Employer Assisted Housing (EAH) program

Employer Assisted Housing (EAH) programs connect employees with home buying help through their workplace. These programs give workers extra cash for down payments and closing costs. Your employer partners with the Pennsylvania Housing Finance Agency (PHFA) to stretch your home buying dollars further.

Many workers in core community jobs face a real problem. Teachers, nurses, police officers, firefighters, and other essential staff earn decent wages but still cannot afford housing near where they work. They spend hours commuting each day. They miss family time. They feel disconnected from the communities they serve.

EAH programs solve this problem. Your employer gives you a home purchase benefit. If you get a PHFA mortgage through a participating lender, you also qualify for extra down payment and closing cost help. Everyone benefits from this arrangement.

How Employer Assisted Housing Works

The process is straightforward. Your employer offers a monetary home purchase benefit to eligible workers. This benefit does not have to tie to a PHFA loan, but it works best when combined with one.

When you work with a participating lender and get a PHFA mortgage, something special happens. You unlock additional down payment and closing cost assistance. This extra help costs your employer nothing. You receive it at no cost either.

The combination of your employer's benefit plus PHFA assistance saves thousands of dollars over your mortgage life. A typical scenario looks like this: your employer gives you $5,000 for a home purchase. You get a PHFA loan. Then you receive an extra $8,000 in down payment assistance. That is $13,000 in total help.

Benefits for Employees Using EAH Programs

The main benefit is clear and powerful: increased down payment and closing cost assistance of up to $8,000 through the Keystone Advantage Assistance Loan program. This help comes based on your actual need. There is no percent cap limiting what you can get.

Beyond the extra cash, EAH combined with PHFA loans gives you additional advantages:

Competitive interest rates set by the market
Fixed-rate terms for 30 years
Free homebuyer counseling before closing
Low fees compared to conventional mortgages
Down payment assistance with no income restrictions attached

Consider the math. A teacher earning $45,000 per year might save $15,000 in total help toward a home. Combined with a PHFA loan's lower rates, this teacher saves thousands in interest charges over 30 years. That makes the difference between owning a home and renting forever.

Benefits for Employers Sponsoring EAH Programs

Why do employers invest in EAH programs? The answer is simple: these programs work for business. EAH programs reduce turnover costs significantly. When teachers own homes in the school district, they stay longer. When nurses own homes near the hospital, they show up more reliably.

Greater employee retention saves employers money and improves operations. EAH also becomes a powerful recruiting tool. Job candidates compare offers more carefully now. A company offering home buying help stands out from competitors.

Other employer benefits include the following:

Controlled expense with pre-determined budgeted amounts
Community revitalization through employee homeownership
Reduced tardiness and sick leave use
Stronger employee loyalty and morale
Good public relations and community standing

Police departments, fire departments, school districts, hospitals, and county governments across Pennsylvania sponsor EAH programs. These organizations understand that stable employees who own homes serve their communities better and stay in their jobs longer.

Who Qualifies for Employer Assisted Housing?

To qualify for an EAH program, you must work for a participating employer. Your employer has already set up the program and chosen which employees can participate. Some programs open to all staff. Others limit participation to certain job categories.

Beyond employment, you need to meet PHFA mortgage requirements. You must be a first-time homebuyer for most PHFA programs. You need a credit score that meets PHFA standards. Your debt-to-income ratio cannot exceed PHFA limits.

You also must complete homebuyer education through a PHFA-approved counselor. This training covers budgeting, credit, the home buying process, and what to expect at closing. The counselor helps you feel prepared and confident.

Income limits apply depending on which PHFA program you choose. However, EAH through the Keystone Advantage Assistance Loan has generous income limits. Teachers, nurses, police officers, and firefighters typically fall well within allowable ranges.

Understanding the Keystone Advantage Assistance Loan

The Keystone Advantage Assistance Loan is the program that works best with EAH. This program provides down payment and closing cost help based on your actual financial need.

Here is how it works: your lender calculates how much down payment and closing costs you need for your specific home purchase. The Keystone Advantage Assistance Loan fills that gap. You receive a second loan that pays these costs for you.

The assistance comes as a second mortgage on your home. It does not require monthly payments. Instead, the loan balance gets forgiven over time or becomes due when you sell your home. This flexible structure makes it easy to afford both the assistance and your primary mortgage payment.

No percent cap limits how much assistance you can receive through the Keystone Advantage program. This sets it apart from other down payment assistance programs that limit help to 3 percent or 5 percent of the purchase price.

Combining Your Employer Benefit with PHFA Help

The magic of EAH happens when you combine two funding sources. Your employer gives you money for a home purchase. PHFA gives you additional down payment and closing cost help. Together, these sources can cover your entire down payment.

