The MassDREAMS grant closed in November 2022 when its state funding ran out, and no new round has been announced.
In 2026, buyers in the same 29 communities can look to MHP's ONE+ (up to $50,000), MassHousing down payment assistance, or local city programs.
Check Your Massachusetts Home Purchase Eligibility
Align the current options with where you live, what you have saved, and the home you want to buy, then decide where to apply first.
Is MassDREAMS Still Available?
No. MassDREAMS has been closed since November 30, 2022. MassHousing suspended the grants at 10:00 p.m. that night after its allocated funds ran out. The program was expected to last about 18 months, and buyer demand used up MassHousing's allocation in 79 days.
The money came from an appropriation by the Massachusetts Legislature, and MassHousing said that unless and until there is a new appropriation it did not expect to offer more DREAMS grants. MassHousing's published 2025 and 2026 lender announcements contain no MassDREAMS items, and its old MassDREAMS web address now redirects to its standard down payment assistance page.
Treat any social post or older article saying the $50,000 grant is open as outdated.
When MassHousing closed its side of the program in 2022, the Massachusetts Housing Partnership (MHP) noted it would keep offering DREAMS grants under its own criteria; today MHP's successor for residents of the same 29 communities is ONE+.
What You Can Use Instead
Three kinds of help are open in 2026, and where you live now decides which to start with.
| Program | Status | Who can use it | How much | What kind of help |
|---|---|---|---|---|
| MassDREAMS | Closed since November 2022 | Residents of 29 communities | Up to $50,000 | Forgivable grant |
| MHP ONE+ | Open; confirm funding | First-time buyers who currently live in one of the same 29 communities | Up to $50,000 | Down payment and closing cost help plus a permanent rate discount on a ONE Mortgage |
| MassHousing down payment assistance | Open statewide | First-time buyers in any city or town | $30,000 (Workforce Advantage) or $25,000 | Second mortgage you repay: 0% deferred, or 15 years at 2% or 3% |
| City programs | Varies | Depends on the city | Varies | Varies |
ONE+ (Closest Replacement)
MHP launched ONE+ in November 2024, building on ONE+Boston and MassDREAMS, to serve first-time buyers who currently live in one of the same 29 communities.
It adds up to $50,000 in down payment and closing cost assistance and a permanent fixed 30-year interest rate discount to the ONE Mortgage. Like the standard ONE Mortgage, it charges no private mortgage insurance (PMI) because participating Massachusetts banks and credit unions hold the loans and a cash-funded loan loss reserve backs them.
To qualify, you need to:
- Currently live in one of the 29 communities.
- Be a first-time buyer, meaning you have not owned a home in the past three years.
- Meet MHP household income limits for your community and household size.
- Have less than $100,000 in countable household assets, excluding most retirement and college savings accounts and down payment assistance funds.
- Have a credit score of at least 640 for a single-family home or condo, or 660 for a two- or three-family property (options exist for buyers with no credit history).
- Put at least 3% down on a condo, single-family or two-family home (5% on a three-family), with at least 1.5% of the purchase price from your own savings (3% on a three-family).
- Complete an approved pre-purchase homebuyer class before closing (plus a multi-family/landlord course or counseling session for a two- or three-family home).
- Buy a home you will live in as your primary residence, through a participating ONE+ lender.
Four-family homes are not eligible under ONE+. MHP's online calculator page still references a $75,000 asset figure while its current program requirements and ONE+ pages state $100,000, so confirm the calculation with a participating lender.
In its first year ONE+ helped 255 homebuyers with more than $8 million in assistance, and funding can be limited, so verify current funds and income limits when you apply.
For how the underlying loan works, see our guide to the ONE Mortgage Program in Massachusetts. If you live in or are buying in Boston, MHP also runs ONE+Boston using City of Boston funds to lower the interest rate and help with down payment and closing costs; see our Boston First-Time Home Buyer Programs guide.
MassHousing Down Payment Assistance (Anywhere in Massachusetts)
If you live outside the 29 communities, or if a conventional or FHA loan fits you better than ONE+, MassHousing Down Payment Assistance is open in every city and town through participating MassHousing lenders. Unlike MassDREAMS, this is a second mortgage you repay, not a grant.
With a MassHousing first mortgage, Workforce Advantage offers up to $30,000 as a 0% deferred second mortgage for buyers within its income limits, with no monthly payments and repayment due only when you sell, refinance or pay off the first mortgage.
