What down payment assistance can a first-time buyer get in Texas in 2026?
Two state agencies run down payment assistance in Texas: TDHCA and TSAHC. Both can give a first-time (or repeat) buyer help worth up to about 5% of the loan. The differences are in who qualifies and how the money is structured.
TDHCA vs TSAHC: the two Texas programs
TDHCA (the Texas Department of Housing and Community Affairs) runs My First Texas Home and My Choice Texas Home. TSAHC (the Texas State Affordable Housing Corporation) runs Homes for Texas Heroes and Home Sweet Texas. Both pair a first mortgage with down payment and closing-cost assistance; the right one depends on your job, your buyer status, and your income.
| Feature | TDHCA | TSAHC |
|---|---|---|
| Programs | My First Texas Home / My Choice Texas Home | Homes for Texas Heroes / Home Sweet Texas |
| Assistance | Up to ~5% of the loan | Up to ~5% of the loan |
| Structure | Deferred or forgivable second lien | Forgivable second or grant-style option |
| First-time required? | Some options yes, some no | No — repeat buyers eligible |
| Best fit | Income-eligible first-time buyers | Teachers, first responders, and others (Heroes) |
How much, and how it's structured
Most options provide up to about 5% of the loan amount — on a $300,000 loan that's roughly $15,000 toward your down payment and closing costs. The money is a second lien. In a deferred structure you owe it back later (often at 0% and only when you sell or refinance); in a forgivable structure it can be written off after you stay in the home for a set period. Which you want depends on how long you plan to stay.
Who qualifies
- Credit: generally around a 620 minimum.
- Income limits: set by program and county, with higher ceilings in the Austin and Dallas metros — commonly in the ~$97,000 (1–2 person) to ~$111,550 (3+) range, but verify your county.
- Buyer status: some options require first-time status (no ownership in three years); TSAHC's Heroes and Home Sweet Texas options allow repeat buyers.
- Education: a homebuyer education course is usually required.
You can only use one down payment assistance program per purchase — they don't stack on top of each other.
How DPA fits the Texas tax picture
Assistance helps with the cash to close, but remember the monthly side: Texas property tax drives your payment. Plan both together. Our guide on Texas affordability shows how the tax rate shapes what you qualify for, and filing your homestead exemption keeps that payment in check after you close.
Common questions
How much down payment assistance can I get in Texas?
Most Texas programs provide up to about 5% of the loan amount — roughly $15,000 on a $300,000 loan — as a second lien used for your down payment and closing costs. The exact amount depends on the program and your loan size.
Do I have to be a first-time buyer to get Texas DPA?
Not always. Some TDHCA options require first-time status (no ownership in three years), but TSAHC's Homes for Texas Heroes and Home Sweet Texas options are open to repeat buyers.
Do I have to pay Texas down payment assistance back?
It depends on the option. Deferred second liens are repaid later (often at 0%, when you sell or refinance); forgivable options can be written off after you live in the home for a set period. We match the structure to how long you plan to stay.
What credit score and income do I need for Texas DPA?
Generally about a 620 credit score and income under the program limit for your county — commonly in the ~$97,000 to ~$111,550 range, with higher ceilings in Austin and Dallas. A homebuyer education course is usually required.
How Mike + Cornerstone help
We help Texas buyers pick between TDHCA and TSAHC based on your job, your income, and how long you plan to stay — then handle the program paperwork alongside your loan. One DPA per purchase, so choosing the right structure matters.
Talk to Mike first Get pre-approved
No pressure, no commitment. Free 20-minute consult. Mike will look at your scenario and tell you straight whether this works for you.
This article is general information for Texas homebuyers and homeowners, not financial or legal advice, and is not a commitment to lend. Program figures are current as of June 28, 2026 and can change; we confirm the numbers for your specific situation. Equal Housing Lender.