,000 or more carries 10 years. Move out early and you repay a prorated share.
2026 income limits: $51,750 for 1 person, $59,150 for 2, $66,550 for 3 and $73,900 for 4.
Purchase price limits: $228,000 for an existing home, $273,000 for new construction, and the home must be a single-family detached house built after 1978.
You start by attending a monthly workshop (capacity 75, no walk-ins) or by completing the county's application.

Note what's not covered: homes inside Columbia city limits. The City of Columbia's community development site lists a City Lender Program page, but it showed no terms when Grantsights checked.

Charleston: affordable homes, not cash

The City of Charleston's Homeownership Initiative (opens in a new tab) sells homes at affordable prices to households earning 50% to 120% of area median income who haven't owned a home in 3 years. It's not a down payment grant. The city keeps the homes affordable with a 90-year restrictive covenant, and 133 households have bought through it so far. The city is currently taking applications for the Juniper Townhomes in West Ashley through Neighborly, on a "first come, first qualified" basis.

Greenville and Rock Hill

Grantsights didn't find posted down payment amounts on the City of Greenville's or Rock Hill's websites for this guide. In both cities, SC Housing's statewide programs are the dependable starting point.

FHA, VA and USDA Loans in South Carolina

SC Housing's program handout lists 4 loan types under its Homebuyer Program, each with a 640 minimum score and a 30-year term.

FHA through SC Housing needs 3.5% down, with a maximum loan of 96.5% of the lesser of the price or appraised value. HUD's loans page (opens in a new tab) confirms the 3.5% FHA minimum.
VA through SC Housing allows 100% financing. The VA purchase loan page (opens in a new tab) says no down payment is needed if the price doesn't exceed the appraised value.
USDA through SC Housing also allows 100% financing on eligible rural addresses, which covers much of the state outside the metros. See our USDA housing grants guide for USDA's direct loans.
Conventional 97% loans need 3% down with reduced mortgage insurance.

The national first-time home buyer guide compares these loan types in more depth.

What SC Housing Doesn't Tell You on Its Program Pages

Grantsights compared SC Housing's web pages with its own PDFs and found 5 inconsistencies or gaps a buyer should raise with a lender.

The bond program's DPA amount isn't on the current page. The Homebuyer Program page describes the forgivable DPA's 15-year term but not its size. The $10,000 figure comes from SC Housing's 2025-2026 matrix dated May 6, 2025.
The Palmetto Home Advantage income limit doesn't match. The program web page says $135,750; the flyer dated October 1, 2026 and the 2026/2027 limits sheet say $140,000. If your income falls between them, get the lender's answer in writing.
More DPA can mean a higher rate. The Palmetto Home Advantage flyer says "different interest rates apply based on the DPA option," so the 4% option may cost you in monthly payment. Ask for quotes at 0%, 3% and 4%.
The MCC is winding down. The limits sheet labels the Mortgage Credit Certificate with "MCC ends June 30" and no new round, so don't plan on the tax credit.
Recapture isn't mentioned. The Homebuyer Program is bond-funded. According to IRS Form 8828 instructions (opens in a new tab), selling within 9 years of a bond-financed loan can trigger a recapture tax of up to 50% of the gain, depending on income in the year of sale. Many sellers owe nothing, but ask for the disclosure.

Common Mistakes and Red Flags for South Carolina Buyers

The most common South Carolina problems are 4 timing and fit errors.

Waiting for Palmetto Heroes without a backup. The 2026 round lasted 4 weeks, from March 16 to April 13. A common mistake is pausing a search for it; if you're a teacher, nurse or first responder, get pre-approved for the regular program too.
Missing the targeted-county rule. In targeted counties you don't have to be a first-time buyer, but you can't own any home at closing. Sell first or close on the same day.
Underestimating Charleston prices. The county median exceeds the $450,000 limit, so many listings won't fit the bond program at all.
Paying someone for "grant access." A red flag is any website or caller charging a fee for a South Carolina home buyer grant. The FTC's government grant scams page (opens in a new tab) says not to pay up-front fees and that the government won't contact you out of the blue about grants. SC Housing assistance only comes through approved lending partners.

How to Apply for SC Housing Help, Step by Step

SC Housing's process has 6 steps, and the reservation of funds happens through your lender, not the agency.

Pick your program. Bond program if you're under the county limit and the price is under $450,000; Palmetto Home Advantage if you earn more, own a home now, or need a pricier home.
Check your score. Every SC Housing option needs at least 640.
Contact an approved lending partner. SC Housing says all funding is based on availability, so your lender reserves the funds.
Complete homebuyer training. SC Housing requires it for anyone getting DPA before loan approval; the lender sets it up.
Budget for normal costs. The handout lists a typical 1% origination fee plus prepaid items and closing costs.
Close and keep your lien papers. Mark your forgiveness date: 10 years for Palmetto Home Advantage and Made It Home!, 15 for the bond program.

For example, a couple in unincorporated Richland County earning $58,000 and buying a $220,000 existing home with an FHA loan through the SC Housing Homebuyer Program would need a $7,700 down payment. They're under SC Housing's $95,800 Richland limit, and a $10,000 forgivable loan would cover the down payment plus $2,300 of closing costs. They're also under RCHAP's $59,150 limit for 2 and the county's $228,000 price cap, so they could ask the county for up to $24,500 instead or in addition; neither agency's page says whether both can be layered, so get that answered in writing first.

