From Houston Rentals to Homeownership
Grants to Help with Homebuyer in Houston
If you are in the market for a home, a first-time buyer, or you need to get out of Houston rentals, there are various grant programs that have been established by the City of Houston just for people like you.
There are various housing grants offered by the city for first-time buyers to assist with down payments on their homes.
Homebuyer Assistance Program (HAP)
The Homebuyer Assistance Program or HAP is one of such grant program. This grant makes $19, 500 available in down payment assistance money for those who are qualified.
To be eligible for the HAP grants, the following requirements must be met
- You must be able to get qualification for a mortgage loan from a lender that is approved
- The total income of your family can’t be higher than 80 percent of the median income for residents in the city. A family of three will be $47, 550 a year while a family of four will be $52,800 yearly.
- An eight-hour homebuyer education program that is given by a counseling agency which has the approval of the U.S. Department of Housing and urban development would have to be completed by you. The class is created to assist people in learning more about the process of home buying and what it involves
- Any home you buy cannot be more than $200,160 in price
- The home must be situated in the city of Houston
- An existing or new home would have to be purchased by you, a single-family property can be purchased, this includes a townhouse or condominium, attached or detached units, a cooperative unit or modular unit.
- At least $500 of your own money must be invested toward the home buying transaction
- For the grant amount to be forgiven, you have to live in the home for 10 years.
The Homebuyer Assistance Program is run by the Housing and Community Development Department in the city alongside the City of Houston, with the total goal of making help available to moderate and low-income homebuyers in the city.
The HOME Investment Partnerships Program assists in funding HAP alongside the American Dream Down Payment Initiative, Tax Increment Reinvestment Zone, and the Community Development Block Grant Program.
Another grant program is recognized as the Houston Hope. This grant makes $30,000 to residents who are qualified. The Hope program is an effort by the city to bring about the reinvestment in the historic neighborhood of Houston by utilizing housing stabilization programs which include HOPE and other activities that assist in building these communities.
The program provides residents with the capacity to live in the more established neighborhoods in the city, a lot of which are close to activity centers and major thoroughfares. Fifth Ward, Acres Homes, Denver Harbour, Trinity Gardens, Settegast, Sunnyside and Near Northside are included in these areas. These are part of the sectors that have been selected for revitalization.
This program ensures you are qualified for houses built uniquely for HOPE. Experienced and local builders who utilize products which are energy efficient and cost effective floor plans are responsible for building these homes.
These homes are designed to make provision for monthly payments which are affordable, energy efficiency, various floor plans, recreation facilities and locations close to parks.
The requirements for this program are also similar to the HAP program;
- You cannot own a property at the time the application is made to qualify
- Also, the total income of your family cannot surpass 80 percent of the median income of the city
- A home buyer education program must be completed by you
- The price of the home you purchase cannot be higher than $200,000
- At least $500 of your own money must be placed into the home buying transaction
- For the full amount to be forgiven, you must have to live in the house for at least 10 years
- As mentioned, the added requirement is that the property you purchase must be in one of the areas designated by the mayor as an area of revitalization or the Houston HOPE area.
Housing Down Payment Assistance Program
The Workforce Housing Down Payment Assistance Program is the third program which is offered by the city. Qualified homebuyers can apply for grants of up to $30,000 by the program. The properties you purchase must be situated in designated Houston Hope areas or any other area selected by the mayor for revitalization.
Families who have a higher income than the HOPE initiative are allowed by this program to gain qualification for grant money. Whereas the HOPE program has limitations for income to 80 percent of the median, it is required by the workforce initiative to have a combined family income which is between 80 and 110 percent of the income of median Houston. This basically means that a family of three cab gain qualification if their combined income is as high as $65, 340. If it’s a family of four, the income rises to $72,600.
However, this program has one requirement which is not included in the other programs. The homebuyer has to purchase a home that has been constructed newly. This means that home to be considered is in the stage of planning, at least one year of age or is under construction.
The sale price of the home cannot surpass $150,000 in this program,
The added requirements for the workforce program are related to other programs;
- Getting into the education program for home buyers
- Having an investment of at least $500 toward the home buying transaction
- Having a solid financial position to get a mortgage
Harris County Grants
The Harris County offers a homeownership grant program for those who are qualified. You can get $14,200 for a new home and $9,500 for a home that was pre-owned if you are a first-time homebuyer. The highest sale price for the home cannot surpass $170,500 for a family of four. Just like other grants, the total household income cannot exceed 80% of the median income for the country. Also, there must be enrollment in the homebuyer education program by the homebuyer, the homebuyer must also be able to get a mortgage and must be able to have a contribution of at least $350 toward the transaction.
There is the availability of other grant programs in the Montgomery County and the city of Pasadena, there is the availability of tax credits for first- time home buyers.
Mortgage Grant Help from In the Loop Properties
If you are interested in these programs, In The Loop Properties has a mortgage professional who is experienced and specializes in grant programs for the City of Houston. We can assist you in navigating your way through the process of application to get qualification for these grants.
Just call us. We look forward to aiding you in fulfilling your dream of homeownership in Houston.