First home.State-backed start.
My First Texas Home pairs a 30-year fixed loan with 2% to 5% of the loan in down payment help for first-time buyers. This page shows the DFW limits, which form of help gets repaid, and how much rate each extra percent costs.
Our comparative assessment: cash saved 40%, ease 25%, speed 15%, fewer strings 20%. Full rankings
My First Texas Home is the Texas Department of Housing and Community Affairs (TDHCA) program for first-time buyers. It is a 30-year fixed FHA, VA or USDA loan with optional down payment assistance of 2% to 5% of the loan, funding permitting. The assistance is either a 0% second repaid on sale or refinance, or a 0% second forgiven after 3 years. It has income and purchase price limits and a federal recapture tax rule.
Who qualifies.
- First-time buyers. Qualified veterans and buyers in Qualified Targeted Census Tracts are exempt from the first-time rule.
- Income limits effective July 13, 2026, Collin, Dallas and Denton: $121,100 (1 to 2 people), $139,265 (3+). Targeted tracts: $145,320 and $169,540.
- Tarrant County, effective July 13, 2026: $110,300 (1 to 2 people), $126,845 (3+). Targeted tracts: $132,360 and $154,420.
- Purchase price limit in these four counties: $589,596, or $720,617 in targeted tracts.
- Minimum credit score 620. DTI per automated underwriting; FHA, VA and USDA manual underwrites capped at 45%.
- Every borrower completes HUD-certified homebuyer education.
- Single-family, condo, PUD, manufactured home on real property, or duplex under program rules.
How it works.
Run the eligibility check
Income, household size, county, price and first-time status decide eligibility. Targeted tracts carry higher limits and waive the first-time rule.
Choose a TDHCA approved lender
TDHCA works only through approved lenders, who originate the 30-year fixed FHA, VA or USDA loan.
Pick the DPA level and form
2% to 5% of the loan as a 30-year repayable second or a 3-year forgivable second, or no assistance. Each level carries a different rate.
Complete education for every borrower
HUD-certified homebuyer education is required for every borrower, not just one.
Consider the MCC combo
My First Texas Home can be combined with the TDHCA Mortgage Credit Certificate for a $400 fee (waived for military).
Close and move in
The home is the primary residence. The forgivable second requires staying current and living there for 36 months.
Example: how rate rises with each percent of help
Example only. Rates are from TDHCA's My Choice Texas Home government rate sheet effective October 9, 2026 (7.625% at 2%, 8.000% at 3%, 8.625% at 4%) and illustrate how TDHCA prices DPA levels; My First Texas Home rates are set daily and were not part of this example. Payments are principal and interest on a $337,750 base loan, 30-year fixed, standard amortization, excluding taxes, insurance and FHA mortgage insurance, which vary.
The packet includes the official TDHCA links, your county's income and price limits, the homebuyer education link, and a match with a vetted TDHCA approved lender.
What works
- 2% to 5% of the loan toward the purchase, funding permitting.
- Veterans and targeted tract buyers are exempt from the first-time rule.
- Pairs with the TDHCA MCC for an added federal tax credit.
- In the City of McKinney, the McKinney HFC $5,000 gift (no repayment) works with My First Texas Home.
- Works with FHA, VA and USDA.
What it costs you
- Income limits are lower than TSAHC and My Choice Texas Home.
- Purchase price capped at $589,596 outside targeted tracts.
- Federal recapture tax can apply on a sale.
- More assistance means a higher rate. In the example, 4% vs 2% added $236.41 a month.
- No conventional option. Conventional buyers use My Choice Texas Home.
The part nobody explains.
In the example, the jump from 2% to 4% buys $6,755 more in help and costs $236.41 more per month. That extra cash is used up by the higher payment in about 29 months, and the higher payment keeps going after that.
The 30-year second is repaid on sale, refinance, transfer or payoff. A refinance when rates drop means paying it off at that moment.
Education is required for every borrower, not just one. TSAHC programs require only one borrower to complete it.
The McKinney $5,000 gift stacks with My First Texas Home but not with My Choice. Its flyer (effective May 27, 2025) used its own lower limits, and funds are first come, first served.
Recapture tax can apply on a sale within 9 years and is exempt when there is no gain, income did not rise enough, the sale is after year 9, or the sale is due to death or divorce.
Get the packet.
The official links are not on this page on purpose. They come in one email, organized, with what to do with each one and in what order.
- The packet includes the official TDHCA links, your county's income and price limits, the homebuyer education link, and a match with a vetted TDHCA approved lender.
- Every official link for this program, plus the links for every guide you explored here
- A match with a Texava-vetted lender who closes this program
- A direct reply from Albert in English or Spanish
Where should I send it?
Your packet is on its way.
Every guide you explore before you leave gets added to the next packet. Keep reading below.
Programs stack.
The TDHCA MCC combo adds a 15% mortgage interest tax credit for a $400 fee.
City of McKinney / TDHCA5.6McKinney $5,000 homebuyer giftA $5,000 gift for City of McKinney buyers that works with My First Texas Home.
Federal / HUD6.9FHA home loanThe most common first lien under this program.
Side by side.
The Texava Score weighs what matters to a buyer: cash saved 40%, ease to qualify 25%, speed and paperwork 15%, fewer strings 20%.
Asked most.
Who counts as a first-time buyer?+
The program is for first-time buyers. Qualified veterans and buyers in Qualified Targeted Census Tracts are exempt from that rule.
Is the assistance a grant?+
No. It is a 0% second lien. The 30-year version is repaid on sale, refinance, transfer or payoff. The 3-year version is forgiven after 36 months if the loan is current and the home is still the primary residence.
What is the price limit in DFW?+
$589,596 in Collin, Dallas, Denton and Tarrant, or $720,617 in targeted tracts, effective July 13, 2026.
What is recapture tax?+
A federal tax that can apply on a sale within 9 years: the lesser of 50% of the gain or a formula amount. No gain, income that did not rise enough, a sale after year 9, or a sale due to death or divorce means no recapture.
Can I use a conventional loan?+
Not with My First Texas Home, which uses FHA, VA or USDA. My Choice Texas Home adds Fannie Mae HFA Preferred and Freddie Mac HFA Advantage.
The value compounds.
15% of interest back as a tax credit
Read nextMy Choice Texas HomeDPA with no first-time rule