Texas Department of Housing & Community Affairs - Building Homes and Strengthening Communities

TDHCA Lowers Rates on Mortgage Loans for First Time Homebuyers; Rates as Low as 5.9 Percent for Qualified Texans

TDHCA has lowered mortgage interest rates for a homebuyer loan initiative designed for low- to moderate-income households purchasing their first home. The Department reduced the interest rate for its Mortgage Revenue Bond Program 56 to 5.9 percent from 6.6 percent, making these rates more competitive with mortgages offered at market rates.

The Department provides these low interest rate home loans through its Texas First Time Homebuyer Program. Individuals and families must meet certain income and credit requirements to qualify for the program and may not have owned a home within the past three years.

For Texans who need assistance with down payment and closing costs, funds are available to income eligible homebuyers for up to $10,000 depending on the county in which the home is located.

To learn more about Bond Program 56, the program's income guidelines, and its participating lenders, please visit the program's website at: www.tdhca.state.tx.us/homeownership/fthb.