Buying a home for the first time can be a daunting process, figuring out down payments, loan terms and closing costs. Thankfully, Texas offers many first time homebuyer programs to help you through this process. The state now has the My First Texas Home program. This program offers assistance with down payments up to 5%, reasonable fixed rate mortgages and even assistance with closing costs. There are eligibility requirements usually looking at your family’s income level but the sticking point is that you must not have owned a home within the last three years. The home you purchase must also become your primary residence and not an investment property. When you apply for the My First Texas Home program they will match you with lenders in their network who will help you through the process. There are funds available to assist with your down payment and the site also explains they have limits on the amount of fees and closing costs their lenders are allowed to charge. This is comforting for many first time buyers out of concern for overpaying or being taken advantage of.
Another great place to find helpful information is TSAHC or the Texas State Affordable Housing Corporation website. They have similar options for first time buyers within certain income levels. Their site also offers fixed rate loans and assistance for closing costs. Lots of cities within the state also offer special credits and down payment assistance programs that you may be eligible for. Many lenders offer unique loan options to accommodate a first time buyer as well. One of the best things you can do for yourself as a first time buyer is to educate yourself on all of your options, eligibility and the mortgage process. If you are working with a real estate agent they may also be able to provide you with helpful tools and information to make sure you can take advantage of being a first time homebuyer in the great state of Texas.