Houston stays relatively affordable for a big metro, and both the city and Harris County offer sizable down payment help — the City’s Homebuyer Assistance Program provides up to $50,000 in fully forgivable money.
This guide focuses on what first-time buyers in Houston specifically can tap in 2026 — the local programs run by the city and county, the statewide help you can layer on top, and what it realistically takes to buy here.
Houston’s own first-time buyer programs
Where you buy in the Houston area determines which local program applies:
- Houston Homebuyer Assistance Program (HAP) — from the City of Houston, a no-interest forgivable second of up to $50,000, fully forgiven after five years of living in the home, for buyers at or below 80% of area median income within the city’s taxing jurisdiction
- Harris County Downpayment Assistance Program (DAP) — a silent second of up to $40,000 (with a base award around $27,100 as of late 2025) for homes in unincorporated Harris County, with price caps around $285,000 existing or $296,000 new
- Harvey Homebuyer Assistance Program 2.0 — a separate Hurricane Harvey disaster-recovery program with forgivable assistance and limited funding (confirm current availability)
These local programs are the piece most buyers miss, because they are run by the city or county rather than a lender — and they can often be combined with the statewide programs below.
Statewide programs you can also use in Houston
On top of Houston’s local help, every Texas buyer can access the state’s housing finance programs — below-market loans, down payment assistance, and a possible tax credit. We cover them in full in our guide to Texas first-time home buyer programs, and the wider local picture in our Texas first-time home buyer guide. In many cases you can stack a city program with a state program to cover most or all of your cash to close — a lender who works with both can structure it.
What it takes to buy in Houston
The Houston metro median home price sits around $340,000 — affordable relative to coastal metros, though rising prices, property taxes, and insurance costs still strain first-time buyers. With the City’s HAP covering up to $50,000, an eligible buyer can bring a very small amount of cash to the closing table.
Before you shop, pin down your budget. Our home affordability guide walks through how income, debt, and rates set your price range, and our first-time home buyer checklist keeps the rest of the process on track.
Loan options for Houston buyers
Most Houston first-time buyers use one of a few loan types, each of which can pair with the assistance above:
- FHA loans — 3.5% down with flexible credit, popular with first-time buyers
- Conventional loans — as little as 3% down, with reduced mortgage insurance through state HFA versions
- VA and USDA loans — zero down for eligible veterans and in qualifying areas
- Down payment assistance — city and state programs that layer on top (see our down payment assistance guide)
How to buy your first home in Houston
- Check your budget and credit first — see our guide to credit score requirements.
- Complete a homebuyer education course — nearly every Houston and Texas program requires one, and it is usually free.
- Find a lender who works with both Houston and Texas programs, and ask them to run the city and state options together.
- Get pre-approved, then line up your assistance before you make an offer.
One note: local and state program funding and terms change, and some rounds close when the money runs out. Always confirm current amounts and availability with the program administrator before counting on a figure.
Houston first-time buyer FAQ
What down payment help is available in Houston?
Inside the City of Houston, the Homebuyer Assistance Program (HAP) offers up to $50,000 as a forgivable second, wiped out after five years in the home, for buyers at or below 80% of area median income. In unincorporated Harris County, the county’s Downpayment Assistance Program provides up to $40,000. A separate Harvey recovery program exists with limited funding.
Can I combine Houston city programs with Texas state programs?
Often yes. City or county assistance is usually designed to layer on top of a first mortgage, and many buyers stack it with a Texas state program to cover most of their down payment and closing costs. A lender who participates in both can confirm what combines. See our Texas programs guide for the statewide options.
Do I have to be a first-time buyer to qualify in Houston?
Houston’s HAP requires that you be a first-time buyer or have not owned a home in the last three years, and the home must be your primary residence within the city’s taxing jurisdiction. Income must be at or below 80% of area median income, and a HUD-approved homebuyer education certificate is required. Confirm current terms with the City of Houston Housing and Community Development Department.
Is Houston’s $50,000 assistance really forgivable?
Yes. The City of Houston’s Homebuyer Assistance Program provides up to $50,000 as a no-interest forgivable second mortgage, and the full amount is forgiven once you have lived in the home for five years — so if you stay, you never repay it. You must earn at or below 80% of area median income and buy within the city’s taxing jurisdiction. Confirm the current amount and rules with the city’s housing department, since program terms change.