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The Texas Department of Housing and Community Affairs and other organizations offer numerous ways to help people afford a home especially if they are first-time homebuyers in the state. According to Texas A&M University’s Real Estate Research Center, a huge wave of demand has fueled the housing market in Texas, at the start of 2021, the homes were selling in a record 43 days’ time. Your company has submitted all the required documents to make loan reservations.
A number of factors are considered when determining an applicant’s eligibility for Single Family Direct Home Loans. At a minimum, applicants interested in obtaining a direct loan must have an adjusted income that is at or below the applicable low-income limit for the area where they wish to buy a house and they must demonstrate a willingness and ability to repay debt. The VLB Veterans Housing Assistance Program provides Veterans and Military Members with loans, where VLB is in first lien position of the primary residence. It’s possible for a Veteran or Military Member to have one active loan in each program — land, home, and home improvement — at the same time. If you are eligible, the quiz will then direct you to contact a participating lender in your area. TSAHC offers help for veterans, new borrowers, and experienced home owners–there is no first-time home buyer requirement with My Choice Texas.
Single Family Housing Direct Home Loans in Texas
At the Texas State Affordable Housing Corporation , we help Texans buy a home for themselves and their families. We are a nonprofit organization that was created by the Texas Legislature to help Texans achieve their dream of homeownership. Our Homes for Texas Heroes Program offers home loans and down payment assistance for teachers, police officers, firefighters and EMS personnel, corrections officers, and veterans. Eligible utility payments include electricity, natural gas, propane, water, and wastewater. The program is administered by the Texas Department of Housing and Community Affairs with funding provided by the Homeowner Assistance Fund under the American Rescue Plan Act of 2021.

The quiz will let you know if you meet the program requirements and the types of assistance you qualify for. To qualify, you must have a credit score of 620 and meet certain income requirements. For this program first-time home buyers may qualify for a Mortgage Credit Certificate and there are additional perks for those who use down payment assistance in conjunction with MCC. Exclusions may apply so you will need to discuss this option with a participating lender.
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Students in their last year of dental school, may be eligible to receive loan repayment assistance from the NHSC Students to Service Loan Repayment Program. These loans are widely available if a borrower has a lower credit score or limited savings, they can opt for an FHA loan. A minimum credit score of 580 is required and with a down payment of just 3.5 percent they can qualify for the FHA loan. The Texas Department of Housing and Community Affairs offers the My First Texas Home program for first-time homebuyers, which is a 30-year mortgage with a low interest rate and interest-free down payment assistance of up to 5 percent.

For example, if a home costs $100,000 and a down payment of 5% is required, you must pay $5,000 at the time of purchase. USDA Rural Development’s Section 502 Direct Loan Program provides a path to homeownership for low- and very-low-income families living in rural areas, and families who truly have no other way to make affordable homeownership a reality. Providing these affordable homeownership opportunities promotes prosperity, which in turn creates thriving communities and improves the quality of life in rural areas. Once a Veteran, or his or her successor, has successfully paid off a VLB home loan s/he may obtain another VLB home loan.
Do I Qualify?
Fairway Independent Mortgage Corporation is a SETH and TDHCA Participating Lender. SETH and TDHCA do not directly take nor process mortgage loan applications. Eligibility subject to program stipulations, qualifying factors, applicable income and debt-to-income restrictions, and property limits. These materials are not from HUD or FHA and were not approved by HUD or a government agency. A borrower could become eligible for the program even with a low credit score of 620, but they need to also meet the program’s income and purchase price requirements, which could vary depending on the county.

Applications are reviewed to determine whether the homeowner qualifies for program assistance. Visit the National Archives to request your military service records online, by mail, or by fax. Records include DD214/separation documents, personnel records and medical records.
Medical Faculty Loan Repayment Programs
VLB programs are financed with bonds, which are serviced by loan payments from Veteran and Military Member participants. Awards faculty members up to $40,000 over 2 years in student loan debt for serving at an eligible health professions school. Licensed, non-physician, health care providers, for 1 year of service in a medically underserved area of Texas. U.S. citizen or permanent legal resident , practicing an eligible type of health care/dental care, and agree to practice at an eligible practice site in the 22-county T.L.L. Temple Foundation service area.

The program serves educators, police officers, firefighters, EMS, county jailers, and correctional officers. Provides assistance to eligible Texas homeowners with qualified hardships to pay past due property taxes, property insurance and past due mortgage statement, property tax statement, insurance statement, and/or homeowner/condo association fees. Packagers are encouraged to routinely visit the Direct Loan Application Packagers page for information and resources specific to packaging single-family housing direct loans.
You can choose to receive the down payment assistance as a grant or a deferred forgivable second lien loan . If you’re eligible, you can essentially receive free money to help you buy a home. This program makes the DPA available as either a forgivable second lien on the mortgage or as a grant that never has to be repaid. These loans are offered statewide through the network, borrowers do not have to use a realtor, and income limits apply. This program is available through the TDHC network of lenders and may be offered in conjunction with government-backed mortgage loan programs including VA mortgages and FHA home loans. TDHCA’s My Choice Texas Home program offers an identical low-rate mortgage and up to 5 percent assistance to help cover the closing costs and down payment for first-time or repeat homebuyers.
TSAHC was created in 1994 as a self-sustaining nonprofit housing organization. At TSAHC we believe that every Texan deserves the opportunity to live in safe, decent and affordable housing. Our programs target the housing needs of low-income families and other underserved populations in Texas who do not have acceptable housing options through conventional financial channels. All TSAHC programs are offered statewide, with special attention given to rural areas and other select target areas.
Please note that assistance is subject to funding availability and that both types of assistance cannot be used together. This program can be used to get any loan like the Fannie Mae HFA Preferred or Freddie Mac HFA Advantage conventional loan, the FHA loan, VA loan, or USDA loan. But if the borrower sells the home or refinances their mortgage before that, then they will need to repay it back. Along with the FHA, VA, or USDA loan, a Fannie Mae HFA Preferred conventional loan can also be availed by the borrower through this program. The borrower is supposed to also take a homebuyer education course which is available free of charge through Texas Homebuyer U. You will be directed to the appropriate resources in order to participate.
In addition to a low interest rate, these programs offer down payment and closing cost assistance in the form of a grant. Aimed at borrowers with low to moderate incomes (and not just first-time buyers), this program also features a network of participating lenders offering 30-year fixed rate mortgages with down payment assistance offered for up to five percent of the loan. This program offers loans through a Texas network of participating lenders; 30-year fixed-rate mortgages which include down payment assistance as a grant or forgivable loan for up to five percent of the loan amount. Services through this program include the mortgage itself through a network of participating mortgage lenders, plus down payment help and closing cost assistance.