New Rochelle Expands Down Payment Assistance Program to Open More Doors to Homeownership

The City of New Rochelle has announced a major expansion of its Down Payment Assistance Program (DPAP), broadening eligibility requirements to help more individuals and families achieve homeownership in the city. The updated program officially took effect on May 14, 2026. 

The DPAP program provides eligible first-time homebuyers with up to 19% of a home’s purchase price, helping reduce one of the biggest barriers to purchasing a home: the down payment. Previously, eligibility was primarily limited to current New Rochelle residents who had lived in the city for at least 12 months. Under the expanded guidelines, the program will now also include:

• Individuals employed full-time within New Rochelle for at least two years
• Business owners operating within the city
• Former New Rochelle residents who previously lived in the city for at least two years and can provide documentation of residency history 

City officials say the changes are designed to strengthen housing accessibility, support workforce retention, and encourage former residents to return to the community.

Mayor Yadira Ramos-Herbert emphasized the broader community impact of the initiative, noting that expanding access to homeownership helps strengthen neighborhoods, families, and long-term community investment. Council Member Shane Osinloye also expressed support for opening the program to former residents, particularly those who grew up in New Rochelle and hope to return as homeowners. 

The expanded DPAP initiative aligns with several ongoing housing efforts in the city, including proposed amendments to the Downtown Overlay Zone and the continued development of Stella Phase II, a fully affordable condominium project expected to launch its housing lottery later this year. 

To help educate prospective buyers, the city will host two informational sessions at New Rochelle City Hall on June 1 in English and June 4 in Spanish. Both sessions will run from 6:00 p.m. to 7:30 p.m.