Parma, OH · city desk

Down payment assistance in Parma, OH

Parma buyers have a city-funded deferred loan of up to $21,900, administered by Believe Mortgage, on top of county and statewide options.

How does Parma's down payment loan work?

Parma Down Payment Assistance lends up to $21,900 toward the purchase of a home in Parma. The money comes from the City of Parma and Cuyahoga County, and the program is run by Believe Mortgage, part of CHN Housing Partners. It is a deferred loan: no monthly payment, but it is due when you sell, transfer the title or refinance. Its availability depends on funding.

The rules are tight on price and income. The home must be single-family, owner-occupied and priced at or under $219,000. Household income is capped at 80% of area median, roughly $79,500 for a family of four. You can't have owned a home in the past three years, and you need a certificate from HUD-approved homebuyer education. That price ceiling fits much of Parma's existing housing stock but rules out newer or larger homes, so price your search before you shop.

Unlike Cleveland next door, Parma is not on the list of cities carved out of the Cuyahoga County Down Payment Assistance Program, which offers up to 17% of the price or $21,900 at the same 80% AMI line through the same administrator. Whether the two can be combined isn't stated, so ask Believe Mortgage which one fits your purchase. Beyond that, a Parma City Schools teacher or another qualifying worker can look at Ohio Heroes, OHFA's discounted rate with 3% or 3.5% forgivable assistance; Cuyahoga's OHFA income limits ($105,000 for 1 to 2 people, $120,750 for 3 or more) sit well above the Parma program's. Details are on the Cuyahoga County guide, and the grant vs. forgivable vs. repayable guide explains what a deferred loan means at resale.

Run by the city of Parma

Parma Down Payment Assistance

Money can run out

City of Parma

For: Buyers who have not owned a home in the past 3 years
Amount: Up to $21,900
Form: Deferred loan, no monthly bill
Income cap: 80% AMI (~$79,500 for family of 4)
Price cap: $219,000
First-timers only: Yes
Fine print: Home in Parma; single-family owner-occupied; HUD-approved homebuyer education

Deferred loan repayable on sale, transfer of title or refinance.

Checked November 2026 · our sourcing

Read the full report → Check if I qualify →

County programs Parma buyers can use

Cuyahoga County Down Payment Assistance Program

Money can run out

Cuyahoga County (51 suburban communities; excludes Cleveland, Cleveland Heights, East Cleveland, Euclid, Lakewood)

For: Buyers who have not owned a home in the past 3 years
Amount: Up to 17% of purchase price or $21,900
Form: Deferred loan, no monthly bill
Income cap: 80% AMI
First-timers only: Yes
Fine print: Single-family, owner-occupied; homeownership classes required (free through CHN)

The program page calls it a deferred loan repaid on sale, transfer or refinance, but the Believe DPA FAQ says it is forgivable after 5 or 10 years depending on amount; confirm. The County's Sept 2025 release said 10% / $20,900; the current program page says 17% / $21,900. County Council renewed HOME funding ($872,000, about 38 buyers) for two years in May 2025.

Checked November 2026 · our sourcing

Check if I qualify →

Programs that work anywhere in the state

A home in Parma also qualifies for 3 statewide programs, Ohio Heroes among them. The full Ohio list · the program matcher

County page: Cuyahoga County

Homebuyer classes near Cuyahoga County

Plan on a homebuyer class. Nearly every assistance program makes you take one before closing. These HUD-approved agencies near Cuyahoga County teach the class or offer one-on-one counseling before you buy:

Agency	City	Miles	Services	Languages	How it is taught
Community Housing Solutions	Cleveland	5 mi	Buyer class / Pre-buy advice	English / Spanish	In person / By phone
Benjamin Rose	Cleveland	6 mi	Buyer class / Pre-buy advice	English / Spanish	In person / By phone / Online
Breaking Chains Inc	Beachwood	8 mi	Pre-buy advice	English	By phone
Home Repair Resource Center	Cleveland Heights	10 mi	Buyer class / Pre-buy advice	English	In person / By phone / Online
El Centro De Servicios Sociales, Inc	Lorain	24 mi	Buyer class / Pre-buy advice	English	By phone

From HUD's list of approved housing counseling agencies. A class one program accepts may not count for another.

Which class counts? Ask the loan officer before you sign up. Lenders who handle Ohio programs know which course is required, and they can get your pre-approval moving while you study. Start the eligibility check

Questions from Parma readers

What is the price limit for Parma down payment assistance?

$219,000. The home must also be a single-family, owner-occupied property in Parma.

Who runs the Parma program?

Believe Mortgage (CHN Housing Partners), with funding from the City of Parma and Cuyahoga County.

Does the Parma loan have to be repaid?

Yes, eventually. It is a deferred loan with no monthly payment, repayable when you sell, transfer the title or refinance.