Down Payment Assistance Program
0%-interest loans for eligible first-time homebuyers to buy a home within Austin City Limits.
What Does the Down Payment Assistance Program Cover?
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Down payment and closing costs, and pre-paid expenses associated with buying a home
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Homebuyers may qualify for up to $40,000 in assistance
Sales and/or appraisal price of the home cannot exceed $295,000
- Who is Eligible?
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First-time homebuyers who:
- Have not owned a home in the last three years, or have been displaced or divorced
- Are buying a single-family home or condominium within Austin’s Full Purpose city limits. If you are not sure, go to the City of Austin Jurisdictions Web Map to check.
- Make a low-income which is defined as at or below 80% Median Family Income (MFI). The table below shows the income limits by the number of persons living in the home.
- What is Needed to Apply?
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- Confirm that the property is within Austin City Limits
- Homebuyer Education Course official Certificate of Completion
- Be approved for a mortgage loan from a Participating Lender. The loan officer will assist in filling out and submit the Down Payment Assistance application
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Documentation needed for the application includes:
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Identification:
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Social Security card
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Picture Identification: Texas Driver’s license, Texas Permanent ID Card, or Passport
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Permanent Residency Card (if applicable)
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Verification of Income:
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Last 2 consecutive months paycheck stubs from all household members, 18+ years old
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Most recent 2 Years W-2 Forms or 1099’s
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Most recent 2 Years Federal Tax Returns
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If self-employed last quarter’s Profit & Loss Statement & 2 years Tax Returns
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Verification of other income
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Most recent 6 Months Checking Account Statements and 6 months Savings for all accounts for all household members
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Verification of Assets
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Once eligible first-time homebuyers have made sure that they have all that is needed to apply, their registered trained loan officers must submit the DPA Application - Down Payment Assistance Loan Officer Training
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To be a Participating Lender loan officers must attend Housing & Planning's training. Future Down Payment Assistance Lender Training can be provided on request to groups of five or more. For more information, call 512-974-3100 or email HPDCS@austintexas.gov.
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