Median Sale Price
$343,779
Texas statewide median (May 2026)
+0.9% YoYTexas · Programs & Market GuideFirst-Time Buyer Programs
First-Time Buyer Programs
in Texas
3.5%Minimum FHA down payment
580Minimum credit score (3.5% down)
$541,287FHA loan limit — most Texas counties
43%Standard max debt-to-income ratio
The short version
First-Time Buying in Texas at a Glance
Texas first-time buyers can access statewide down payment assistance, mortgage credit certificates, and loan programs through agencies like the Texas State Affordable Housing Corporation (TSAHC) and the Texas Department of Housing and Community Affairs (TDHCA). Most programs attach to a 30-year fixed-rate mortgage and require the buyer to meet income and purchase price limits that vary by county.
3.5%
Min. down payment (580+ score)
10%
Down payment if score 500–579
1.75%
Upfront MIP added to loan
The programs above are not the same as a federal FHA loan, but they are frequently used together. A buyer can pair TSAHC or TDHCA assistance with an FHA-backed mortgage to reduce both the down payment and the cash needed at closing. Meeting the program income limits is a separate step from qualifying for the underlying mortgage itself, so both approvals matter.
Common misconception: Qualifying for a Texas assistance program does not guarantee mortgage approval, and qualifying for the mortgage does not automatically make you eligible for the assistance. Both sets of criteria apply independently.
Texas housing market
Statewide Market Snapshot
The Texas resale market spans a wide range of conditions depending on the metro area, with some markets moving quickly and others giving buyers more time to negotiate. Understanding whether a given city leans toward buyers or sellers helps set realistic expectations before making an offer.
Price, Year over Year
+0.9%
Change in Texas median sale price
vs. last yearDays on Market
68 days
Statewide median before contract · Source: Redfin
Homes Sold
27,548
Recent month across Texas · Source: Redfin
The figures shown reflect recent market data and are provided as illustrative context for planning purposes; they are not a commitment or projection of future market conditions.
Down payment help
Homebuyer Programs in Texas
State, county, and city programs that can layer on top of an FHA loan to reduce your out-of-pocket costs. Many are stackable.
TSAHC Homes for Texas Heroes
Texas State Affordable Housing Corporation
- Benefit
- Down payment assistance of 2% to 5% of the loan amount
- Structure
- Grant or deferred/forgivable second lien, depending on the product reserved. For teachers, firefighters and EMS, police and correctional officers, and veterans. Credit scores as low as 620. Not limited to first-time buyers.
Source: Texas State Affordable Housing Corporation · Verified Sep 8, 2026
TDHCA My First Texas Home
Texas Department of Housing and Community Affairs
- Benefit
- Up to 5% of the mortgage loan
- Structure
- 30-year deferred repayable second lien or a 3-year deferred forgivable second lien, plus a 30-year first mortgage. First-time buyers (no ownership interest in a primary residence in the past three years); waived in targeted areas and for qualified veterans. Typically 620+ score. Homebuyer education required.
Source: Texas Department of Housing and Community Affairs · Verified Sep 8, 2026
TDHCA My Choice Texas Home
Texas Department of Housing and Community Affairs
- Benefit
- Up to 5% of the mortgage loan
- Structure
- Same DPA structures as My First Texas Home (deferred repayable or 3-year forgivable second) with no first-time buyer requirement. County income limits apply. Homebuyer education required.
Source: Texas Department of Housing and Community Affairs · Verified Sep 8, 2026
Stacking assistance with an FHA loan. Many Texas down payment assistance programs are specifically designed to layer on top of an FHA loan, covering some or all of the 3.5 percent minimum down payment and, in some cases, a portion of closing costs. TSAHC's Homes for Texas Heroes and Home Sweet Texas programs, for example, offer either a grant or a deferred forgivable second lien that pairs directly with FHA financing. Using a second lien rather than a grant means reading the terms carefully, since some liens become due if you refinance or sell before a specified holding period.
Sound familiar?
Texas Buyer Profiles
Common buyer situations we see in Texas, and how financing typically works for each.
