State housing agency releases $160 million for First Time Homebuyer program
AUSTIN, October 3, 2007 — Keeping the dream of homeownership alive despite a slow-down in the mortgage market, the Texas Department of Housing and Community Affairs (TDHCA) today announced the release of $160 million for 30-year fixed rate mortgage loans starting at 5.75 percent for qualifying first time homebuyers.
“We’re excited that during a time when some homebuyers may be wary, we can offer a safe and reliable mortgage product and help qualifying Texas families get into their first home,” said Michael Gerber, TDHCA Executive Director. “The Texas First Time Homebuyer Program is now in its third decade and Texans can be confident in our program because we partner with a pool of reputable, responsible lenders.”
Gerber explained that loans through this program will be available in two forms: unassisted loans, with no additional funds for down payment and closing costs, and assisted loans which come with a 5 percent grant for down payment and closing cost assistance.
Interest rates will range from 5.75 percent for statewide unassisted loans to 6.50 percent for assisted loans statewide. The program is designed to serve households earning no more than 115 percent of the area median family income, depending on the number of individuals in the family.
TDHCA also is providing a special highlight with this release of funds as it is waiving certain program requirements for veterans.
“The American dream of homeownership should be within reach of the men and women who have served in the armed forces,” Gerber said.
TDHCA is working with approximately 50 lenders with more than 500 branch offices throughout the state to offer the below-market interest rate loans. Interested homebuyers may visit the program’s website at www.myfirsttexashome.com or call (800) 792-1119 to learn more about eligibility requirements, program details, or to find a participating lender.
About The Texas Department of Housing and Community Affairs
The Texas Department of Housing and Community Affairs is Texas’ lead agency responsible for affordable housing, community and energy assistance programs, and colonia activities. The Department annually administers more than $400 million through for-profit, non-profit, and local government partnerships to deliver local housing and community-based opportunities and assistance to Texans in need.
