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Target Area Loan Program 
OHFA’s Target Area Loan Program helps revitalize federally-designated target areas by making our affordable first-time homebuyer loan products and competitive interest rates available to ANY qualifying buyer purchasing a home in these areas.
What is a Target Area?
A target area is an economically distressed area designated by the U.S. Department of Housing and Urban Development (HUD). Most Ohio counties contain both target and non-target areas. For more information, download a list of target areas from our download center. You can also visit our target area maps page and click on your county to view target areas.
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Do I Qualify?
Target Area Loan applicants do not have to be first-time buyers. However, the following program requirements apply.
To qualify for an OHFA Target Area Loan, you must:
- Meet OHFA’s income and purchase price limits. Please note that income and purchase price limits may be higher for Target Area Loans.
- Be creditworthy. Minimum credit scores may apply.
- Have a signed Purchase and Sales Agreement.
- Qualify for the loan being requested. Lenders will assess your ability to afford a home by considering income, assets, job stability, liabilities, and other criteria.
Additional property requirements:
- Loans are available for properties up to two acres (unless additional acreage is required by local health or safety code).
- Qualifying properties include:
- Existing homes: one-unit single-family dwelling and duplexes up to four units
- Spec/Nearly completed homes: one-unit single-family dwellings
- Modular/Manufactured homes: one-unit single-family dwellings
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How to Apply
OHFA’s approved network of Ohio lenders make our low cost loans available on a continuous basis year round. Learn more about the loan process or contact a participating lender to apply.
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Loan Types
To meet each homebuyer’s needs, OHFA offers a variety of loan products including:
- Fannie Mae conventional loans with special features and flexible terms
- Government-insured loans including traditional FHA, VA, and USDA-RD loans
All OHFA loan products offer competitive rates and other beneficial features. Your lender can help you choose the right loan for your needs.
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Loan Features
- Available to any qualified homebuyer
- For new or existing homes
- Below market, 30-year fixed interest rate
- Flexible rate options
- Available in all 88 Ohio counties
- Generous purchase price limits
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Loan Fees
The following fees may apply to your loan:
- 1% origination fee
- $150 transfer fee
- $79 tax service fee
- .25% adverse market fee (conventional loans only)
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Down Payment Assistance
If you need or want assistance with your down payment and closing costs, OHFA offers a Down Payment Assistance Grant, Grants for Grads, or Homebuyer Advantage Loan that can significantly reduce your out-of-pocket expenses.
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Homebuyer Education
Some OHFA mortgage products, OHFA's Down Payment Assistance Grant, Grants for Grads, and Homebuyer Advantage Loan require borrowers to participate in homebuyer education or counseling. All borrowers are encouraged to take advantage of the free homebuyer education classes available through HUD counseling agencies or to use OHFA's streamlined homebuyer education program. Learn more...
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About Recapture Tax
OHFA will reimburse borrowers for the full amount of any recapture tax in the rare instances where tax repayment is required. Learn more...
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Downloadable Information
You can download information about our loan programs from our download center.
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Questions?
Your lender and/or real estate agent can guide you through the home buying process and answer any questions you may have regarding the Target Area Loan Program. You can also check out our homeownership FAQs.
If you need additional information, please contact:
Office of Homeownership
Ohio Housing Finance Agency
57 East Main Street
Columbus, Ohio 43215
888.362.6432
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The Ohio Housing Finance Agency is an Equal Opportunity Housing entity. Loans are available on a fair and equal basis regardless of race, color, religion, sex, familial status, national origin, military status, disability or ancestry.
