Home Sweet Texas Home Loan Program
Home ownership is still a big part of the American Dream, but it can be challenging to find and purchase an affordable house. Most people who want to buy a house cite high down payment requirements as their biggest hurdle. This isn’t surprising. Home prices are high, and most banks want a 20% down payment. That’s $50,000 for a $250,000 house! With the cost of modern life, it’s just too difficult for most families to save that much money, even when they’ve been responsible with their finances.
At TX Home Now, we connect hard working homebuyers like you to all the programs that could help them get a more affordable down payment. These Down Payment Assistance (DPA) programs were designed for individuals and families who would otherwise be priced out of the housing market because they don’t have a large lump sum of cash for a down payment. One of these is the Home Sweet Texas Home Loan Program.
Home Sweet Texas Home
The Home Sweet Texas Home Loan Program is designed for low- and moderate-income Texas home buyers who need some help coming up with a down payment. This program is available through the Texas State Affordable Housing Corporation (TSAHC). If you’ve been dreaming of owning a home in Texas, but struggling to scrape together a down payment, this could be the program that finally puts you into a home of your own!
- A 30-year fixed interest rate mortgage loan, several rates and loan options available
- Down payment assistance (DPA) provided as a grant (never needs to be repaid) or repayable second lien loan
- DPA available for up to 6% of the loan amount
- You do not have to be a first-time homebuyer
- Available statewide through a network of participating lenders
- First-time buyers can apply for a Mortgage Credit Certificate
The TSAHC does not require borrowers to use an approved realtor, but they provide several resources to help find a realtor familiar with their programs. Click here to learn more about affordable housing specialists in your area. Income limits vary by county. Expanded income and purchase price limits are available in targeted areas.
Q: Who qualifies for the Home Sweet Texas Home program?
A: Any adult homebuyer who meets the eligibility criteria. You must typically have a gross household income below $97,000, but expanded income limits are available in some counties. If you meet the qualifications for TX Home Now, you will very likely qualify for Home Sweet Texas Home.
Q: What if I’m not a first-time homebuyer?
A: You do not need to be a first-time homebuyer to take part in Home Sweet Texas Home. However, if you haven’t owned a home in the past three years, the TSAHC considers you a first-time homebuyer for purposes of eligibility.
Q: What types of down payment assistance are available?
A: Home Sweet Texas Home offers up to 6% down payment assistance as a grant or a second lien loan. If you don’t refinance or pay off your first lien mortgage loan within the first 6 months, you will receive the assistance as a grant which never has to be repaid. Otherwise, if you have a credit score of 680+, you will receive it as a second lien loan at 0% interest and no monthly payments. This loan is repayable on sale, transfer, or refinance of your mortgage.
Q: What is the Mortgage Credit Certificate Program?
A: The Mortgage Credit Certificate (MCC) Program is a federal tax credit for first-time homebuyers. It reduces the amount of federal income tax paid by the homeowner by giving them a credit worth 20% of the mortgage interest paid during the tax year. Eligibility is ongoing as long as the home is your primary residence.
TX Home Now: We Open the Door to Texas Homeownership
Have you been dreaming of closing on a Texas home for you and your family? Don’t let expensive down payments keep you from making your dream a reality! Let TX Home Now guide you on the road to ownership. Our program has no hidden fees and no hidden costs. Call us today to find out if you’re eligible, and let’s get the process started!
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