Affordable Housing for Educators—Low-Cost Mortgage Loans plus Outright Grants to Help Cover Down Payments or Closing Costs

The Texas State Affordable Housing Corporation has a Homes for Texas Heroes Loan Program, created by the Texas legislature, that provides eligible professionals with low-interest loans and down-payment or closing-cost grants to meet their housing needs. Since 2005, the TSAHC has helped nearly 8,600 Texas families realize their dream of home ownership.

Who is eligible for the Homes for Texas Heroes Loan Program? Here’s the list from the TSAHC:

· Public school classroom teachers
· Full-time teacher aides
· Public school librarians
· Public school nurses
· Public school counselors
· Full-time nursing faculty
· Full-time allied heath faculty
· Peace officers
· County jailers
· Texas Department of Criminal Justice hazardous duty pay employees
· Texas Juvenile Justice Department hazardous duty pay employees
· Public security officers
· Full-time, paid firefighters
· Emergency Medical Services personnel
· Veterans

The program can be used not only to purchase a home but also to refinance an existing mortgage loan. Applicable home-buyer income limits and home purchase-price limits vary by county. In addition, home buyers must demonstrate credit-worthiness and complete an approved home-buyer education course.

What are the program benefits? The program offers two down-payment assistance options for home buyers:

  • Option #1 offers a low-interest home loan and a grant equal to 5 percent of the loan amount for down payment and closing costs.
  • Option #2 offers an even lower-interest home loan and a grant equal to 3 percent of the loan amount for down payment and closing costs.
  • First-time home buyers may also be eligible for a second form of assistance, a Mortgage Credit Certificate or MCC, which provides the homebuyer with an annual tax credit, up to $2,000, for the duration of the loan.

Want to know more? Take the eligibility quiz, and find out if you’re eligible for the Homes for Texas Heroes Home Loan Program at