Every Program in One Table
Amounts and limits as published for 2026. "Limit" is the household income limit for a household of four; the full tables are below.
| Program | Amount | Type | Where | Income limit | Year |
|---|---|---|---|---|---|
| Home-Buy the American Dream City of Madison | $1,000 to $35,000 | Deferred loan with shared appreciation | City of Madison | $106,800 (4 people) | 2026(City of Madison) |
| Dane County homebuyer loan (CDBG) Dane County Urban County Consortium; run by Movin' Out | Up to $32,000 (city FAQ: up to $35,000) | 0% deferred loan | Dane County outside Madison | $106,800 (4 people) | 2026(Home Buyers Round Table list, on cityofmadison.com) |
| WHEDA Capital Access WHEDA, through approved lenders | $7,500 | 0% loan, no monthly payment, 30 years | All of Dane County | $106,800 (4 people) | 2026(WHEDA) |
| WHEDA Easy Close WHEDA, through approved lenders | $1,000 up to 6% of the price | 10-year loan with a monthly payment | All of Dane County | $182,655 (4 people) | 2026(WHEDA) |
| Downpayment Plus FHLBank Chicago, through member lenders | Up to $10,000 | Grant, forgiven over 5 years | All of Dane County | $106,800 (4 people) | 2026(program list on cityofmadison.com) |
| Progressive UpPayment Program Urban League of Greater Madison | Up to $5,000 | No repayment listed | All of Dane County | $106,800 (4 people) | 2026(program list on cityofmadison.com) |
| Madison Home (disability) Movin' Out | Up to $75,000 | Repaid as principal plus an equity share at resale | City of Madison | $106,800 (4 people) | 2026(program list on cityofmadison.com) |
| USDA Guaranteed loan (Section 502) USDA Rural Development, through approved lenders | Up to 100% financing | First mortgage, no down payment | USDA rural areas | $153,550 (4 people) | FY2026(USDA) |
| USDA Direct loan (Section 502) USDA Rural Development, local office | Usually no down payment | First mortgage from USDA | USDA rural areas | $106,800 (4 people) | FY2026(USDA) |
| VA home loan Department of Veterans Affairs, through lenders | No down payment if the price isn't above appraised value | First mortgage, VA-backed | All of Dane County | None | 2026(VA) |
FHA loans aren't down payment help, but they set the floor: federal law requires at least 3.5% of the appraised value in cash or its equivalent.(12 U.S.C. 1709) WHEDA's FHA loan needs the same 3.5%, and either WHEDA down payment loan can cover it.(WHEDA)
2026 Income Limits for Dane County
Most programs here use HUD's 80% of area median income for the Madison area, which is all of Dane County. These took effect May 1, 2026, from a median family income of $135,300.(HUD FY2026)(HUD) Madison's program counts the income of every household member over 18.(City of Madison)
| Household size | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 |
|---|---|---|---|---|---|---|---|---|
| 80% of median (FY2026) | $74,800 | $85,450 | $96,150 | $106,800 | $115,350 | $123,900 | $132,450 | $141,000 |
The same numbers appear in Madison's program sheet,(City of Madison) WHEDA's Capital Access table(WHEDA) and the Dane County program list.(program list on cityofmadison.com) Other limits:
- WHEDA Advantage and Easy Close (effective June 13, 2026): $155,595 for 1 to 2 people, $182,655 for 3 or more. WHEDA's first-time buyer column is lower: $135,300 and $155,595, or $162,360 and $189,420 in designated Madison target areas.(WHEDA)
- USDA Guaranteed (FY2026): $153,550 for 1 to 4 people, $202,700 for 5 to 8.(USDA) USDA Direct low income: $106,800 and $141,000.(USDA)
- Price limits. Capital Access: $541,287 for one unit.(WHEDA) Home-Buy the American Dream has none.(City of Madison)
Program Details
Home-Buy the American Dream
$1,000 to $35,000. No payments until you sell, refinance for cash, transfer the home or stop living there. You repay the larger of the loan or the city's share of the home's value then.(City of Madison) The city's example: $35,000 on a $300,000 home is 11.6%, so a sale at $375,000 repays $43,500.(City of Madison) You put in 1% of your own money, and the lender applies for you.(City of Madison)(City of Madison)
Dane County homebuyer loan (CDBG)
Up to $32,000 (city FAQ: up to $35,000). For homes anywhere in Dane County except the City of Madison, with $500 of your own money and no disability requirement.(program list on cityofmadison.com) The county's consortium flyer lists a 0% deferred first-time homebuyer loan but no amount.(Dane County) The two city-hosted documents give different maximums ($32,000 in July 2026, $35,000 in March 2026), so ask for the current figure.(City of Madison)
WHEDA Capital Access
$7,500. Pairs with a WHEDA first mortgage. It came back January 15, 2026 with funding for 78 loans, first come, first served, and closes when the money is committed.(WHEDA) Income and price limits for Dane County are WHEDA's June 13, 2026 table.(WHEDA)
WHEDA Easy Close
