RIHousing Loan Center | Rhode Island Housing 2025

RIHousing Loan Center is administered by RIHousing to help Rhode Islanders overcome the most common

barriers to homeownership, maintenance, or energy‑efficiency upgrades. The program pairs affordable fixed‑rate

financing with varies to reduce upfront costs or fund critical repairs. Applicants complete HUD‑approved

homebuyer education and benefit from one‑on‑one counseling provided by RIHousing partner agencies. Funds are

limited and released on a first‑come, first‑served basis through participating lenders statewide. Borrowers

may layer assistance with federal Mortgage Credit Certificates, local grant programs, or weatherization

rebates to maximize savings. Homes must meet RIHousing health‑and‑safety standards, and contractors are vetted

through a bid process to ensure quality renovation work. The program is especially valuable in high‑cost

coastal counties where median home prices often exceed $400,000.

• U.S. citizen, permanent resident, or qualifying non‑citizen.

• Household income ≤ RIHousing limits (e.g., $112,555 for a 2‑person household in Providence County, 2025).

• Purchase price ≤ $546,752 (single‑family) or FHA county limit, whichever is lower.

• Minimum 620 credit score (680 for conventional loans).

• Debt‑to‑income ratio ≤ 45 % (manual underwriting up to 50 % with compensating factors).

• Completion of 8‑hour HUD‑approved homebuyer education and RIHousing post‑purchase counseling.

• Owner‑occupancy within 60 days of closing; no short‑term rentals allowed.

• Varies applied toward down payment, closing costs, or qualified repairs.

• 30‑year fixed‑rate mortgage at or below market.

• No prepayment penalty or recapture tax after 10 years.

• Eligible for Mortgage Credit Certificate tax savings.

• Free post‑closing budget coaching and foreclosure‑prevention hotline.

1. Pre‑qualify with an RIHousing‑approved lender; provide pay stubs, W‑2s, and bank statements.

2. Education & counseling – complete a HUD‑certified course and obtain a certificate.

3. Loan reservation – lender locks rate and reserves assistance funds via the RIHousing portal.

4. Appraisal & inspection – property must meet FHA/USDA standards; rehab bids collected if applicable.

5. Closing – sign first‑mortgage and subordinate lien documents; assistance funds disbursed.

6. Post‑purchase – occupy the home within 60 days; comply with periodic verification if using grant forgiveness.