TDHCA My First Texas Home
Taking applicationsTexas Department of Housing and Community Affairs (TDHCA)
- Meant for
- First-time buyers; exceptions for qualified veterans and buyers in targeted areas
- How much
- 0%, 3%, 4% or 5% of loan amount as down payment assistance
- Kind of help
- Loan due when you sell or refinance
- Income cap
- County limits, e.g. Houston-area non-targeted $104,000 (1-2 people) / $119,600 (3+); Dallas HMFA $121,100 / $139,265; Austin MSA $134,400 / $154,560 (eff. July 13, 2026)
- Price cap
- $566,354 non-targeted in most counties; $589,596 Dallas/Fort Worth HMFA; $598,019 Austin MSA (eff. July 13, 2026)
- First-timers only?
- Yes
- Pairs with the state program?
- no - separate state first-mortgage program; choose TDHCA or TSAHC
Nov 6, 2026 rate notice: DPA is a 30-year deferred, repayable, 0% non-amortizing second lien with FHA/VA/USDA first loans (e.g. 6.875% rate at 5% DPA). HUD-approved homebuyer education required. Local HFC gift funds can stack in some areas (see partnership entry).
Fact-checked November 2026 · our sources
Could I get this? →How the second loan works
TDHCA sets the menu on a daily rate notice. Under the November 6, 2026 notice, assistance is a 0% second lien with no monthly payment that is deferred for 30 years and repaid, paired with an FHA, VA or USDA first mortgage. Choosing more help usually means a higher first-mortgage rate; the notice showed 6.875% at the 5% level, but rates move daily. Because this assistance is repaid when the loan ends or the home is sold or refinanced, it is not a grant.
Who qualifies?
You must be a first-time buyer, with exceptions for qualified veterans and for homes in targeted areas. Income and price caps depend on the county. Examples effective July 13, 2026: Houston-area non-targeted income limits of $104,000 for 1 to 2 people and $119,600 for 3 or more, Dallas $121,100 and $139,265, and Austin $134,400 and $154,560. Price caps are $566,354 in most counties, $589,596 in the Dallas and Fort Worth area and $598,019 in the Austin area. A 620 minimum credit score and a HUD-approved homebuyer education class are required. See the figures for Harris County and Travis County.
What it combines with
This is TDHCA's own first mortgage, so it replaces a TSAHC loan rather than stacking with Homes for Texas Heroes. It does unlock local Housing Finance Corporation gift funds in some places, such as $1,000 from the Harris County HFC or $5,000 from the McKinney HFC, which do not work with My Choice. For city HOME or CDBG programs, a participating lender confirms whether they combine. Our assistance types guide compares this repayable lien with TSAHC's grant.
A no-assistance version is also offered, which pairs the first mortgage with 0% assistance in exchange for a lower rate; that is the option some local HFC gifts attach to. Comparing the payments at 0%, 3%, 4% and 5% is worth doing, because a 30-year repayable lien adds to what you owe at sale even though it has no payment now. Buyers in Dallas County work from the Dallas HMFA limits; buyers in most other counties use the statewide non-targeted figures. Targeted-area homes carry different limits and waive the first-time rule.
How to apply
Work with a lender that participates in TDHCA's programs; the lender checks your income against the county limit and locks the assistance level you pick. Take a HUD-approved education class before closing, and ask whether a local HFC gift is available in your area. A short eligibility check helps compare it with Heroes.
Reader questions on TDHCA My First Texas Home
Is My First Texas Home assistance forgiven?
Under TDHCA's November 6, 2026 rate notice it is a 30-year deferred, 0% second lien that is repaid, not forgiven.
What is the price limit for My First Texas Home?
$566,354 in most counties for non-targeted areas, $589,596 in the Dallas and Fort Worth area and $598,019 in the Austin area, effective July 13, 2026.
Can I use My First Texas Home with Homes for Texas Heroes?
No. They are separate state first-mortgage programs, so you choose TDHCA or TSAHC.
See if this one fits me
Programs worth comparing
Summed up from the program's official page as of November 2026. Money and rules change; check current terms with the program or a lender that takes part. Texas Down Payment Assistance has no tie to this program.
