Light shining through the keyhole of a wooden door with a bright house visible through the hole.

First Time Home Buyer Program

The Homeownership Set-aside (HSP) program has finalized grant funding for 2024 and is not accepting applications at this time. Contact us for questions regarding additional mortgage programs.

Union State Bank partners with Federal Home Loan Bank (FHLBank) Topeka to offer grant opportunities for qualified first-time home buyers through what is formally known as the Homeownership Set-aside Program (HSP).

HSP grant funds may be used for down payment, closing cost and repair assistance to first-time homebuyers earning at or below 80% of the area median income for households purchasing or constructing homes in Colorado, Kansas, Nebraska and Oklahoma.

Additional grant requirements mandate that at least one adult household member complete a homebuyer education course and provide proof of household income. 

The HSP grant program is offered in partnership with FHLBank members, such as Union State Bank. FHLBank does not work directly with homebuyers. All of Union State Bank’s mortgage officers are trained to assist first time home buyers in understanding and completing the grant requirements. 

Grant funds are limited and are available to qualified buyers on a first-come, first-serve basis. Union State Bank is a Equal Housing Lender, NMLS # 412388, Member FDIC.

First-time home buyer is defined as ALL borrowers, co-borrowers and co-owners of the transaction, who do not own and are not investors in another residence, and who wish to purchase a home that will be their primary residence.

In addition, the homebuyer(s) must meet any one of the following criteria:
• Have had no ownership in a residence during the prior three-year period ending on the date of purchase of the property;
• Have only owned a residence not permanently affixed to a permanent foundation in accordance with applicable Regulations;
• Has only owned a property that was not in compliance with State, local or model building codes and which cannot be brought into compliance for less than the cost of constructing a permanent structure; or
• Is a household displaced as a result of a Federally Declared Disaster (as designated by FEMA) within 24 month of grant application.
Household includes ALL individuals who currently, or will, occupy the house or residence. Including:
• Non-borrowing adults and children
• Children and adults that will occupy the residence at any time during the year
The first-time home buyer program provides assistance to households earning at or below 80% of the area median income in Kansas and Oklahoma. Income of all household members age 18+ must be included.

County Max Income Limits Household 1-4 Max Income Limits Household 5-8
Butler $68,100 $89,900
Cowley $61,700 $81,450
Chautauqua $61,700 $81,450
Harvey $68,100 $89,900
Marion $63,200 $83,400
McPherson $67,500 $89,100
Reno $61,700 $81,450
Sedgwick $68,100 $89,900
Sumner $65,300
$86,200
* Limits subject to change without notice. Contact Union State Bank loan officer for additional counties or income limits for households of 9+.
The first-time home buyer program provides assistance to households earning at or below 80% of the area median income in Kansas and Oklahoma. Income of all household members age 18+ must be included.

County
 Max Income Limits Household Size 1-4 Max Income Limits Household Size 5-8
Canadian $68,800 $90,800
Kay $54,800 $72,350
Kingfisher $62,500 $82,500
Logan $68,800 $90,800
Nowata $54,800 $72,350
Oklahoma $68,800 $90,800
Osage $68,150 $89,950
Rogers $68,150 $89,950
Tulsa $68,150 $89,950
Washington $62,800 $82,900
* Limits subject to change without notice. Contact Union State Bank loan officer for additional counties or income limits for households of 9+.
Households must agree to use the subsidies to pay for down payment, closing cost, homebuyer education, or allowable repairs in connection with the household's purchase of a home to be used as the household's primary residence.

Allowable repairs: A subsidy may be used to pay for rehabilitation including, but not limited to accessibility, roof, electrical, plumbing, sewer, mechanical, foundation or other structural, windows, doors, floor coverings, wall repair, paint, or hazardous material remediation.

Ineligible Rehabilitation/Repair Costs: A subsidy cannot be used to pay for rehabilitation including, but not limited to construction/repairs of a detached garage or outbuilding, household repair labor (sweat equity), luxury items (i.e., landscaping, hot tubs, swimming pools).

Homebuyer Education Requirement. Recipients must complete a homebuyer education program provided by:
Homebuyer education must be completed within the current or previous calendar year of the purchase closing date. The date of course completion must be visible on the homebuyer education certificate. Only one adult household member must complete the homebuyer education course and be named on the certificate.

Retention Period. Households must agree to a five-year retention period. A household that receives a subsidy for the purchase of an existing, newly-constructed home, or for repairs shall be subject to a deed restriction or other legally enforceable retention agreement or
mechanism ensuring retention for five years (60 months) from the closing date for the purchase of the property as evidenced by the closing document.

Additional terms and conditions apply. See branch for more information.






 Home Mortgage Disclosure Act Notice: The HMDA data about our residential mortgage lending is available online for review. the data shows geographic distribution of loans and applications; ethnicity, race, sex, age and income of applicants and borrowers; and information about loan approvals and denials. HMDA data for many other financial institutions are also available online. For more information visit the Consumer Financial Protection Bureau's website www.consumerfinance.gov/hmda(Opens in a new Window).