A teacher in Charleston who missed Palmetto Heroes has a different path. On a $400,000 home with an FHA loan of $386,000, Palmetto Home Advantage's 4% option is specifically $15,440, more than her $14,000 FHA down payment, and it's forgiven after 10 years. That's the best route open to her until the 2027 Heroes round, as long as she compares the rate against the 3% option.

If SC Housing Funds Close or You're Denied

SC Housing closed Palmetto Heroes after 4 weeks in 2026 and says all its funding is based on availability, so a lender is your only live read on what's open.

If a program runs out: Palmetto Home Advantage has no price limit, no first-time rule and a single $140,000 income test, so it's the usual fallback.
If you're over the bond program's income limit: check whether the home is in a targeted county, where limits run higher, or switch to Palmetto Home Advantage.
If you or a family member has a permanent disability: SC Housing's Families with Disabilities program removes the total household income limit.
If your credit is under 640: a HUD-approved counselor can help, and our guide on how to apply for grants as an individual explains how to avoid paid "grant" schemes.
If buying has to wait: see the rental assistance programs guide and HUD income limits guide, and after you buy, the home repair grants guide.

County programs like Richland's are funded by HUD; the HUD HOME program guide explains where that money goes and how to find a local program.

If you want a quick check of which official programs fit you, the free eligibility checker points you to official routes. SC Housing assistance still comes only through a lender; the checker just shows you where to start.

Buying in the Charlotte metro or near the Georgia line? Compare the North Carolina and Georgia guides.

Sources

SC Housing, Homebuyer programs (opens in a new tab) (checked November 3, 2026)
SC Housing, SC Housing Homebuyer Program (opens in a new tab), Palmetto Home Advantage (opens in a new tab) and County First (opens in a new tab)
SC Housing, 2026/2027 Income and Home Price Limits (opens in a new tab)SC%20Housing%20Homebuyer%20Home%20Price%20and%20Income%20Limits%20(06.01.2026).pdf) (effective for reservations on and after June 1, 2026)
SC Housing, Homeownership Program Handout (opens in a new tab).pdf) (October 1, 2025) and Palmetto Home Advantage Flyer (opens in a new tab) (October 1, 2026)
SC Housing, Mortgage Programs 2025-2026 matrix (opens in a new tab).pdf) (May 6, 2025)
SC Housing, Palmetto Heroes Program closes for '26, registering 272 home loans (opens in a new tab) (April 24, 2026)
Richland County, Homeownership Assistance (RCHAP) (opens in a new tab) (2026 income limits)
City of Charleston, Homeownership Initiative (opens in a new tab)
IRS, Instructions for Form 8828 (opens in a new tab)
HUD, Loans (FHA) (opens in a new tab)
VA, VA purchase loan (opens in a new tab)
U.S. Census Bureau, QuickFacts: South Carolina and its largest counties (opens in a new tab) and Lexington, York, Berkeley, Dorchester and Anderson counties (opens in a new tab) (median value of owner-occupied homes, 2020-2024; population estimates July 1, 2025)
FTC, Government Grant Scams (opens in a new tab)

Frequently Asked Questions

Is there a first-time home buyer grant in South Carolina?

Not as a check you keep on day one. SC Housing's down payment assistance is a forgivable second mortgage at 0% interest with no monthly payment. On the SC Housing Homebuyer (bond) program, it's forgiven only if you stay in the home for the full 15-year term. On Palmetto Home Advantage, the term is 10 years.

How much down payment assistance does SC Housing give?

Palmetto Home Advantage offers 0%, 3% or 4% of the loan amount as forgivable assistance. For the bond-funded Homebuyer Program, SC Housing's 2025-2026 program matrix lists up to $10,000, forgivable over 15 years; the current program page doesn't print an amount, so confirm it with a lender. Made It Home! offers up to $25,000 on homes from participating builders.

What are SC Housing's income limits for 2026?

For the Homebuyer (bond) program, limits effective for reservations on and after June 1, 2026 range from $95,800 for 1 to 2 people in counties like Richland and Spartanburg to $141,000 in Berkeley and Dorchester. The home price limit is $450,000 statewide. Palmetto Home Advantage uses a single $140,000 borrower income limit with no price cap.

What credit score do I need for SC Housing?

SC Housing requires a minimum 640 credit score on FHA, conventional, USDA and VA loans in the Homebuyer Program and on every Palmetto Home Advantage option.

Is Palmetto Heroes open in 2026?

No. SC Housing announced on April 24, 2026 that the 2026 Palmetto Heroes program, which offered $10,000 in forgivable down payment assistance to teachers, nurses, first responders, veterans and other public servants, opened March 16 and closed April 13 after 272 loans registered. It's an annual program, so watch for a 2027 round.

Do I have to be a first-time buyer for SC Housing?

It depends on the program and county. Palmetto Home Advantage has no first-time requirement. The Homebuyer (bond) program requires no ownership of a principal residence in the past 3 years in 12 non-targeted counties, and in targeted counties you just can't own a home when your loan closes.

Does South Carolina still offer a Mortgage Credit Certificate?

Don't count on it. SC Housing's 2026/2027 limits sheet labels the MCC with the note 'MCC ends June 30' and doesn't list a new MCC round. Ask an SC Housing lending partner before planning around the tax credit.

Last updated November 3, 2026. Published by Grantsights from public sources. See our editorial policy, how we build and check guides, corrections and how we make money.