Programs for Persons with Disabilities: Home Purchase and Modification Assistance

The Pennsylvania Housing Finance Agency (PHFA) created special mortgage programs to help persons with disabilities become homeowners. These programs make it easier to buy a home and make changes to improve accessibility. Whether you need a ramp, a widened doorway, or bathroom modifications, PHFA has funding available. The agency designed these programs specifically for people with disabilities who might struggle to save enough money for a down payment or home improvements on their own.

Persons with disabilities face unique challenges when buying a home. They may need to modify their property to live safely and independently. Standard mortgage programs often do not address these special needs. PHFA programs bridge this gap by offering affordable financing with flexible terms and no monthly payments on assistance loans.

Access Home Modification Program Overview

The Access Home Modification Program provides subordinate mortgage financing for home modifications. Borrowers can access up to $10,000 in non-interest bearing funds. These loans require repayment only upon sale, transfer, or non-owner occupancy of the property. If you keep living in the home, you do not have to pay back the modification loan when you refinance. You may include the payoff in the new mortgage or let PHFA subordinate the original assistance mortgage depending on the terms.

Home modifications must be completed within 90 days of closing. The agency reviews plans and specifications during pre-closing review. However, PHFA does not certify the work or take responsibility for completion. You should hire professionals who specialize in accessibility modifications and assistive technology to design and complete the work properly.

Loan amounts range from $1,000 minimum to $10,000 maximum
Subordinate mortgage secured in second lien position unless downpayment assistance is also used
No interest charged and no monthly payment required
Funds cannot reimburse you for work already completed before application
Works with all PHFA first mortgage programs including conventional, FHA, VA, and Rural Development loans

Eligible Modifications Under the Access Program

Home modifications covered under the Access program must address the individual needs of the person with permanent physical disability. The agency has approved a wide variety of improvements. Ramps and sidewalk additions help with mobility. Widened doorways and hallways provide better access throughout the home. Lifting devices like elevators, chair lifts, and stair glides offer essential mobility assistance.

Bathroom and kitchen modifications create safer, more functional spaces. You can lower cupboards, countertops, appliances, light switches, and electrical outlets to meet your needs. Grab bars and handrails prevent falls and provide support. A main level bathroom addition eliminates the need to use stairs. Assistive technology such as smart home systems also qualifies for funding.

Bathroom modifications including grab bars and handrails
Kitchen changes such as lowering cabinets, counters, and outlets
Lifting devices including elevators, chair lifts, and stair glides
Main level bathroom additions
Ramp and sidewalk additions or repairs
Widened doorways and hallways for wheelchair accessibility
Assistive technology installations

Access Downpayment and Closing Cost Assistance

The Access Downpayment and Closing Cost Assistance program helps disabled homebuyers cover initial purchase costs. This program provides a deferred payment loan with no interest. The loan becomes due only upon sale, transfer, or non-owner occupancy. You must also qualify for an Access Home Modification loan to use this program. You cannot combine it with other PHFA downpayment and closing cost assistance programs.

Income limits apply to the Access Downpayment program. Household income cannot exceed 80 percent of the Statewide Family Median Income, which is $81,600 for 2025. Household liquid assets after closing cannot exceed $5,000. For loans with loan-to-value ratios greater than 80 percent, you must contribute the lesser of $1,000 or 1 percent of the loan amount from your own verifiable funds.

Loan amounts range from $1,000 minimum to $15,000 maximum
Income limit of 80 percent Statewide Family Median Income (SFMI)
Liquid assets limited to $5,000 after closing
Must also obtain an Access Home Modification loan
Non-interest bearing loan with no monthly payment

Eligibility Requirements for Disability Programs

To qualify for PHFA disability programs, you must have a permanent disability or have a disabled family member living with you who has a permanent disability. You must be purchasing a new or existing home that needs accessibility modifications. You also must qualify for one of PHFA's first mortgage programs such as Keystone Home, Keystone Flex, conventional, FHA, VA, or Rural Development loans.

The home must be a single-family property. PHFA will evaluate your credit, income, employment, and assets using standard underwriting. You must complete homebuyer education as required by your first mortgage program. If you are combining programs, you must meet all guidelines including income and purchase price limits for each program you use.

Permanent disability in the household (applicant or family member)
Purchasing a home needing accessibility modifications
Qualified for a PHFA first mortgage program
Single-family home property only
Homebuyer education required
Credit, income, and asset requirements based on first mortgage program
Full adherence to all program guidelines for combined programs

How Escrow Works for Modification Funds

PHFA offers two escrow options for modification funds. The lender can hold the escrow and manage contractor payments. Or PHFA can hold the escrow and manage all payments. Your lender will complete a form indicating which option applies. If PHFA holds the escrow, the agency will schedule initial and final inspections to verify the work meets your approved contract.

When the lender holds escrow, PHFA sends funds via electronic transfer within seven days of loan approval. The lender manages all draw payments with your written approval on each request. Upon completion, an inspector must certify that work matches the approved contract. When PHFA holds escrow, you request payments directly from the agency limited to two payment requests. PHFA handles inspections and verification.

Lender-held escrow gives lender control over payments and draws
PHFA-held escrow gives agency control over fund disbursement
PHFA transfers funds within seven days of loan approval for lender-held option
Initial payment to contractor cannot exceed 25 percent of total modification loan
Final inspection required to certify completion before remaining funds release
All draw payments require borrower written approval
Work must be completed within 90 days of closing

Getting Started with Your Application

The first step is working with a lender who participates in PHFA programs. Your lender will explain all available first mortgage options and assist you in selecting the program that works best for your situation. Once you have qualified for a first mortgage program, your lender can add the Access Home Modification loan and potentially the downpayment assistance.

You will need to provide documentation of your disability and describe the modifications you need. Work with professionals who specialize in accessibility design to develop plans and specifications. Your lender will submit these plans to PHFA for review. The agency will assess whether the proposed work is reasonable and meets program requirements. You can move forward with closing once PHFA approves your complete application.

Frequently Asked Questions About Disability Programs

Who is eligible for PHFA disability programs?

You are eligible if you have a permanent disability or have a family member with a permanent disability living with you, and you are purchasing a home. You must also qualify for a PHFA first mortgage program like Keystone Home, Keystone Flex, or a conventional loan.

Can I use disability program funds to pay for work already completed?

No. Loan proceeds cannot reimburse you for materials purchased or work completed before your application date. All work must occur after you receive loan approval.

What happens when I sell my home or refinance my mortgage?

If you sell or transfer the property, the Access Home Modification loan becomes due and payable. When you refinance, you may include the payoff in the new mortgage or let PHFA subordinate the original assistance mortgage. Repayment is not required simply because you refinance if you continue to occupy the home.

How much money can I borrow for home modifications?

The Access Home Modification Program provides a minimum of $1,000 and a maximum of $10,000. The Access Downpayment and Closing Cost Assistance provides a minimum of $1,000 and a maximum of $15,000. The amount depends on your specific needs and situation.

Are there any monthly payments on disability assistance loans?

No. Both the Access Home Modification loan and the Access Downpayment and Closing Cost Assistance loan are non-interest bearing with no monthly payment. You only repay the funds if you sell, transfer, or no longer occupy the property.