Home Sweet Texas Home Loan Program - 3-Year Deferred Forgivable 2nd Lien

Home Sweet Texas Home Loan Program - 3-Year Deferred Forgivable 2nd Lien is a forgivable loan for homebuyers in Statewide, Texas. Home Sweet Texas Home is TSAHC's general-population (non-Heroes) statewide DPA program. It provides a 30-year fixed-rate first mortgage and up to 5% DPA as a 3-year deferred forgivable second lien. No FTHB requirement; income limits set by county. Borrowers choose between this 'Loan' / forgivable structure (lower-income tier) and the standalone Grant structure (higher-income tier). TSAHC's Home Sweet Texas Home Loan Program (HSTH) provides a 30-year fixed-rate first mortgage paired with down payment and closing-cost assistance up to 5% of the loan amount, structured as a 3-year deferred forgivable second lien. The DPA carries 0% interest, no monthly payments, and is fully forgiven after 3 years if the borrower retains the home as primary residence. No first-time-homebuyer requirement. Borrowers may also stack the Mortgage Credit Certificate (MCC) when offered. Funding comes from TSAHC bond and TBA execution; TSAHC is a 501(c)(3) self-sustaining state-chartered organization.

Home Sweet Texas Home Loan Program - 3-Year Deferred Forgivable 2nd Lien is forgiven after 3 years, so a homebuyer who stays that long does not repay it. Repayment is triggered by Forgiven after 3 years of continuous owner occupancy and due upon sale, refinance, payoff, or non-occupancy within the 3-year period. The assistance is recorded in 2nd Lien position. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Home Sweet Texas Home Loan Program - 3-Year Deferred Forgivable 2nd Lien is open to homebuyers who will live in the home as their primary residence. On credit, the program states: 620 minimum FICO for FHA/VA/USDA; 640 for HFA-preferred conventional. A homebuyer education course is required, through TSAHC-approved homebuyer education required - online course provided through Texas Homebuyer U / TSAHC partner CHCs (Frameworks-style course). Residency requirement: Property must be in Texas and occupied as primary residence. Citizenship or immigration status: U.S. citizen or qualified non-citizen per agency loan-product guidelines. Open to all qualifying buyers (no occupation restriction). 620 minimum FICO for Government loans, 640 for Conventional. Borrower must occupy property as primary residence. The 3-year forgiveness is pro-rata-style: full balance forgiven if borrower lives in home for 3 years; if home is sold or refinanced earlier, the DPA must be repaid. No purchase price limit imposed by TSAHC (subject to agency limits).

Home Sweet Texas Home Loan Program - 3-Year Deferred Forgivable 2nd Lien limits household income to $201,460. The limit applies to total household income, not only the borrower’s. Area median income figures are published by HUD and updated annually, so check the current table for the county before relying on a number.

Home Sweet Texas Home Loan Program - 3-Year Deferred Forgivable 2nd Lien caps the purchase price as follows: No TSAHC-imposed sales-price cap (subject to FHA/VA/USDA county loan limits and conforming conventional limits). Eligible property types include Single-family detached, townhomes, condos meeting agency approval, eligible PUDs, eligible manufactured homes. New construction is eligible. Manufactured homes are eligible.

Home Sweet Texas Home Loan Program - 3-Year Deferred Forgivable 2nd Lien names veterans, active-duty service members, reservists and National Guard members, surviving spouses, American Indian and Alaska Native homebuyers, educators, law enforcement officers, firefighters, healthcare workers, and homebuyers with disabilities among the groups it serves. Being named here means the program mentions the group, not that membership alone qualifies an applicant — the rest of the eligibility rules still apply.

Home Sweet Texas Home Loan Program - 3-Year Deferred Forgivable 2nd Lien serves homebuyers purchasing in Statewide, Texas.

Applications for Home Sweet Texas Home Loan Program - 3-Year Deferred Forgivable 2nd Lien go through the administering agency, which publishes the current terms and the application steps on its own site. Funds are reserved through Lenders reserve via TSAHC's online lender portal (Lender Online) on first-come, first-served basis. Hey Prescott is not a lender and does not accept applications; this page describes the program so a homebuyer can take it to a lender or housing counselor.