Baton Rouge has a second housing authority, and a lower credit floor
Program and regulatory figures verified October 5, 2026. Details change; confirm your scenario with us.
East Baton Rouge buyers have three sets of options rather than one, and the parish authority reaches a borrower the state programmes cannot.
Who CAFA is
The Capital Area Finance Authority is a local housing finance authority serving the Baton Rouge area. It is a separate operator from the Louisiana Housing Corporation, with its own programmes, its own credit standards and its own parish income limits.
That matters because a buyer in East Baton Rouge is not choosing between LHC programmes — they are choosing among LHC's four, CAFA's, and on the HomeStart Plus side the disaster-recovery money as well. All of it, for Baton Rouge.
★ The credit floor that matters
Every LHC programme stops at 640: "Loans with a score less than 640 are not eligible." CAFA lists 620 on two of its programmes.
| Programme | Minimum FICO | First-time buyer? |
|---|---|---|
| CAFA First Home | 620 (640 for U.S. Bank) | Required |
| CAFA Platinum | 620 | Not required |
| Eustis Edge | 640 | Not required |
| Hometown Heroes | — | Required |
For a borrower whose score sits in the 620s or low 630s in the Baton Rouge area, that gap is the difference between having an assistance option and not having one. It is the single most useful thing on this page.
Note the asterisk CAFA attaches to First Home: 620, but 640 for U.S. Bank — so the servicer on the file can move the floor. Confirm which applies before you rely on it.
The first-time buyer position
CAFA states it directly: "With the exception of our CAFA First Home and our Hometown Heroes Programs, you do not need to be a First Time Homebuyer to use our programs."
So CAFA Platinum and Eustis Edge are open to repeat buyers, in the same way LHC's HomeStart Advantage is. A Baton Rouge repeat buyer therefore has more than one route, which is not true in most of the state.
★ What the assistance can pay for
CAFA's description is broader than most: its programmes "provide qualified homebuyers with funds that can be used for down payment, closing costs, prepaid items and even for assistance with Private Mortgage Insurance costs."
Assistance toward PMI is genuinely unusual. On a conventional loan with a small down payment, mortgage insurance is often the line item that decides whether the payment works — and it is rarely something an assistance programme will touch. If you are comparing a conventional route against FHA in East Baton Rouge, this is worth putting into the comparison.
Income and loan limits
CAFA sets income limits by parish and publishes programme-specific maximum loan amounts rather than relying on the agency limits alone. Those figures move with CAFA's bond issuances and its servicer arrangements, so they should be confirmed at reservation rather than assumed from a web page — including this one.
★ CAFA publishes a current bond rate on its homebuyers page. We do not reproduce rates anywhere on this site; ask CAFA or your lender for the figure that applies on the day you lock. Why we publish no rates.
How to use CAFA
Through a participating lender, as with LHC. CAFA maintains an approved lender list and says the first step is to find a participating lender who can check your eligibility for a CAFA grant programme. Potential homeowners are welcome to contact CAFA directly on 225-413-1166.
CAFA or LHC?
A reasonable order to work through, for a Baton Rouge area buyer:
- First-time buyer under 80% AMI in East Baton Rouge? Start with HomeStart Plus — up to $55,000 dwarfs everything else, if the property clears the flood zone and ratio tests.
- Score under 640? CAFA, which is the only route listed at 620.
- Need help with PMI specifically? CAFA.
- Otherwise, compare LHC's 4% forgivable programmes against CAFA's current terms on your actual numbers.
Terms here were read from CAFA's own pages on 2026-10-05. Local authority programmes change on their own schedule and with their own bond issuances, so confirm before relying on them.
Frequently asked questions
What is the Capital Area Finance Authority?
A local housing finance authority serving the Baton Rouge area, separate from the Louisiana Housing Corporation, with its own down payment assistance programmes, credit standards and parish income limits.What credit score does CAFA require?
CAFA lists a 620 minimum FICO on CAFA First Home, noting 640 for U.S. Bank, and 620 on CAFA Platinum. The Eustis Edge programme lists 640. That is below the 640 floor that applies to every Louisiana Housing Corporation programme.Do I have to be a first-time buyer for CAFA programs?
Not for all of them. CAFA states that with the exception of CAFA First Home and its Hometown Heroes programmes, a buyer does not need to be a first-time homebuyer to use its programmes.Can CAFA assistance pay for mortgage insurance?
CAFA states its programmes provide funds that can be used for down payment, closing costs, prepaid items and even for assistance with private mortgage insurance costs, which is unusual among assistance programmes.Mike Certo · NMLS #260555 · Cornerstone First Mortgage NMLS #173855 · Equal Housing Lender. Educational content about financing, not a loan commitment and not legal or tax advice. Louisiana Housing Corporation programme terms, income limits and purchase price limits are set by LHC and change; figures here carry the date we verified them against LHC's published documents. LHC assistance is a zero-interest forgivable second mortgage, forgiven only if occupancy and programme requirements are maintained. Federal recapture tax may apply on HomeStart Assist bond loans; consult a tax advisor. Loans are subject to borrower and property qualification.