Loans & Down Payment Assistance

The Homes for Texas Heroes and Home Sweet Texas Home Loan Programs are available for teachers, fire fighters, peace officers, veterans, and low and moderate-income homebuyers. These programs are available through a network of lenders across the state and all provide the following benefits:

  • A 30-year fixed interest rate mortgage loan
  • No upfront origination points charged to you
  • Net 3%, 4%, or 5% in down payment assistance
  • You do not need to be a first-time homebuyer
  • You do not need to live in the home for any set period of time

Fivee options are available to help individuals purchase a home: 

 
Standard Assistance Options
HFA Preferred ASSISTED Option
HFA Preferred UNASSISTED Option

Interest Rate and Granted Down Payment Assistance (DPA gift does not need to be repaid)

  • 5.00% with 5% Net DPA
  • 4.75% with 4% Net DPA
  • 4.50% with 3% Net DPA

5.125% with 3% Net DPA

4.625%

Type of Loan

FHA, VA or USDA

Conventional

Conventional

Minimum Down Payment Required

3.5%

3.0%

(Unlike traditional conventional loan that requires 5%)

3.0%

(Unlike traditional conventional loan that requires 5%)

Available to Purchase a Home

Available to Refinance Existing Mortgage

FICO Score Requirements

640

680*

 

680*

 

Debt-to-Income 

(DTI) Ratio Maximums

45%**

45%**

45%**

Upfront Mortgage Insurance Costs Yes No No

Lower Monthly Mortgage Insurance Premiums/Costs

No

Mortgage Insurance Cancellable at 78% LTV

No

Property Types
  • New or existing single family homes
  • Duplexes or fourplexes 
  • Condos and townhomes
  • Planned Unit Developments
  • Manufactured home 
  • New or existing single family homes
  • Townhomes
  • Planned Unit Developments 
  • New or existing single family homes
  • Townhomes
  • Planned Unit Developments
Payment Comparison Chart View Chart View Chart View Chart

*FICO scores can be as low as 640 depending on the home buyer's loan to value (LTV) ratio. Learn More.

**DTI ratios may be higher for home buyers with higher FICO scores and lower LTVs. Learn More. 


Have questions?

Find answers to the most commonly asked questions here.

Key Steps to Qualify

  1. Take the Eligibility Quiz
  2. Attend a homebuyer education course
  3. Work with an approved lender