hey prescott.
See what you qualify for

FHA Loans (Federal)

Texas

Last verified
See what you qualify forOfficial program site →
Assistance

3.5%

Of the purchase price, as the program sets it

Repayment

Grant

Not repaid

What is FHA Loans (Federal)?

FHA Loans (Federal) is gift funds for homebuyers in Texas.

  • Federal Housing Administration (FHA) insured mortgage program backed by HUD allowing qualified borrowers to purchase homes with as little as 3.5% down payment. Down payment may be fully gifted from family, employer, or approved non-profit. Requires upfront MIP of 1.75% and annual MIP. Minimum credit score of 580 for 3.5% down (10% down required for scores 500-579). No income limits.
  • 3.5% minimum down payment for credit scores 580+.
  • 10% down for scores 500-579.
  • down payment may be fully gifted from family or approved sources.
  • no income limits.
  • available for 1-4 unit primary residences.
  • seller can contribute up to 6% toward closing costs.
  • upfront MIP of 1.75% and annual MIP required.
  • Funding comes from Federal.

How much assistance does it provide?

FHA Loans (Federal) provides assistance worth 3.5% of the purchase price, as set by the program.

  • The program can be combined with other assistance, subject to the rules of each.
  • Amounts are the program's published maximums, not an offer — the administering agency determines any individual award.

Do you have to pay it back?

FHA Loans (Federal) is structured as a grant, so it is not repaid.

  • The assistance is recorded in 1st Lien position.
  • Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

FHA Loans (Federal) is open to buyers who will live in the home as their primary residence.

The program requires

  • The home is occupied as a primary residence
  • A minimum 580 credit score
  • Minimum 580 credit score for 3.5% down

These are the program's own published rules, not a decision about any individual — the administering agency and a lender determine who actually qualifies.

What kind of home can it be used for?

FHA Loans (Federal) can be used for Single Family, Condo, Townhouse, 2-4 Unit, and Manufactured Home.

  • New construction is eligible.
  • Manufactured homes are eligible.

Where does it apply?

FHA Loans (Federal) serves buyers purchasing anywhere in Texas.

How do you apply?

Applications for FHA Loans (Federal) go through the administering agency, which publishes the current terms and the application steps on its own site.

  1. Contact the administering agency to reserve funds

    Funds are reserved with the provider and are subject to availability.

  2. Work with a lender who handles the program

    Hey Prescott is not a lender and does not accept applications; this page describes the program so a buyer can take it to a lender or housing counselor.

Other programs in Texas

See every program in Texas →

90-second match

Not sure which you qualify for?

Answer 9 questions and we'll match you to every program you can actually use — in about 90 seconds. No SSN, no credit pull.

Find my programs