homebuyer assistance info on City of Houston website
HOMEBUYER ASSISTANCE
The Homebuyer Assistance Program (HAP), will be opening the portal on January 3, 2023 to accept new HAP applications. Funding is limited and applications will be processed on a first-come-first-serve basis to meet the program requirements. Incomplete applications will not be processed.
Homeownership is a dream for many Houstonians but out of reach for many residents. The City offers up to $30,000 to income-qualified residents.
The City offers to assist first-time homebuyers within the city through our Homebuyer Assistance Program.
Do I Qualify?
- First-time homebuyer (or have not owned a home in the last 3 years).
- Household income at or below 80% of Area Median Income .
- Home you want to purchase pays taxes to the City of Houston.
Our assistance is a no-interest, forgivable loan secured by a lien. The loan is fulfilled if the buyer lives in the home for five years. If the buyer sells or moves out of the home before the end of five years, they will pay back the City for a portion of the original loan amount.
Seven Easy Steps To Homeownership
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STEP 1
Obtain a home loan through a lender.
See a list of realtors who have worked with us before.
Realtors and other professionals interested in learning more about the Homebuyer Assistance Program or helping residents to take advantage of this program can sign up for our email list at the link below. Signing up will let us know of your interest and help us keep you up to date on any upcoming events or announcements.
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STEP 2
Obtain a homebuyer education class certificate through a HUD-Approved Agency.
See a list of accepted locations -
STEP 3
Call 832.394.6200 to complete an application and determine your eligibility.
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STEP 4
Find a home that is taxed by the City of Houston.
Need help picking a home? See affordable homes our partners have built.
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STEP 5
Pass environmental review, an inspection, and underwriting review.
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STEP 6
Sign the terms and conditions disclosure.
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STEP 7
Complete closing.
The Homebuyer Assistance Program takes about six weeks, provided there are no external delays. Please note that the six weeks is measured from the time the applicant submits a complete application. We cannot begin work on an incomplete application.
Application and Follow-Up Documents
INTAKE
The applicant submits all documents on the Applicant Document Checklist .
Below are links to all of our internal forms:
- Program Application
- Affidavit of Child Support: Non-Delinquent
- Statement and Explanation of Facts (Form 1010)
- First-Time Homebuyer Status and Certification of Property Ownership
- Conflict of Interest Form
- Certificate of Zero Income
- Asset and Income Certification
- Communication Designee
- Household Member Composition Form
Before submitting an application, the applicant must call 832.394.6200 to receive their applicant HAP ID number
Incomplete applications cannot be processed. Please be sure that you have collected all the documents on the Applicant Document Checklist before submitting your application.
Once submitted, the City reviews all documentation and will issue a Conditional Reservation Letter to accepted applicants.
How To Submit Documents
ELECTRONICALLY (PREFERRED)
VIA ONLINE PORTAL
OPEN PORTAL VIEW INSTRUCTIONSOr via email: Applicants Lenders
PAPER DOCUMENTS
VIA MAIL OR IN PERSON
Housing & Community Development Department2100 Travis Street, 9th Floor
Houston, TX, 77002
Frequently Asked Questions - Applicants
Q: How long does the process take? - Answer
Q: Are there any fees associated with the program? - Answer
Q: Is this program only available in certain areas? - Answer
Q: Are credit reports required for all household adults? - Answer
Q: Is there a debt-to-income requirement? - Answer
Q: Is there a credit score requirement? - Answer
Q: Is there a maximum home price? - Answer
Q: What can the assistance provided be used for? - Answer
Q: What is the five-year second lien? - Answer
Q: What if I have to sell my home or move out before the five years are over? - Answer
Q: What if I need to refinance my home? - Answer
FAQs - Real Estate And Lending Professionals
Q: Does this program follow FHA guidelines? - Answer
Q: Is there a cost for the City’s inspection? What does this inspection include? - Answer
Q: What is the environmental review, and why is it needed? - Answer
Q: Is there a mandatory training that lenders and realtors must take to participate in the program? - Answer
Q: Who is the loan servicer? - Answer
Q: Can the program funds be used to pay realtor commissions? - Answer
SINGLE-FAMILY LOAN SERVICING
Participants in our Single-Family programs, including our Home Repair programs and our Homebuyer Assistance Program, must comply with the affordability period specified in their contracts. Some types of assistance include a loan on the property for a duration outlined in their contract.
To fulfill the terms of the contract, the homeowner must live in the home for the entire affordability period without selling, leasing, or transferring ownership of the property. At that point, a Release of Lien can be started.
In the case that the homeowner decides to break the terms of the affordability period, they will need to repay the City some or all of their loan. For questions, please call us at 832.394.6200 and ask to speak to Loan Servicing.
Forms needed to be released from the loan can be found below:
| Document Name | Description | Download |
|---|---|---|
| Release of Lien Request | Form for requesting a release from the City’s loan on the property, either at the end of the affordability period or when choosing to repay the City before the end of the affordability period. | View |
| Payoff Statement Request | Form to ask for payoff statement before the end of the affordability period. | View |
| Subordination Agreement Request | Form to use when changing terms of mortgage. | View |
DEPARTMENT INFORMATION
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