HUNTSVILLE, Ala. (WHNT) — For the first time in almost 15 years, the Alabama Housing Finance Authority (AHFA) is offering the First Step Mortgage Revenue Bond program.

The program is intended to help first-time and lower-than-average-income people afford a home.

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It opened applications on April 15th for the program.

Carrie Hamaker, the Single Family Administrator for AHFA, told News 19, “It’s a huge deal for us, the last time the program was available in our state with Alabama Housing was in 2010.”

Homebuyers who earn less than the median income for their area can apply for one of two special 30-year fixed mortgage interest rates. That includes a 5.5% rate for FHA, VA, or USDA loans and 6% for a Freddie Mac HFA conventional mortgage.

“It’s going to make it a lot more affordable, especially with interest rates on the rise for them to become homeowners,” Hamaker said.

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She said the program has received $35 million dollars to help people with down-payment assistance, of up to $10,000.

To qualify, people must meet the income requirements, live in the state of Alabama, and plan to live in the home after it is purchased. The income limits require people to make less than the median income for their area.

Hamaker said one of the challenges to the program is that not enough people know about it.

“The hurdle is knowing that it’s out there and knowing to ask your lender about it,” she said. “So we’ve been working really hard and diligently to ensure that we educate realtors, home builders, and lenders in our state so that they know that this program is out there.”

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News 19 spoke to Khamari Hughes, a recent home buyer about his experience.

“I purchased my first house last August,” he said. Being a young, first-time homeowner, he said his biggest piece of advice for other people in his position is to get their finances in order before starting the home search.

Hughes did not utilize the First Step program, however, he told News 19 that he did work with his lender on a different kind of down-payment assistance program.

He said he encourages other home buyers to look into what options are out there.

“I would definitely recommend you looking around and doing your research,” Hughes said.

To learn more about the First Step mortgage program, and apply, click here.

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