Are you dreaming of owning a home in Texas but worried about the down payment? You're not alone.
Texas housing agencies offer four statewide programs that can provide up to 5% of the mortgage loan amount for down payment and closing costs.
Our free calculator helps you quickly check if you might qualify for:
Simply enter your information below to see which programs you might be eligible for. It takes less than a minute!
Get answers to the most common questions about Texas down payment assistance programs to help guide your homebuying journey.
It depends on the program and option. Assistance may be a grant, a forgivable second lien, or a deferred repayable second lien. Review the applicable term, forgiveness schedule, and repayment triggers before closing.
Consider factors like assistance amount, repayment terms (grant vs. forgivable loan), interest rates, and long-term costs. For example, one program might offer a grant but have a slightly higher interest rate, while another might have a lower rate but require a three-year commitment. We'll help you compare the total costs and benefits of each option for your specific situation.
The statewide TDHCA programs start at 620. TSAHC government options start at 620, while TSAHC conventional options require at least 640. Local programs and individual lenders may use different credit guidelines.
You can receive up to 5% of your loan amount for down payment and closing costs. For example, a $300,000 total mortgage loan amount can support assistance up to $15,000, subject to the selected program and option.
A first-time homebuyer is someone who hasn't owned a home in the past three years. Even if you owned a home previously, you might still qualify as a first-time buyer if it's been more than three years. Additionally, programs like My Choice Texas Home don't require first-time buyer status at all.
Income limits vary by county, program, household calculation, loan type, and assistance option. A participating lender should verify the current limit for the exact property and product.
The home must be your primary residence and located in Texas. Eligible property types include single-family homes, townhouses, and condominiums that meet program standards. Manufactured homes may be eligible if they meet certain criteria. Investment properties and vacation homes are not eligible.
The process typically takes 30-45 days from application to closing, similar to a standard mortgage. However, timing can vary based on your documentation readiness and current program demand. We'll work with you to streamline the process and keep everything moving smoothly.
Yes, these programs can be used with conventional, FHA, VA, and USDA loans. However, you cannot combine multiple down payment assistance programs together. Veterans may want to compare the benefits of using VA loans with down payment assistance versus a standard VA loan to see which offers better terms.
You'll need proof of income (pay stubs, W-2s, tax returns), bank statements, credit reports, employment verification, and identification. For special programs like Homes for Texas Heroes, you'll also need documentation proving your eligible occupation. We'll provide you with a complete checklist based on your specific situation.
