SPRINGFIELD, Mass. (WGGB/WSHM) - The down payment is often the biggest hurdle to buying a home and Massachusetts is now offering you up to $25,000 to clear it, but only for a limited time.

Starting this week, MassHousing is offering eligible first-time buyers up to $25,000 with zero percent interest and deferred repayment.

That money can go toward a down payment, closing costs, prepaid mortgage insurance or buying down the interest rate.

The expanded program applies to buyers who lock in a MassHousing mortgage between now and the end of July.

State leaders say the goal is to help working families and the middle class compete in a pricey housing market, where saving for a down payment is often the biggest barrier.

Local realtor Erica Swallow explains why this funding can be very important for local buyers.

“The median home price in Hampden County as of last month is $356,000,” she said. “So, if you have to put five percent down, which is pretty typical for a lot of loans, that would mean like $17,000. This program helps that basically turn into a zero percent down loan.”

In order to qualify, you must make no more than 135 percent of the area median income.

Swallow says buyers looking to take part in this program should speak to their lenders or a real estate agent as soon as possible to see if they qualify.

Even though buyers have until the end of July to apply for the assistance, Swallow says don’t wait because these programs can hit their funding limits quickly.