First Time Buyer Programs

There’s a slew of first time home buyer programs at the federal, state and local level. Many offer incentives for purchasing in approved areas or if you meet their buyer requirements. Below you’ll find a list of programs that can assist you with your down payment, interest rate, closing costs, etc. The best plan for purchasing your first home is to have a plan!

A few things you’ll need to consider:

  • Finding the right lender
  • Finding the right Real Estate Agent
  • Understanding down payments and closing cost
  • Understanding your responsibilities in the home buying process
  • Finding the right home


SETH Program

This program doesn’t have a first time home buyer requirement so it can be used by more than just first time buyers. Per the SETH 5 Star Texas Advantage Program website “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. There is no repayment expected for this Grant and no 2nd lien on your home. This program can help reduce your out of pocket expenses and make home ownership easier to achieve.

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.”

Key elements of the program include:

  • No First Time Home buyer Requirement
  • Must be Income Eligible Requirements
  • Minimum of a 640 Credit Score
  • Must Purchase in Program Area


Good Neighbor Next Door

According to the Good Neighbor Next Door website, The Good Neighbor Next Door (GNND) program helps encourage law enforcement officers, pre-K through 12th grade teachers and firefighters/emergency medical technicians to become homeowners in revitalization areas.

Key elements of the program include:

  • Must meet requirements for a law enforcement officer, teacher, firefighter or emergency medical technician and comply with HUD’s regulations for the program
  • Must sign a second mortgage and note for the discount amount
  • Must remain in the home for 3 years minimum
  • Must purchase in a revitalization program


Homebuyer Assistance Program (HAP)

The city’s Homebuyer Assistance Program (HAP) provides mortgage assistance for income-eligible first-time home buyers with the City of Fort Worth.

Qualifying home buyers can receive a subsidy of up to $14,999 for homes located in Fort Worth. The buyer can use the full $14,999 subsidy for mortgage assistance or use $3,000 of this amount for closing costs and/or down payment.

The following are program requirements:

  • Property must be located within the Fort Worth city limits.
  • You cannot have owned a home in the last three years. Displaced homemakers are also eligible.
  • The home must a your principal residence.
  • The combined family income must not exceed 80 percent of Fort Worth-area median income as established by the Department of Housing Urban Development (HUD).
  • There is no credit score requirement.
  • A city-approved lender must be selected.
  • The home buyers’ minimum contribution from their own money is the lesser of $1,000 or two percent of the purchase price of the home.
  • The property must pass the Housing Quality Standard Inspection (HQS), Environmental Review and Lead Hazard Evaluation conducted by the City of Fort Worth at no cost to the home buyers.
  • All applicants must complete a home ownership training and counseling program. This requirement will be evidenced by a completion certification from a Housing and Urban Development (HUD) Certified Housing Counseling Agency only. Online classes are not accepted.


My First Texas Home Program

This program allows qualified Texans access to competitive interest rate home loans and down payment and closing cost assistance.

The following are program requirements:

  • First time home buyer or a home buyer who has not owned a home as primary residence within the past three years
  • Home buyer(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
  • Government Loans (FHA, VA, USDA) and Conventional (FNMA HFA Preferred) loan products

While this is not an exhaustive list, it’s a great start. If you are considering buying or selling a home, please give me a call and let’s see if I’m the right agent for you.