Are you hoping to buy a home in Texas but worried about affording the down payment or qualifying for a favorable mortgage rate? Depending on your profession or household income, you may qualify for a first time home buyer Texas assistance program. Even if you already own a home or have purchased a home in the past, you may still qualify for one of these programs.
The Texas State Affordable Housing Commission (TSAHC) provides access to fixed-rate mortgage financing, down payment assistance grants and mortgage credit certificates for teachers, police officers, corrections officers, fire fighters, EMS personnel, veterans and low and moderate-income households.
30 year Fixed Rate Mortgage Loans for Texas Homebuyers: How to Determine Program Eligibility
TSAHC provides 30 year fixed interest rate mortgage loans, down payment assistance grants, and mortgage tax credits for eligible homebuyers in Texas. The program is open to first time homebuyers, as well as current homeowners and repeat homebuyers. Individuals who are interested in participating in the program will first need to confirm their eligibility. TSAHC offers an online “eligibility quiz”. Once TSAHC has confirmed your eligibility, you will then need to complete a home buyer/homeowner education course prior to finalizing your home loan. TSAHC provides information for buyers to directly contact an approved lender who participates in TSACH’s homebuyer program. TSAHC also offers access to a network of Texas Association REALTORS, although the program does not require participants to use a specific realtor.
Homes for Texas Heroes Program: Do You Qualify?
The “Homes for Texas Heroes Program” is a homebuyer assistance program designed specifically for teachers, police officers, correctional officers, fire fighters, EMS personnel, and veterans who meet certain income requirements. This assistance includes a low, fixed-rate home mortgage loan and TSAHC’s Mortgage Credit Certificate (MCC) Program, which allows eligible Texas homeowners to claim up to $2,000 of their annual mortgage interest as a tax credit each year.
- Teachers: To qualify for a teacher home loan under the “Homes for Texas Heroes Program”, you must be employed full-time in a Texas public school as a classroom teacher, teacher aide, school librarian, school counselor, or school nurse. The program’s benefits also cover allied health faculty and nursing faculty who are employed at a Texas college or university.
- Police officers: To qualify for a police officer home loan under the “Homes for Texas Heroes Program”, you must be elected, employed, or appointed as a full-time peace officer under Article 2.12, Code of Criminal Procedure, Section 51.212 or 51.214 or Education Code and licensed through the Texas Commission on Law Enforcement. You may also be employed or appointed full-time as an armed public security officer through Texas or a political subdivision of Texas.
- Correctional Officers: To qualify for a correctional officer home loan under the “Homes for Texas Heroes Program”, you must be a full-time employee of the Texas Department of Criminal Justice (TDCJ) who receive hazardous duty pay, typically as a corrections officers or juvenile corrections officer. You may also qualify if you are employed full-time as a county jail guard under Section 85.005, Local Government Code.
- Firefighters & EMS Personnel: You may qualify for loan assistance if you are a member of a fire department that performs a function listed in Section 419.021(3)(c) of the Texas Government Code. This includes permanent, full-time fire department employees who are not secretaries, stenographers, clerks, budget analysts, or similar support state persons or other administrative employees. EMS personnel defined under Section 773.003 of the Texas Health and Safety Code also qualify if you are a full-time emergency care attendant, emergency medical technician, emergency medical technician-intermediate, emergency medical technician-paramedic, or a licensed paramedic.
Veterans Assistance Programs
In addition to qualifying for the “Homes for Texas Heroes Program”, veterans may also qualify for an affordable home through the Affordable Communities of Texas- Veterans Housing Initiative (ACT-VET). Created in 2012, TSAHC is a partnership Bank of America and the National Community Stabilization Trust that provides renovated vacant homes to U.S. military veterans who are disabled with a low or moderate income. Due to the program’s popularity, only a limited number of homes still remain in the program’s portfolio. Additional information on this program, including qualifications and available inventory, is available on TSAHC’s website for ACT-VET.
Low-Income Home Buyer Assistance
TSAHC also offers first-time home buyer assistance for individuals and households with qualifying incomes. First-time home buyers may be eligible for low, fixed-rate mortgage loans and down payment assistance grants, as well as TSAHC’s Mortgage Credit Certificate Program. For more information on income eligibility requirements, visit TSAHC’s website and complete the "Eligibility Quiz". Note that TSAHC defines a "first-time home buyer" as any family or individual that has not owned or had an ownership interest in a home within the past three years.
Texas Home Loan Assistance Program Benefits
Loan assistance programs include a 30-year fixed interest rate mortgage loan with a net DPA, which means no upfront points or fees are taken out of assistance. The net down payment assistance (varying between 2 to 5 percent) does not need to be repaid. Program participants do not need to be first-time homebuyers. There is no minimum requirement for living in the home. Additional information on these program benefits, as well as the rates available for individuals based on FICO scores, VA or USDA, or HFA Preferred Conventional homebuyer status is available on TSAHC’s loan and home down payment assistance website.
2 Point Highlight
1- The Texas State Affordable Housing Commission (TSAHC) provides access to fixed-rate mortgage financing, down payment assistance grants and mortgage credit certificates for teachers, police officers, corrections officers, fire fighters, EMS personnel, veterans and low and moderate-income households.
2- TSAHC provides 30 year fixed interest rate mortgage loans, down payment assistance grants, and mortgage tax credits for eligible homebuyers in Texas.
