There are several programs and organizations serving the Brainerd Lakes Area that help people purchase a home. The help they provide includes low interest rate home loans, affordable new home construction, down-payment and closing cost assistance, and education about the process of buying and owning a home. The different types of homeownership programs available in the City of Brainerd and the Brainerd Lakes Area are listed below.

Homeownership Education

Home Stretch Homeownership Education Classes: The Central Minnesota Housing Partnership offers classes in the City of Brainerd about the basics of homeownership. The three classes include information about what to look for when selecting a house to buy, what to know about home loans (mortgages), and how to maintain a home once you buy it. Completing the three Home Stretch courses can provide you with an opportunity for a lower-interest mortgage.

• For a schedule of upcoming classes in Brainerd, click here.

• For more information about the Home Stretch program, click here.

Credit Rating Improvement/Financial Counseling: The Baxter offices of Lutheran Social Services (LSS) have a full-time qualified credit counselor on staff to work with people to improve their credit rating, to allow them to qualify for a quality, low-interest home loan. For more information, contact LSS Credit Counselor Sandi at (218) 829-5000, or visit the LSS financial counseling website by clicking here.

Low Interest Home Loan Programs

The Minnesota Housing Finance Agency (MHFA) Minnesota City Participation Loan Program (MCPP): The Brainerd Housing and Redevelopment Authority (HRA) and the Crow Wing County HRA offer the MCPP below market rate interest home loan program in Crow Wing County each year. The MCPP provides first-time homebuyers (persons who have not owned a home in the past three years) with access to below market rate interest home loans. The MCPP program exists each year as long as funds are available.

• For information about current home loan interest rates, click here.

• For information about lenders who provide the MCPP program in Crow Wing County, click here.

• For information about income limits and maximum loan amounts, click here.

• For more information about the MCPP program, click here.

The Minnesota Housing Finance Agency (MHFA) Minnesota Mortgage Program (MMP): The MMP home loan program is similar to the MCPP home loan program listed above, but it is generally available throughout the year, and has slightly different interest rates and loan types.

• For information about current home loan interest rates, click here.

• For information about lenders who provide the MMP program in Crow Wing County, click here.

• For information about income limits and maximum loan amounts, click here.

• For more information about the MMP program, click here.

• For more information about MHFA contact Barb Collins by e-mail or call the MHFA Consumer Information Line at 651-296-8215 or 1-800-710-8871

Rural Development: The United States Department of Agriculture (USDA) Rural Development agency offers home loan programs that provide below market interest rates as low as 1%. For more information about Rural Development home loan programs, including interest rates, loan terms, and other information, please call Katie at (218) 829-5965 ext 4.

Information regarding the Rural Development home loan programs can be accessed by clicking below:



• 502 Direct Loan Program

• Guaranteed Loan Program

Home Construction Programs

Central Minnesota Housing Partnership (Woodridge Of Dumbeck Estates)

Habitat for Humanity: The Lakes Area Habitat for Humanity chapter assists families in building and purchasing their first home. Families are expected to help with the construction of the home. Habitat provides a contract for deed home loan in which the payments are structured at 20% of a family’s monthly income. Habitat for Humanity is one of the leading homeownership programs nationwide. Families are selected who cannot get a home loan conventionally and meet other criteria. For more information call (218) 828-8517 or email.

Region 5 Development Commission Home Construction Programs: Region 5 has a home construction program in which homes are built for low and moderate income homebuyers by a construction crew provided by the Minnesota Department of Corrections. The crew, who are all minimum security inmates with no violent or serious crimes on their records, is supervised by a full time qualified carpenter. Homes are sold to families for their appraised value which is generally between $110,000 and $150,000. For more information click here.

Rural Development: The United States Department of Agriculture (USDA) Rural Development program offers home loan programs that provide below market rate (as low as 1%) interest rate programs. For more information about Rural Development home loan programs, including interest rates, loan terms, and other information, please call Katie at (218) 829-5965 ext 4.

Information regarding the Rural Development home loan programs can be accessed by clicking below:



• 502 Direct Loan Program

• Guaranteed Loan Program

The Minnesota Housing Finance Agency (MHFA) Minnesota City Participation Loan Program (MCPP)

The Minnesota Housing Finance Agency (MHFA) Minnesota Mortgage Program (MMP)

Other Programs

Housing Choice Voucher Homeownership Program: The Brainerd HRA offers homeownership opportunities to households receiving rental assistance through the Housing Choice Voucher (HCV) Homeownership Program. Eligible households can use their HCV assistance to make house payments for a home they are purchasing. For more information, contact Tania at (218) 824-3433 or for more general information about how the program works click here.

Down Payment and Closing Cost Assistance Programs

MHFA ECHO
MHFA HAF

Homeownership Websites

Minnesota Homeownership Center
MHFA Homes
GMHF link