A real-world example shows the power of combination. A school employee earns $48,000 per year. The school district provides a $6,000 home purchase benefit. The employee finds a $220,000 home and gets approved for a PHFA mortgage.

Without EAH, the employee needs $11,000 down (5 percent) plus $4,500 in closing costs. That is $15,500 total. The employee has saved only $8,000.

With EAH and PHFA assistance, the school benefit provides $6,000. The Keystone Advantage Assistance Loan provides $8,000. Total assistance is $14,000. The employee needs only $1,500 out of pocket.

Getting Started with an EAH Program

Start by asking your employer's human resources department if EAH exists in your company. Ask for program details. Get the list of participating lenders.

Next, contact a PHFA-approved lender that participates in your employer's EAH program. This lender understands your employer's process and PHFA requirements. They guide you through every step.

Your lender will help you complete a homebuyer education course. They will review your finances and discuss which PHFA program suits you best. They explain rates, terms, and what to expect at closing.

The lender orders an appraisal on the home you want to buy. They verify your income and employment. They check your credit and run underwriting. Once approved, you move toward closing.

FAQs About Employer Assisted Housing

What if my employer does not offer an EAH program yet?

You can suggest it to your human resources or benefits department. Share information about PHFA's EAH initiative. Show how other employers benefit from reduced turnover and better morale. Many employers add EAH after employees request it. Your employer can call PHFA at 717-780-3871 for more details about launching a program.

Do I have to use my employer's benefit through a PHFA lender?

No. Your employer's benefit does not have to tie to a PHFA mortgage. However, combining it with a PHFA loan unlocks extra assistance. The additional help costs your employer nothing, so most employees choose to combine both when possible.

Can I get EAH if I am not a first-time homebuyer?

Most PHFA programs require first-time homebuyer status. However, some PHFA programs have different rules. Discuss your situation with your lender. They may find a PHFA product that works for you even if you owned a home before.

How much money can I get through Employer Assisted Housing?

The amount depends on your employer's benefit and the Keystone Advantage Assistance Loan. Your employer decides how much to provide. PHFA assistance reaches up to $8,000 based on your need. Total assistance often covers your entire down payment and closing costs.

Does EAH assistance affect my credit or require monthly payments?

EAH assistance in the form of a second mortgage appears on your credit report, but it does not require monthly payments. The loan stays in second lien position behind your primary mortgage. Forgiveness terms vary by program. Your lender explains the exact terms before you close.

PHFA Mortgage Products

PHFA offers several mortgage programs that work with EAH. The HFA Preferred program serves first-time buyers with competitive rates. The Keystone Home Loan program helps moderate-income families. The Keystone Flex program adapts to different borrower situations. Every program combines with EAH to give employees maximum help.

Why Employer Assisted Housing Matters to Your Community

EAH creates positive change in neighborhoods and workplaces. When employees own homes where they work, the community benefits. Teachers invest in school success because their children attend those schools. Police officers protect neighborhoods where their families live. Nurses care for patients in communities that are actually their homes.

Homeownership builds wealth for workers who earn modest incomes. Instead of paying rent forever, teachers and nurses build equity. After 30 years, they own homes free and clear. This wealth transfers to their children and strengthens family security.

How to Learn More About EAH Programs

Contact the Pennsylvania Housing Finance Agency directly for more information. Call 717-780-3871 to learn about EAH and participating employers in your area.

Talk to your employer's human resources department. Ask if your company sponsors an EAH program. If not, suggest starting one. Share how other organizations use EAH to improve employee retention and recruitment.

Find a participating lender near you. Ask specifically about EAH experience and how they guide employees through the process. A good lender makes EAH simple and stress-free.

Next Steps After Learning About EAH

Take action today. Homeownership is within reach through Employer Assisted Housing. Your employer wants you to succeed. PHFA wants to help you buy a home. Participating lenders stand ready to guide you through the process.

Call your HR department today. Ask about EAH. Get the list of approved lenders. Reach out to a lender and start the conversation. Within months, you could be buying your first home with substantial help toward down payment and closing costs.

Summary of Employer Assisted Housing Benefits

Employer Assisted Housing combines two powerful sources of help. Your employer provides a home purchase benefit. PHFA provides down payment and closing cost assistance up to $8,000. Together, these sources often cover your entire down payment and closing costs.

EAH opens homeownership doors for teachers, nurses, police officers, firefighters, and other community workers. It reduces commute times, increases family time, and builds community connections. For employers, EAH improves retention, reduces turnover costs, and strengthens recruitment.

If your employer sponsors EAH, use it. Start the conversation with a participating lender today. Homeownership is within reach.