Standard MassHousing assistance offers up to $25,000 as a 15-year loan for households up to 135% of Area Median Income (AMI), at 2% interest for households at or below 80% of AMI or 3% above 80% up to 135% of AMI. A temporary 0% deferred $25,000 option ended early in July 2026 because of high demand.
City Programs
Several of the 29 former MassDREAMS communities run their own first-time buyer assistance, and MassHousing allows its down payment assistance to be combined with many local programs. Our city guides cover three of the largest communities, and our Massachusetts First-Time Homebuyer Grants and Programs guide covers the full state:
- Boston First-Time Home Buyer Programs
- Worcester First-Time Homebuyer Programs
- Springfield, MA First-Time Homebuyer Programs
Check Your Massachusetts Home Purchase Eligibility
Which Option Fits You
Where you live and what you have saved narrow the choice quickly:
- You live in one of the 29 communities and have under $100,000 in countable assets: start with ONE+, which pairs the largest assistance amount with a discounted rate and no PMI.
- You live elsewhere in Massachusetts: look at MassHousing down payment assistance and any program run by the city or town where you are buying.
- Your countable assets are $100,000 or more, or you want a four-family home: ONE+ is out; MassHousing down payment assistance is the state option, and it allows 1-to-4 family primary residences.
- Your income or assets are above the state program limits: compare standard FHA, VA or 3%-down conventional loans across wholesale lenders.
Both ONE+ and MassHousing down payment assistance are offered only through their respective participating lenders.
The 29 Communities
The state designated these 29 Disproportionately Impacted Communities for MassDREAMS, and MHP uses the exact same 29 communities to check residency for ONE+. What counts is where you live when you apply; under MassDREAMS, eligible residents could buy a primary residence anywhere in Massachusetts.
| Region | Communities |
|---|---|
| Greater Boston and North Shore | Boston, Chelsea, Everett, Framingham, Lynn, Malden, Peabody, Quincy, Randolph, Revere, Salem |
| Merrimack Valley and North Central | Fitchburg, Haverhill, Lawrence, Leominster, Lowell, Methuen |
| Central Massachusetts | Worcester |
| South Shore, South Coast and Cape | Attleboro, Barnstable, Brockton, Fall River, New Bedford, Taunton |
| Western Massachusetts | Chicopee, Holyoke, Pittsfield, Springfield, Westfield |
What the MassDREAMS Grant Was
MassDREAMS (Delivering Real Equity And Mortgage Stability) was announced by MassHousing in August 2022 to expand down payment help for people and places disproportionately impacted by COVID-19. MassHousing and MHP ran the program with funds appropriated by the Massachusetts Legislature, and before funds ran out in November 2022 it helped nearly 1,000 borrowers buy homes with a MassHousing mortgage.
On the MassHousing side, MassDREAMS was a forgivable grant that did not have to be repaid and did not count toward the buyer's combined loan-to-value ratio.
The grant paid the down payment first, up to 5% of the purchase price or appraised value (whichever was less), and any remaining funds went toward eligible closing costs, prepaid items, mortgage insurance and discount points.
| Household income (% of property AMI) | Maximum grant |
|---|---|
| At or below 100% of AMI | Up to $50,000 |
| Above 100% up to 135% of AMI | Up to $35,000 |
| Above 135% of AMI | Not eligible |
To qualify through MassHousing, the buyer had to live in one of the 29 communities, all borrowers on the loan had to be first-time homebuyers, and household income could not exceed 135% of AMI for the property's location.
The home could be a condominium or a 1-to-4 family primary residence anywhere in Massachusetts, paired with a MassHousing first mortgage. Borrowers could combine the grant with standard MassHousing down payment assistance, and many did.
Next Steps
If you are planning to buy in 2026, work through these steps before you shop for a home:
- Check your credit and countable assets: Both ONE+ and MassHousing require at least a 640 credit score for a single-family home or condo (660 for a two- or three-family under ONE+), and ONE+ caps countable household assets under $100,000.
- Save your own contribution: Even with assistance, ONE+ requires part of the down payment to come from your own savings.
- Take an approved homebuyer class early: Both ONE+ and MassHousing down payment assistance require a pre-purchase homebuyer education course before closing, and two- or three-family buyers under ONE+ also complete landlord counseling.
- Compare state programs against standard loans: You apply for ONE+, MassHousing and city programs through their participating lenders. At Make Massachusetts Your Home (operated by Next Wave Mortgage, LLC), our team helps you check your eligibility with no hard credit pull, compare FHA, VA and conventional options across multiple wholesale lenders, and get pre-approved, typically within 1 to 3 business days once your documents are in.
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