There are many specialized programs to help home buyers when purchasing a home. When exploring home buying programs consider factors such as down payment assistance, closing cost assistance, income limits, credit score requirements, and any specific eligibility criteria. Because NewHomePrograms.com loves helping home buyers save money and specializes in home buying programs, we have compiled a list of the top home buying programs in the Greater Houston Area.
Mortgage Credit Certificate (MCC)
First-time home buyers can apply for the Mortgage Credit Certificate. It provides a maximum refundable tax credit of up to $2,000 each year. To qualify, you must meet certain income requirements and the home must meet certain sales price restrictions. The Mortgage Credit Certificate can also be combined with other home buying programs.
Home Sweet Texas Home Loan Program
Provided through Texas State Affordable Housing Corporation (TSAHC). It offers home loans and down payment assistance to low and moderate-income families. To qualify, you must have a credit score of 620 and meet certain income requirements. Those that are approved can choose to receive the down payment assistance as a grant (which does not have to be repaid) or a deferred, forgivable second lien loan (which only has to be repaid if you sell or refinance within three years).
SETH 5 Star Program
Assistance from Southeast Texas Housing Finance Corporation (SETH). This program provides down payment and closing cost assistance. To be eligible, there are no first-time home buyer requirements, a FICO score of 640, a home maximum sales price of $492,500, and meet program income limits. The maximum amount is 5% of the loan amount. Another option is a Community Second Loan which is forgivable after three years.
My Choice Texas Home
Offered through The Texas Homebuyer Program, it is a good option for Veterans and repeat home buyers. There is no first-time homebuyer requirement, a minimum of 620 credit score, and can receive up to 5% downpayment and closing cost assistance. This program has higher income limits than compared to others.
Montgomery County First-Time Home Buyer
The restrictions on this program are not that strict and could get you up to a $12,600 grant. Applicants must be a first-time home buyer or have not owned a home within the last three years. Household income that falls below 80% of the area median income. The home sales price as set by HUD, is a maximum of $227,000 for pre-existing homes and $251,000 for new homes. It can be used with an FHA, Conventional, USDA, or VA loan.
Home for Texas Heros
Provided through Texas State Affordable Housing Corporation (TSAHC). Home loans and down payment assistance for teachers, police officers, firefighters and EMS personnel, corrections officers, and veterans. Applicants must have a credit score of 620 or higher, household income and purchase price limits do apply. If approved, you can choose to receive the down payment assistance as a grant (which does not have to be repaid) or a deferred, forgivable second lien loan (which only has to be repaid if you sell or refinance within three years).
Veteran Land Board Land Loan
Allows Texas Veterans and Military Members the opportunity to borrow up to $150,000 to purchase land at competitive rates and generally only requires a minimum of 5% down payment. Land must be a track of 1 acre or more. Applicants must meet veteran eligibility requirements. There are also a few guidelines for the land to qualify as well. The track must be located entirely in Texas, not owned by the buyer within the previous three years, and have legal/usable access to a public road, are just a few.
Veteran Land Board Home Loan
Texas Veterans and Military Members can get access to home loans with low-interest rates and little to no down payment. Currently, those eligible can receive up to $726,200 on a fixed-rate loan for 15, 20, 25, or 30-year terms. Veterans with a VA service-connected disability rating of 30% or greater qualify for an additional discounted interest rate.
Texas Veterans Home Improvement Program (TVHIP)
Also offered by the Veteran Land Board, this program is essentially a loan to make improvements to a Veteran’s existing home. Once approved, a loan could be up to $50,000.00 for a 2-20-year term or loans from $7,500 – $10,000.00 for a 2-10-year term. Again, those with a service-connected disability rating 30% or more can receive at a discounted rate.
By providing this list of top home buying programs in the Greater Houston Area. we hope it helps home buyers in finding and accessing the most suitable programs to make homeownership more affordable and attainable. Just remember each program varies, and guidelines could change based on market conditions at any time. So, if you come across a program that interests you, ask a mortgage professional to see if you qualify and if it is still available.
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