Mayor Melton and City of Gary Announce Major Expansion of Down Payment Assistance to Attract and Retain Core Workforce

On Monday, November 17, the Gary Common Council voted 7–0 to pass an amendment to Ordinance No. 9754 sponsored by Mayor Eddie D. Melton, significantly expanding the Down Payment Assistance Program funded through American Rescue Plan Act (ARPA) dollars.  

The amendment is designed to combat the negative economic impacts of the COVID-19 pandemic and address critical workforce retention challenges by making homeownership more accessible for essential workers and city residents looking to purchase homes within Gary's Qualified Census Tracts.

“Our administration is focused on building a stronger, more stable future for Gary, and that begins with supporting the people who serve our community every day,” said Mayor Eddie Melton. “This expansion allows us to put money directly into the hands of our public servants, teachers, healthcare workers, and city employees, making a powerful statement that we want them to live, work, and thrive right here in Gary."

The updated ordinance standardizes and increases the maximum down payment assistance for key personnel to $30,000. This expanded benefit is now available to first responders—including police, firefighters, and EMS—as well as all City of Gary employees, employees of the Gary Sanitary District and Gary Chicago International Airport, teachers, and healthcare workers.

“As a councilman and housing-affordability advocate, I wholeheartedly applaud Mayor Melton and our city’s leadership for this critical amendment to expand pathways into homeownership,” stated Councilman-at-Large Kenneth Whisenton.  

A new tier of assistance is being established for all other City of Gary residents not included in the $30,000 group. These residents will be eligible for down payment assistance up to six percent (6%) of the home’s purchase price, not to exceed Ten Thousand Dollars ($10,000.00).  

“This initiative puts Gary residents first, giving more families access to the greatest wealth building tool in America: owning a home. By increasing our housing base, we’re not just creating more units, we’re creating equity, stability, and generational opportunity for our neighbors,” added Councilman-at-Large Whisenton.

All eligible homes must be located within designated Qualified Census Tracts in the City of Gary. The assistance may be used for a range of expenses, including the down payment, closing costs, prepaid items, discount points, and mortgage rate buy-downs. To ensure long-term community benefit, the home must be maintained as the buyer’s primary residence for an affordability period of five (5) years.

For more information, residents are encouraged to visit www.gary.gov/community-development. Questions and concerns may be directed to commdev@gary.gov or call 219-881-5075.

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Media Contact:

Steve Segura,
Chief Communications Officer  
ofc: 219-293-0101
cell:219-670-8072
em:Stsegura@gary.gov

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