$1,000 up to 6% of the price. A second mortgage at the same rate as the WHEDA first mortgage it pairs with. You don't have to be a first-time buyer for WHEDA's Advantage loans, but first-time buyers must take homebuyer education.(WHEDA) The limit shown is WHEDA's Dane County "Conventional & FHA" column, effective June 13, 2026; a lower "First-Time Home Buyer" column also exists, so confirm which one applies with the lender.(WHEDA)
Downpayment Plus
Up to $10,000. For households at or below 80% of area median income, with $1,000 of your own money; first-time status not required.(program list on cityofmadison.com) The city's FAQ says it can be combined with Home-Buy the American Dream.(City of Madison)
Progressive UpPayment Program
Up to $5,000. Dane County and the surrounding area. Requires education and counseling through the Urban League.(program list on cityofmadison.com)
Madison Home (disability)
Up to $75,000. For a household with a member who has a permanent disability, buying in the City of Madison. It can't be combined with Home-Buy the American Dream.(program list on cityofmadison.com)(City of Madison)
USDA Guaranteed loan (Section 502)
Up to 100% financing. Only in areas USDA counts as rural; check the address on USDA's eligibility site.(USDA) FY2026 Madison-area income limit: $153,550 for 1 to 4 people, $202,700 for 5 to 8.(USDA)
USDA Direct loan (Section 502)
Usually no down payment. For low and very low incomes (adjusted income). The rate is 5.750% from October 1, 2026, and payment assistance can bring it as low as 1%.(USDA) FY2026 Madison-area low-income limit: $106,800 for 1 to 4 people, $141,000 for 5 to 8.(USDA)
VA home loan
No down payment if the price isn't above appraised value. Needs a Certificate of Eligibility; a VA funding fee may apply, and there's no mortgage insurance.(VA)
How to Apply
- Take homebuyer education early. WHEDA requires it for first-time buyers.(WHEDA) Madison requires education plus one-on-one counseling from a HUD-approved agency for every borrower, dated within 18 months of closing.(City of Madison) Find an agency with HUD's counselor search or by phone at 1-800-569-4287.(City of Madison)
- Pick a lender that offers the programs. WHEDA doesn't lend directly; you apply through a WHEDA-approved bank, credit union or mortgage company.(WHEDA) For Madison's program, your first-mortgage lender applies for you.(City of Madison)
- Allow time. Madison needs at least 20 business days from complete documents, and its pre-approvals last 90 days.(City of Madison) The city also orders a housing quality inspection and, for homes built before 1978, a lead paint inspection; failed items must be fixed before closing or within 60 days after.(City of Madison)
- Funding runs out. Down payment help is first come, first funded.(program list on cityofmadison.com) Capital Access closes when its money is committed.(WHEDA)
Outside Madison: every Dane County city, village and town except Madison belongs to the county's consortium, which funds the county loan.(Dane County) We found no separate municipal program in Sun Prairie, Fitchburg, Verona, Monona or Stoughton, and Middleton's old program is discontinued.(City of Middleton)
Next: the buying process step by step, and the true cost of owning once you have a price in mind. Renters looking at income-based housing instead: affordable housing in Dane County.
Badger Homeowner doesn't recommend agents, lenders, inspectors or contractors, and takes no money from them.
Questions
Is there down payment assistance in Madison, WI?
Yes. The City of Madison's Home-Buy the American Dream program lends $1,000 to $35,000 to first-time buyers at or under 80% of area median income, for homes in the city. It's a deferred loan with shared appreciation. WHEDA's Capital Access ($7,500) and Easy Close loans also work in Madison.
What income counts as 80% of median in Dane County?
HUD's FY2026 80% limits for the Madison area run from $74,800 for one person to $141,000 for eight; $106,800 for a household of four. The city, WHEDA's Capital Access and most nonprofit programs use these numbers.
Do I have to be a first-time buyer?
For Home-Buy the American Dream and the Dane County loan, yes: most programs mean no ownership of a home in the past 3 years. WHEDA's Advantage loans, Easy Close, Downpayment Plus, USDA and VA loans don't require it.
Can I combine programs?
Sometimes. Madison's FAQ says Home-Buy the American Dream can be combined with a WHEDA down payment loan and Downpayment Plus, but not with other city-funded programs such as Movin' Out or Habitat for Humanity.
Does Sun Prairie, Fitchburg or Middleton have its own program?
We found no current municipal program in those cities as of October 2026. Middleton's old program has been discontinued. Buyers outside Madison can use the Dane County loan, WHEDA and the other programs in the table.