Is THDA Great Choice Plus Forgivable? (Verified 2026)
Short answer: yes. Both the $6,000 and the $10,000 no-payment Great Choice Plus options are forgiven at the end of 10 years. An older THDA guide described them as repaid, and that caused confusion. Here is the current, verified answer.
The verified answer
Great Choice Plus comes in two forms, and only one is forgivable. The no-payment second, either $6,000 or $10,000, carries zero percent interest and no monthly payment, and it is forgiven at the end of a 10-year term. You repay it only if you sell or refinance the home before those 10 years are up. The other form, the amortizing second of up to 5% of the price or $15,000, is a real loan with a monthly payment and is not forgiven.
Why there was confusion
Here is where the mix-up came from. An older version of THDA’s Originating Agents Guide described the no-payment second with language about repayment, which read as if it always had to be paid back. THDA’s current public down payment assistance page is clear that both no-payment amounts are forgiven at 10 years. When a program document and the live program page disagree, the live program terms govern, and we verified this directly in August 2026. This is exactly the kind of detail worth confirming before you count on it, so check the THDA page or ask us.
What it means for your purchase
If you take the $10,000 forgivable second and stay in the home past 10 years, that $10,000 is gone, forgiven, never repaid. That makes it one of the more valuable pieces of assistance in the Southeast for a buyer who plans to stay. If you expect to move sooner, you would repay it from your sale proceeds, which is still a zero-interest, no-payment loan in the meantime. Compare it with the amortizing option on our forgivable vs. amortizing page.
Common questions
Is THDA Great Choice Plus forgivable?
The no-payment Great Choice Plus second ($6,000 or $10,000, 0% interest) is forgiven at the end of 10 years. You repay it only if you sell or refinance before then. The separate amortizing option (up to 5%, max $15,000) is not forgiven.
Why do some sources say THDA assistance must be repaid?
An older THDA Originating Agents Guide described the no-payment second with repayment language. THDA's current public down payment assistance page confirms both no-payment amounts are forgiven at 10 years, verified August 2026. The live program terms govern.
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