HB1597: HB1597 Georgia Dream Expansion and Housing Affordability Act of 2026; enact

Georgia's Department of Community Affairs runs home buyer assistance programs, including the Georgia Dream Loan Program, that currently offer $10,000 to $12,500 in down payment help. This bill finds that rising home prices and interest rates have made that amount insufficient, and rewrites Georgia law (O.C.G.A. Title 50, Chapter 8) to expand the assistance. The bill would require the department to offer a $30,000 loan for down payment assistance and a separate $15,000 loan for closing costs on a primary residence. These loans would carry zero interest and would not require regular payments; instead, 10 percent of the balance would be forgiven each year, with any remainder forgiven after ten years of living in the home. The department would also raise income eligibility to 140 percent of the area median income in high cost counties, and set aside at least 20 percent of annual program funding for first generation homebuyers and public service workers such as teachers, police officers, firefighters, EMTs, and healthcare workers.

• Raises down payment assistance loans under department housing programs to $30,000 and adds a separate $15,000 closing cost assistance loan for primary residence purchases.
• Structures these loans as zero interest and non amortizing (no required monthly payments), with 10 percent of the balance forgiven each year on the closing anniversary.
• Forgives any remaining loan balance in full after 10 years of the buyer living in the home as their primary residence.
• Raises income eligibility limits for department loan programs to up to 140 percent of the area median income in high cost counties.
• Requires at least 20 percent of annual program funding to be set aside for first generation homebuyers and qualified public service professionals.
• Defines 'first-generation homebuyer' and 'qualified public service professional' for purposes of the new eligibility rules.

Georgia home buyers applying to Department of Community Affairs loan programs such as the Georgia Dream Loan Program, especially first-generation buyers and public service workers like teachers, police officers, firefighters, EMTs, and healthcare professionals, along with the department that administers the funding.

Buyers using these state programs could receive up to $45,000 in combined assistance instead of about $10,000 to $12,500, with the loans forgiven over time rather than repaid, which could make homeownership reachable for more middle-income and first-time buyers in high-cost Georgia counties.

• Section 1 titles the bill the 'Georgia Dream Expansion and Housing Affordability Act of 2026.'
• Section 2 states legislative findings that current down payment assistance of $10,000 to $12,500 is insufficient given rising home prices and interest rates.
• Section 3 adds new Code Section 50-8-310 defining 'first-generation homebuyer' and 'qualified public service professional.'
• Section 3 adds new Code Section 50-8-311 setting a $30,000 down payment assistance loan and a $15,000 closing cost assistance loan for department housing programs.
• Section 3 adds new Code Section 50-8-312 making these loans zero interest and non amortizing, forgiving 10 percent annually and any remainder after 10 years, raising income eligibility to 140 percent of area median income in high-cost counties, and reserving at least 20 percent of funding for first-generation buyers and public service professionals.
• Section 4 repeals any conflicting laws.

1. 2026-03-27House Second Readers (House)
2. 2026-03-25House First Readers (House)
3. 2026-03-23House Hopper (House)

• Derrick Jackson (D, HD-068)Primary sponsor
• Billy Mitchell (D, HD-088)
• Teddy Reese (D, HD-140)
• Jasmine Clark (D, HD-108)
• Debra Bazemore (D, HD-069)

• housing affordability
• homeownership assistance
• Georgia Dream program
• down payment assistance
• public service workers