The City of Cranston Department of Community Development offers closing cost assistance for first time buyers (as determined by HUD guidelines) who meet HUDHOME/CDBG income limits guidelines (up to 80% of API) and are purchasing a home in the City of Cranston. The buyer must complete a HUD approved 8 hour minimum homebuyers class.

The maximum amount of assistance is $3000. The buyer must sign an agreement that they will live in the property for 5 years following the closing date and the agreement will be recorded at the City Clerk's office. The assistance will become a grant after 5 years. Buyer must have a State Lead inspection and provide a Lead Safe Certificate before receiving funds. The buyer can't receive closing assistance funds from the seller or cash back at closing. Department requires 3 business days prior to closing to review documentation and determine grant amount. The lender or closing agent is responsible for arranging the commiunication of the settlement statement to the Development office. The assistance will be a check payable to the buyer AND the closing agent and will be the lesser amount of actual covered services up to the $3000 cap.

Costs covered are: appraisal fees, credit report, title search, cost of title insurance policy (including survey deletions), flood certification fees, bank processing fees, closing attorney fees, recording fees, and some miscellaneous charges.