If you are buying your first home in Stearns or Benton County, Minnesota Housing’s Start Up program can help with a lower-cost first mortgage and money for your down payment and closing costs. Here is a plain look at how it works and the income limits in effect for loans locked on or after July 1, 2026.
Who counts as a first-time buyer
Minnesota Housing considers you a first-time homebuyer if you have not had an ownership interest in a principal residence in the last three years. So if you owned a home years ago, you may still qualify. Buyers who earn too much for Start Up, or who are not first-time buyers, may look at the agency’s Step Up program instead.
Start Up income limits for Stearns and Benton County
Stearns and Benton counties fall under Minnesota Housing’s “all other counties” limits:
- 1 to 2 people: $118,900
- 3 or more people: $136,700
Heads-up for some St. Cloud buyers: Sherburne County, which covers part of St. Cloud, is part of Minnesota Housing’s 11-county Twin Cities area, where the limits are higher ($131,500 for 1 to 2 people and $151,200 for 3 or more).
Down payment and closing cost help
These are loans, not grants, and they can only be used with a Minnesota Housing first mortgage:
- Deferred Payment Loan (DPL): up to $14,000, with no interest and no monthly payment. It is repaid in full when you sell, refinance (unless through Step Up), move out, or pay off the first mortgage, or at the end of the mortgage term. Available with Start Up only.
- Deferred Payment Loan Plus (DPL+): up to $18,000 on the same terms, for buyers who also meet one targeting rule, such as a household of four or more, a household member with a disability, or being a first-generation homebuyer.
- Monthly Payment Loan: up to $14,000, repaid over 15 years at the same rate as your first mortgage. Available with Start Up or Step Up.
DPL income limits in Stearns and Benton County
The deferred loans have lower income limits than Start Up itself. For Stearns and Benton County: $85,600 for 1 to 2 people, $96,300 for 3, $107,000 for 4 and $115,500 for 5, rising to $136,700 for 8 or more.
Other rules to know
- At least one borrower must finish an approved homebuyer education course before closing.
- You must live in the home, and there are minimum credit score and purchase price limits.
- For the deferred loans, your housing costs must be at least 25% of your income, and there are limits on how much savings you can keep after closing.
Start Up loans go through participating lenders, and a lender can tell you which options fit your situation.
Sources: Minnesota Housing program and income limit pages and its 2026 homeownership program updates.
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Program rules, limits and rates change often and are for general information only. Please confirm details yourself with Minnesota Housing or a participating lender before making decisions.
Equal Housing Opportunity. We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation.
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