Teacher Next Door and Other Home Buyer Assistance for Educators

Trying to buy a home on a teacher's salary can be difficult, but there are national, state, local and lender-specific programs that can provide some relief. Doing your homework — sorry, we couldn't resist — could help you save thousands of dollars through home loans for teachers, as well as closing cost and down payment assistance.

Teacher Next Door program

The Teacher Next Door program helps teachers, administrators and educational support staff, including coaches, maintenance staff and bus drivers, find housing assistance programs and benefits. Teacher Next Door directly offers eligible home buyers grants of up to $6,000, which don't have to be repaid. The program's counselors can also connect you with down payment assistance of up to $10,681.

Other perks can include discounted title insurance fees, an appraisal rebate and a real estate agent rebate if you use a buyer's or seller's agent chosen for you by Teacher Next Door or you're already working with an agent affiliated with the program. Not all of the programs are available in every state, so after you complete a pre-application form, you'll be contacted with eligibility information.

You don't pay for Teacher Next Door's services, so what's the catch? Teacher Next Door isn't a government program or a nonprofit; it's a private agency. In order to take advantage of its services and benefits, you'll work with one of its two partner lenders. That means that you won't be able to shop for a lender or compare rates.

That said, completing the Teacher Next Door pre-application doesn't have any negative impact (your credit score isn't pulled), so it could be worth it to pre-apply and speak with a representative to learn about your eligibility. Depending on your circumstances and your priorities, you might decide that trade-off is outweighed by the program’s grant and/or down payment assistance.

Homes for Heroes program

Homes for Heroes Inc. offers a suite of discounted services to home buyers who are current or former teachers, from pre-K all the way to postsecondary. (Other jobs within the education system may qualify, too; contact Homes for Heroes to learn more.) Working with Homes for Heroes can help offset the costs of buying, selling or refinancing a home.

» MORE: How the Homes for Heroes program works