Home Ownership Across Texas
Developed by the Southeast Texas Housing Finance Corporation (SETH), the Homeownership Across Texas Program was designed to help individuals and families achieve their dreams of owning a home of their very own. The reality is that in many cases, the monthly payments on a mortgage for a home are very affordable, but the prospect of setting aside a large sum of money for a down payment can seem almost impossible.
Instead of expecting families or individuals to spend years saving up and scraping by to slowly accumulate the funds needed for these payments, the Homeownership Across Texas Program offers assistance to qualified homebuyers in the form of a grant payment intended to cover down payment and closing costs on their desired home.
By helping eligible homebuyers tackle the steep price of a down payment and closing costs, one of the largest barriers to homeownership is removed for families and individuals who would otherwise be entirely eligible financially. These expenses are often cited as one of the major reasons more and more people continue to rent instead of investing into a property of their own, and can often lead to a feeling of being trapped as a cycle because of the challenge that comes with saving up such a large amount of money over time.
Homebuyers who obtain financing through an FHA, VA, or USDA home loan are eligible to receive 5 percent of the total loan amount as a grant. Anyone financing their purchase through a conventional loan will receive 3 percent instead. There are no expectations of repayment, and no recapture period involved. Best of all, there is no first-time homebuyer requirement associated with eligibility.
To qualify for the Homeownership Across Texas Program there are certain requirements that need to be met, including:
- Credit Score – The credit score that your lender uses during the mortgage qualification process must be at least 620 or higher in order to also qualify for the Homeownership Across Texas Program.
- Annual Income – Depending on the specific county where your home is located, your annual income will need to be below certain limits to be eligible for this program.
- Education – A specific requirement of the Homeownership Across Texas Program is that all applicants must complete an eligible homebuyer education course online or in person. The available programs that are available for you to can be completed can be discussed in person during your application process.
- Loan Approval – All borrowers will need to have applied, and been approved for a 30-year FHA, VA, USDA, or Conventional mortgage loan through an approved lender participating in the Homeownership Across Texas Program.
Another important thing to consider when applying for the Homeownership Across Texas Program is that although you are not required to be a first-time homebuyer to qualify, it cannot be used for additional property. The new or existing single-family home that you are planning to purchase using these funds will need to be occupied as your primary place of residence.
Another specific requirement for your purchase is that the price may not exceed certain limits that can vary depending on which county within Texas the home is located in as well as the type of loan you have qualified for. A conversation with your lending agent is the best way to determine the specific limits of these requirements based on your situation.
Another important thing to keep in mind is that although your home can be located anywhere in Texas, certain counties do not participate in this program. Those locations include Travis County, the city of El Paso, Grand Prairie, and McKinney.
Work with TX Home Now to Get Approved!
With years of experience helping individuals find and successfully purchase their dream home, our team of talented professionals at TX Home Now can work with you to get approval for a Homeownership Across Texas grant along with a mortgage all at once! By taking the time to gain a clear understanding of your specific goals, expectations, and financial concerns, we can find the program that will work best for you, and explain all of the different financing options that are available to you, including this wonderful grant program so you can ultimately decide what works best for you and your needs.
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