We all know there is homebuyer assistance, but did you know that those programs are not only for first time buyers? Check out these 3 programs and empower the masses to achieve the dream of home ownership.
For additional information or to apply, contact a lender certified for each specific program. Lucky for you, our very own Victor Arana is just the man for the job for every one listed.
Harris County Downpayment Assistance Program (DAP)
The Community Services Department Downpayment Assistance Program (DAP) can financially help you purchase your dream house in Harris County, if you are income eligible and a first-time homebuyer.
Harris County Downpayment Assistance Program (DAP) Guidelines:
- Harris County’s down payment assistance for new and pre-existing homes is up to $23,800.00. The maximum purchase price for a pre-existing home is $172,000.00. The maximum purchase price for a new home is $224,000.00.
- Pre-existing homes must be built within the last 20 years.
- The home you buy must be in an unincorporated area of Harris County and cannot be located in the City of Houston, Baytown, or Pasadena, since these cities have their own programs
- To participate in this program, you must live in the new house or the pre-owned house for a minimum of five years, depending on the amount of the award
- Buyer must have at least $350 or 1/2 of lenders downpayment, as required toward the purchase price to invest in the house
- Buyer cannot have more than $10,000 in liquid assets, such as stocks, cash, or bonds
- Buyer must have at least one credit score of 620
- Buyer’s debt front end ratio cannot exceed 39% and DTI cannot exceed 42% (effective August 25, 2014 )
- In order to qualify for downpayment assistance, you must be a first time homebuyer, or not have owned a house for three years prior to applying for assistance, and be income qualified by the chart below
The total family gross income cannot exceed the following:
* Your income is not totally determined from your paycheck. It is also determined by use of your checking, savings, investment, and retirement accounts at a rate of .06 percent, plus any other forms of income you might receive, such as child support, reoccurring gifts, etc.
SETH 5 Star Texas Advantage Program
Not only for first time buyers!
Buyers get a 30 year fixed rate mortgage and a Grant to be used for the down payment and closing costs associated with their home purchase. The maximum Grant is 6%, and is based on your actual loan amount. Grants range from 3%- 6% and you will work with your loan officer to decide the financing options and Grant you would like to use.
The Program is available for the entire State of Texas with the exception of the cities of: El Paso, Grand Prairie, and Travis County. Local Down Payment Programs and MCC Programs may be combined with this program.
- No First Time Homebuyer Requirement
- No repayment or recapture period
- No 2nd lien on property
- Must be Income Eligible (list below)
- Minimum of a 640 Credit Score
- Must Purchase in Program Area
Maximum Income Limits for FHA & VA Loans
Maximum Income Limits for Conventional Loans
Maximum Income Limits for USDA/RHA
My first Texas Home by TDHCA
Not only for first time buyers!
This program allows qualified Texans access to competitive interest rate home loans and down payment and closing cost assistance. Homebuyers who meet the following minimum requirements are eligible to apply for a loan under the program:
- First time homebuyer or a homebuyer who has not owned a home as primary residence within the past three years
- Homebuyer(s) income does not exceed program’s income limit guidelines
- Purchase price of home does not exceed program’s purchase price limit guidelines
- Credit Score/DTI Requirements
- Minimum 620
- Max DTI – No max DTI with AUS approval
- Manual Underwriting Allowed – 45% Max DTI
- Government Loans (FHA, VA, USDA) and Conventional (FNMA HFA Preferred) loan products:
Properties eligible for loans through My First Texas Home include:
- single family units
- single units in condominium developments and planned unit developments
- duplexes as long as one unit of the duplex is occupied by the Eligible Borrower as his or her principal resident and the duplex was first occupied for residential purposes at least five years prior to the closing date
My First Texas Home also provides down-payment/closing cost assistance to eligible homebuyers.