Profile A
Steady Income, Limited Savings
A buyer with consistent employment and manageable monthly obligations but little set aside for upfront costs may be a strong candidate for a grant-based assistance program. Grants do not need to be repaid, which keeps the monthly payment tied only to the primary mortgage. The trade-off is that grant programs often carry slightly adjusted mortgage terms, so comparing total cost over the expected time in the home matters more than comparing the upfront number alone.
Minimal savingsStable employmentGrant preferred
Profile B
Credit in Progress
An FHA loan accepts credit scores that many conventional programs do not, making it a realistic path for buyers still building their credit profile. Pairing FHA with a Texas assistance program can reduce the cash needed at closing, but borrowers in this profile should pay close attention to the FHA mortgage insurance premium, which adds to the monthly cost for the life of the loan in most cases. A plan to refinance once credit and equity improve can change the long-term math.
Lower credit scoreFHA eligibleBuilding credit history
Profile C
Higher Income, First Purchase
Some buyers assume they earn too much for assistance programs, but TSAHC income limits are set at the county level and can accommodate moderate-to-higher incomes in many Texas markets. A buyer in this profile may find a mortgage credit certificate (MCC) more useful than a down payment grant, since an MCC converts a portion of annual mortgage interest into a federal tax credit that reduces tax liability each year the home is owned. The MCC does not lower the payment directly, but it can offset other costs.
Above-average incomeTax credit interestConventional or FHA
Profile D
Public Service Professional
Texas Heroes, administered by TSAHC, targets teachers, nurses, firefighters, police officers, corrections officers, and veterans with enhanced assistance tiers. Eligibility depends on current occupation or veteran status, not length of service in that role. Buyers in this group should verify occupational eligibility before choosing a loan path, since the Heroes program terms can differ meaningfully from the general Home Sweet Texas option.
Teacher or first responderVeteran eligibleOccupation verified
Run the numbers
Texas Payment Estimator
Estimate a monthly payment at Texas price points. Figures are illustrative estimates only, not a quote.
Texas median: $343,779 · FHA limit: $541,287 · Typical close: 30–40 days
Illustrative only, not a quote
Monthly P&I
$2,134
Principal & interest
Monthly MIP
$152
Mortgage insurance premium (MIP)
Total Monthly
Talk to a loan officer$2,286
Before tax & insurance
Illustrative estimates only, not an offer or commitment to lend. Actual rate and costs depend on a full application and credit review. Does not include property tax, insurance, or HOA.
Answers to real questions
Texas Program & Loan FAQs
From the Intra-Mortgage team
What We Tell Texas Buyers
A common mistake is evaluating Texas assistance programs solely by the upfront dollars they provide, without accounting for the full loan structure, potential second lien repayment terms, and how long the buyer plans to stay in the home. The net benefit of any assistance program depends on those variables working together, not on the grant amount in isolation.
Intra-Mortgage Editorial Team
Mortgage Education & ContentWhen reviewing assistance options, a few factors deserve extra attention before committing to a program structure.
What we watch for:
- Second lien repayment terms if you sell or refinance early
- Federal recapture tax rules for grant-based programs
- Income limit verification at the county level before home shopping
Sources & references
Where these figures come from
- 2026 FHA loan limits by countyU.S. Dept. of HUD
- 2026 conforming loan limit baseline ($832,750), which sets the FHA floorFederal Housing Finance Agency
- TDHCA My First Texas Home assistance termsTexas Dept. of Housing (TDHCA)
- TSAHC Homes for Texas HeroesTexas State Affordable Housing Corporation
- TDHCA My First Texas HomeTexas Department of Housing and Community Affairs
DPA-Participating Lender
FHA + assistance in one transaction
5.0 Google Rating
Verified borrower reviews
NMLS #2620605
Equal Housing Lender
Multi-state guidance
Availability shown on each loan officer profile
Your next step
Talk to a loan officer licensed in Texas
No cost, no obligation. A straight answer on what you can afford and which programs you can stack. This is not a commitment to lend.