- If you or someone you know is in need of assistance, please visit our Help for Texans page.
Texas Housing Trust Fund
Homebuyer Assistance Program (Archived)
The HTF Homebuyer Assistance (HBA) Program provides eligible borrowers with up to $10,000 in the form of a zero percent interest loan for down payment and closing cost assistance for the acquisition of a single family home that must be used as a principal residence. The program will serve first time homebuyers and veterans whose annual income does not exceed 80% of the Area Median Family Income.
- To Register a Borrower, visit the Loan Reservation System page.
- Units of Local Government;
- Nonprofit Organizations;
- Public Housing Authorities; and
- For-Profit Organizations.
Download the list of all lending organizations that are currently approved to administer in the Housing Trust Fund HBA program:
Program Details and Requirements
Funding Source: State of Texas
Administrative Fee: 4% of loan amount paid to the Administrator after the loan has closed
Maximum Loan: $10,000
Loan Term: Five to ten years, per borrower’s choice
Interest Rate: 0%
First Payment: Due no later than on the sixty-first (61) month after the first payment date of the Senior Lien loan.
Eligible Properties: New and existing...
- Single family homes
- Manufactured housing (certain restrictions may apply)
Eligible Borrowers: First time homebuyers (This requirement is waived for Veterans, as defined in the NOFA.)
Borrower’s income: May not exceed 80% of the Area Median Family Income (AMFI).
Liquid Assets: May not exceed $15,000 (excluding retirement and/or 401K accounts).
Maximum Debt Ratio: Total debt-to-income ratio may not exceed 45%, unless the Senior Lien(s) are insured or guaranteed by USDA, FHA, VA, Fannie Mae or Freddie Mac.
Home Value Limits: The total contracted purchase price of the housing unit must not exceed the Single Family Mortgage Limits under Section 203(b) of the National Housing Act
Combined Loan-to-Value (CLTV) Ratio: May not exceed 105% of the appraised value.
HBA Program Lien: 2nd or 3rd lien position.
Senior Lien Loan: Fully amortized, fixed-rate loan
Types of Loans: FHA, VA, USDA/RD/RHS, Fannie Mae & Freddie Mac; uninsured loans are subject to the Department’s approval.
Fees/Points: Administrator may charge borrower the following fees (unless the Senior Liens(s) are insured or guaranteed by USDA, FHA, VA, Fannie Mae or Freddie Mac):
- Origination Fee: 1%
- Buyer Points: 1%
- Title Policy (if paid by Borrower): 1%
- Application Fee: May not exceed $325 (includes compliance and funding fees)
- Other Closing Costs: Must be fully disclosed on HUD-1 and may not exceed 1.5% of loan amount.