South Carolina First-Time Home Buyer Programs and Assistance
South Carolina Housing (South Carolina State Housing Finance and Development Authority) currently lists 3 programs for South Carolina buyers. Figures below were read from the agency's own pages on September 11, 2026.
South Carolina first-time buyer programs open now
South Carolina Housing (South Carolina State Housing Finance and Development Authority) is the state's housing finance agency (homebuyer programs page). It runs 3 down payment or closing-cost assistance programs. Not stated as a requirement on the fetched pages for the SC Housing Homebuyer (Bond) Program or the County First Initiative.
| Program | Type | Amount | First-time only | Min. credit | Income limit |
|---|---|---|---|---|---|
| SC Housing Homebuyer Program source | Forgivable second loan | Exact dollar amount or percentage not published on the fetched program page; described only as 'Forgivable Down Payment Assistance (DPA)' | Check | n/a | Subject to county-specific household income limits; see SC Housing's 2026/2027 Income and Home Price Limits |
| County First Initiative source | Forgivable second loan | Same forgivable down payment assistance structure as the SC Housing Homebuyer Program; exact dollar amount not published on the fetched page | No | n/a | Same limits as the SC Housing Homebuyer Program |
| Palmetto Home Advantage source | Forgivable second loan | Forgivable down payment assistance of 0%, 3%, or 4% of the loan amount, with no monthly payment | No | 640 | $135,750 borrower income limit |
- SC Housing Homebuyer Program. Terms: Zero percent (0%) interest, no monthly payments; second lien with a 15-year (180-month) term; fully forgiven if the borrower remains in the home for the full term Purchase price limit: Subject to county-specific home price limits; see SC Housing's 2026/2027 Income and Home Price Limits Must pair with: An SC Housing (Bond) first mortgage through an approved lending partner Program page
- County First Initiative. Terms: Includes forgivable down payment assistance plus a special fixed-rate first mortgage; program requirements for income and home price limits are the same as the SC Housing Homebuyer Program Purchase price limit: Same limits as the SC Housing Homebuyer Program Must pair with: FHA, USDA, or VA financing Where: Abbeville, Allendale, Bamberg, Barnwell, Beaufort, Calhoun, Cherokee, Chester, Chesterfield, Clarendon, Colleton, Darlington, Dillon, Edgefield, Fairfield, Florence, Georgetown, Hampton, Horry, Jasper, Kershaw, Laurens, Lee, Marion, Marlboro, McCormick, Newberry, Orangeburg, Saluda, Union, Williamsburg Program page
- Palmetto Home Advantage. Terms: Forgivable, no monthly payment; conventional financing up to 97% loan-to-value on one-unit properties and up to 95% LTV on two-unit properties Purchase price limit: No sales price limits Must pair with: Conventional, FHA, VA, or USDA first mortgage through an approved lending partner Where: statewide (all 46 counties) Program page
City and county programs in South Carolina
Local governments run their own down payment funds on top of the state programs. These can be combined with a state loan in most cases; each has its own income limit and area.
- City of Columbia: City Lender Program. Not independently confirmed via the City's current official page, which shows only a program flier image without extractable text; reported elsewhere (non-official sources) as a low-interest second loan covering up to 20% of the purchase, with a separate 'City Lender I' variant offering up to $18,500 in forgivable down payment assistance. Second mortgage. Official page
How little you can put down
You do not need 20% down. Conventional loans go as low as 3% (through programs like Fannie Mae HomeReady and Freddie Mac Home Possible), FHA loans start at 3.5%, and VA and USDA loans can require nothing down. On South Carolina's median-priced home (about $397,600), 3% down is roughly $11,928. Putting 20% down lets you skip private mortgage insurance, but most first-time buyers put down far less.
Who counts as a first-time buyer
For most programs, a first-time buyer is anyone who has not owned a primary residence in the last three years, so many repeat buyers qualify again. South Carolina programs often add income and purchase-price limits, which is another reason to confirm the details with South Carolina State Housing Finance and Development Authority.
Stack a buyer rebate on top in South Carolina
Down-payment assistance and a buyer commission rebate are two different things, and in South Carolina you can use both. Assistance from South Carolina State Housing Finance and Development Authority helps with your down payment and closing costs; a buyer rebate returns about 2% of the price to you at closing (roughly $7,952 on a median-priced home), which can cover much of your closing bill.
See South Carolina buyer rebates → See South Carolina closing costs →
Frequently asked questions
What first-time home buyer programs are available in South Carolina?
South Carolina Housing (South Carolina State Housing Finance and Development Authority) lists 3 programs: SC Housing Homebuyer Program, County First Initiative, Palmetto Home Advantage. City of Columbia also run local down payment programs.
Do you have to be a first-time buyer to qualify in South Carolina?
Not for every program. 2 of 3 South Carolina programs are open to repeat buyers. Not stated as a requirement on the fetched pages for the SC Housing Homebuyer (Bond) Program or the County First Initiative. Palmetto Home Advantage explicitly has 'no first-time home buyer requirements' and is open to first-time, move-up, and repeat buyers.
How much down payment do you need in South Carolina?
As little as 3% on a conventional loan, 3.5% on an FHA loan, and 0% on VA or USDA loans. On South Carolina's median-priced home (about $397,600), 3% is roughly $11,928. You do not need 20% down, though 20% lets you avoid mortgage insurance.
Who counts as a first-time home buyer?
For most programs, a first-time buyer is anyone who has not owned a primary residence in the last three years. Some South Carolina programs also have income and purchase-price limits, so check with South Carolina State Housing Finance and Development Authority.
Can I combine assistance with a buyer rebate in South Carolina?
Yes. A buyer commission rebate is separate from down-payment assistance and is legal in South Carolina. Assistance helps with your down payment and closing costs up front; a rebate returns about 2% of the price at closing, which you can put toward closing costs. You can use both.
Official sources
- South Carolina Housing (South Carolina State Housing Finance and Development Authority)
- SC Housing Homebuyer Program | South Carolina Housing
- County First Initiative | South Carolina Housing
- Palmetto Home Advantage | South Carolina Housing
- City of Columbia: City Lender Program
- Consumer Financial Protection Bureau: down payment options and how to prepare
South Carolina program details last verified against South Carolina State Housing Finance and Development Authority on September 11, 2026.
Read the full guide to the cash you need to buy →
This is general information, not financial advice. Program details, limits, and loan terms change; confirm the current rules with South Carolina State Housing Finance and Development Authority and your lender before you rely on them.
See first-time buyer programs in all states