Some homes qualify for bank-funded homebuyer grants based solely on their census tract location — not the buyer's income or background.
Enter any US address to check its census tract status.
Closing costs, prepaid insurance, escrow deposit, real estate taxes, or per diem interest
Purchase an owner-occupied home with a residential mortgage from KeyBank in a designated community
Primary residence first lien purchases only
None — eligibility is based on property location, not buyer income
In 1977, Congress passed the Community Reinvestment Act to require banks to reinvest in the communities where they take deposits — particularly lower-income and minority neighborhoods that had historically been underserved.
The CRA was passed by Congress to address redlining — the historic practice of banks refusing to lend in minority and low-income neighborhoods. Banks are now evaluated and graded on their community reinvestment performance.
The federal government designates census tracts as Low or Moderate income based on how the tract's median family income compares to the surrounding metropolitan area. These designations are published by the FFIEC.
Eligibility comes down to income — the property's census tract income level, or for buyers in other tracts, a household income under 80% of the area median. There is no demographic or minority test to qualify.
Banks translate their CRA requirements into real programs — including homebuyer credits that reduce the cost of purchasing a home in qualifying neighborhoods. These programs are not widely advertised.
Grant eligibility is determined by where the home is located, not who is buying it. Any qualified buyer financing through a participating bank may receive the grant.
The U.S. Census divides every city into census tracts — small geographic units of roughly 1,200 to 8,000 people. Banks use FFIEC-published tract data to identify qualifying communities for their CRA programs.
A tract qualifies when the FFIEC designates it as Low or Moderate income, based on how the tract's median family income compares to the surrounding metropolitan area. There is no demographic or minority requirement.
You do not have to be a first-time buyer, low-income, or a minority to receive these grants. If the home is in an eligible tract and you finance through the participating bank, the credit is available to you.
The credit is applied at closing toward closing costs or prepaid fees. There is no repayment required, and it is based entirely on the property's location and your financing.