Orleans Parish (NORA target areas)

NORA HERO soft second for New Orleans homebuyers

Buyers at or below 100% of area median income who purchase a home built or renovated by a NORA-selected developer can receive a soft second mortgage of up to $70,000, sized to documented need.

HERO (Homeownership Expansion and Resilience Opportunities) soft second

Taking applications

Orleans Parish (NORA target areas)

Help available: Up to $70,000 soft second, based on documented need and underwriting
Kind of help: Deferred loan, due at sale or refinance
Who it's for: Buyers of homes built or renovated by NORA-selected developers; at or below 100% AMI; no principal residence owned in the prior 3 years
Income cap: 100% AMI (latest HUD limits)
Only for first-time buyers?: Yes
Also worth knowing: Must qualify for a first mortgage and occupy as primary residence for the affordability period; may own no more than a 50% interest in other residential property. Buyers do not apply to NORA; they buy from participating developers. Can be layered with the City's soft second (NORA subordinates).

The Oct 21 - Dec 1, 2026 window is for DEVELOPER applications, so homes with HERO subsidy will come to market after awards. For the first 30 days of marketing, homes may go under contract only to 'Good Neighbor' households (law enforcement officer, firefighter, EMT, pre-K-12 teacher). NORA also runs NOHIP (developer program, 80% AMI buyers; developer window July 6 - Aug 6, 2026).

Checked November 2026 · our sources

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How HERO money reaches a buyer

HERO, short for Homeownership Expansion and Resilience Opportunities, is run by the New Orleans Redevelopment Authority (NORA). It works through the supply side: NORA chooses developers, and the subsidy is attached to the homes they build or renovate. You don't apply to NORA for a voucher. Instead, you buy a HERO home from a participating developer, and the deferred second mortgage of up to $70,000 is set based on documented need and underwriting.

Timing matters. The October 21 to December 1, 2026 window is for developer applications, so the homes carrying HERO subsidy reach the market after NORA makes awards. NORA's separate NOHIP effort, aimed at buyers at or below 80% AMI, also works through developers; its 2026 developer window ran July 6 to August 6.

Who can buy a HERO home

Household income must be at or below 100% AMI using the latest HUD limits, and you can't have owned a principal residence in the prior three years. You also need to qualify for a first mortgage and live in the home as your primary residence for the full affordability period. Owning up to a 50% interest in other residential property is allowed. For the first 30 days a HERO home is marketed, only households with a law enforcement officer, firefighter, EMT or pre-K through 12 teacher can go under contract; the Good Neighbor first look page covers that window. Local employers and limits are on the Orleans Parish page.

Layering HERO with other help

HERO can be stacked with the City of New Orleans Direct Homebuyer Soft Second, with NORA subordinating its lien to the City's. Pairing HERO with an LHC HomeStart Advantage first mortgage is not covered in the sources we reviewed, so a participating lender confirms whether they combine. One rule to watch: HomeStart Advantage does not allow you to own another residential property at closing, while HERO tolerates a partial interest, so a buyer with such an interest may fit HERO but not Advantage.

How to get ready

Since homes arrive after developer awards, the best move now is preparation. Get pre-approved for a first mortgage, gather income documents for everyone in the household, and confirm your income against the 100% AMI limit. Follow NORA's HERO page for listings from selected developers, and if someone in your household works in one of the four Good Neighbor jobs, have proof of employment ready for the first 30 days. Our step-by-step homebuying timeline shows what to finish first, and you can check your eligibility for the state program at the same time.

Parishes we cover that it serves: Orleans Parish.

What people ask about HERO (Homeownership Expansion and Resilience Opportunities) soft second

Can I apply to NORA directly for HERO money?

No. HERO subsidy is attached to homes from NORA-selected developers, so you get it by buying one of those homes.

When will HERO homes be for sale?

The 2026 window from October 21 to December 1 is for developer applications, so subsidized homes come to market after NORA makes awards.

Can HERO be combined with the City of New Orleans soft second?

Yes. NORA states HERO can be layered with the City's soft second, and NORA subordinates its lien.

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Summarized from the program's official page as of November 2026. Funding and rules can change, so confirm the current terms with the program or a lender who takes part. Louisiana Down Payment Assistance has no connection to this program.