Shared Appreciation Mortgage (SAM)

Upfront Costs Keeping You from Buying a Home?

KHC’s Shared Appreciation Mortgage offers up to 25% of your home’s purchase price or appraised value to help cover down payment and closing costs through a 0% interest, deferred payment second mortgage. In exchange, you repay the loan plus a share of your home's appreciation when you sell, refinance, or reach a set maturity date. These funds help replenish the SAM program pool, allowing KHC to serve more homebuyers.

What is SAM?

The SAM program is designed to accelerate the production of single-family housing in Kentucky. The barrier to produce new housing stock is greater than many families can afford; lowering that threshold can make the dream a reality for those families.

For first time homebuyers and new construction only. Income limits and other eligibility requirements apply.

Watch to See How the SAM Program Helped Amanda Become a Homeowner

Is SAM Right For You?

Path to homeownership. Borrow up to 25% of the home’s price or appraised value to cover down payment and closing cost.
Lower monthly payments. A larger down payment can reduce your monthly mortgage bill and may eliminate the need to purchase private mortgage insurance (PMI).
No appreciation = no equity share. If your home doesn’t increase in value, there isn’t appreciation to share. You repay only the original SAM principal loan and your first mortgage.
Share future equity. Repay the SAM loan plus a set portion of your home’s appreciation in a lump sum when you sell, refinance, pay off your first mortgage, or another maturity event occurs.
Home values can decline. If you sell at a loss, you still owe the full SAM principal even if the proceeds of the sale are not enough to pay off the first mortgage and the SAM Loan.
Limited eligibility. Available only for new construction, first-time homebuyers, and borrowers who meet requirements.

Infographic comparing a $250,000 home purchase today to its $335,979 sale in 10 years, highlighting loans, equity, and repayment amounts with arrows and labeled house graphics.

How to Apply

Take the Homebuyer Education Course (Required)

This course will help you understand SAM program requirements and your financial obligation. Adequately completing this course is required for homebuyers who wish to utilize SAM. There is a cost of $35 to potential homebuyers, paid to eHome America, the training provider.

Homebuyer Education Course

Contact a Lender When You're Ready

A SAM-approved lender can help you with the process. Find a SAM-approved lender in our Lender Directory to get started.

Find A SAM-Approved Lender

Frequently Asked Questions

What is the Shared Appreciation Mortgage (SAM)?

The SAM is a zero interest, deferred payment second mortgage designed to help first time homebuyers close the affordability gap. It can provide up to 25% of the purchase price, reducing the amount a buyer needs to borrow on their first mortgage and helping make homeownership more attainable.

What is shared appreciation?

Shared appreciation is the borrower’s portion of the home’s value increase, calculated based on how much SAM assistance was provided. This amount is paid back at the time the SAM becomes due.

Can SAM funds be used for investment or rental properties?

No. The property must be owner occupied and located in Kentucky.

The full program guides are be housed in KHC's AllRegs.