San Antonio has multiple down payment assistance programs, but not all are currently accepting applications. The City of San Antonio HIP program, which offers up to $30,000 at 0% interest, is paused for FY 2026. If renewed by City Council, funding may become available October 2026. TSAHC, SETH, and My First Texas Home are statewide programs that remain active and accept applications now at 620+ credit scores. This page maps every DPA program available to San Antonio buyers in 2026: which are active, which are paused, what each requires, and how to apply.
San Antonio DPA programs at a glance
Three things buyers ask first about DPA
Is down payment assistance still available in San Antonio in 2026?
Do I have to pay back down payment assistance?
Can I get DPA with a 580 credit score?
DPA programs accepting applications in San Antonio today
Three statewide programs are actively accepting applications for San Antonio buyers as of 2026. TSAHC Home Sweet Texas provides up to 5% of the mortgage amount as a grant or forgivable second lien. SETH 5-Star provides up to 5% as DPA. My First Texas Home provides a below-market interest rate plus DPA for first-time buyers. All three require a 620 credit score, income within program limits, and completion of a homebuyer education course. All three work with FHA and conventional loans. The application process runs through participating lenders, not through the state directly.
The non-obvious issue is funding availability. These programs are funded by bond issuances and mortgage revenue bonds. During high-demand periods, the pipeline can temporarily pause until new bonds are issued. A buyer who qualifies and applies in March may close smoothly, while a buyer who applies in June during a bond gap may need to wait 2 to 4 weeks for the next funding cycle. An LRG agent who works with these programs daily knows the current funding status and can route buyers to whichever program has immediate availability, preventing unnecessary delays.
- TSAHC Home Sweet TX: Up to 5% grant. 620+. All buyers (no first-time restriction). Accepted by most FHA and conventional lenders.
- SETH 5-Star: Up to 5% DPA. 620+. All buyers. Works with FHA and conventional. Different lender network than TSAHC.
- My First Texas Home: Below-market rate + up to 5% DPA. 620+. First-time buyers only. The best combined benefit for qualifying buyers.
- Application path: Apply through a participating lender, not the state. Your lender processes the DPA application alongside your mortgage application.
TSAHC Home Sweet Texas and Homes for Texas Heroes
TSAHC operates two main DPA programs. Home Sweet Texas is available to all buyers regardless of first-time status. Homes for Texas Heroes is available to teachers, police, firefighters, corrections officers, nurses, and Veterans. Both provide up to 5% of the mortgage amount as DPA, structured as either a grant that requires no repayment or a deferred forgivable second lien at 0% interest. The grant option is the stronger benefit, eliminating the second lien entirely. Income limits for Bexar County are based on household size and the TSAHC income calculator on their website provides the exact limit for your household.
The non-obvious issue is the lender network. Not all FHA or conventional lenders participate in TSAHC. The buyer must use a TSAHC-approved lender, and the lender’s familiarity with the program affects processing speed. A lender who closes 5 TSAHC deals per month knows the documentation requirements and can avoid the common submission errors that cause delays. A lender doing their first TSAHC deal may take 2 weeks longer due to learning-curve issues. An LRG agent can connect you to a lender experienced with TSAHC in the San Antonio market specifically.
- Home Sweet TX: All buyers. Up to 5% grant or forgivable second lien. 620+. Income-qualified. Homebuyer course required. Active now.
- Homes for Texas Heroes: Teachers, nurses, police, fire, corrections, Veterans. Same DPA structure. Does NOT require first-time status.
- Income limits: Vary by county and household size. Bexar County limits typically range from $95,000 to $125,000 depending on household size. Check the TSAHC calculator.
- Lender selection matters: Use a TSAHC-experienced lender. Processing errors from inexperienced lenders cause 2 to 4 week delays.
SETH 5-Star Texas Advantage: the alternative DPA path
SETH 5-Star Texas Advantage provides up to 5% of the loan amount as DPA, structured as a deferred second lien. The program operates alongside TSAHC but uses a different lender network. For buyers whose preferred lender is not TSAHC-approved, SETH may be available instead. The credit requirement is 620, income limits apply, and the homebuyer education course is required. SETH works with FHA and conventional loans and does not restrict to first-time buyers.
The non-obvious issue is the rate impact. DPA programs are not free money in the pure sense. TSAHC and SETH loans may carry a slightly higher interest rate than a non-DPA mortgage, typically 0.25% to 0.50% higher. On a $280,000 loan, that adds $40 to $80 per month. The DPA covers $10,000 to $14,000 in upfront costs. Whether the higher rate or the upfront cash is the better trade-off depends on how long you plan to stay in the home. A buyer staying 5+ years benefits from DPA even with the rate premium. A buyer planning to sell in 2 to 3 years may be better off saving the down payment and getting a lower rate without DPA.
- Up to 5% DPA: Deferred second lien. No monthly payments on the DPA itself. Repaid at sale or refinance.
- 620+ credit required. Income-qualified by county. Homebuyer course required.
- Rate trade-off: DPA-associated mortgage rates may be 0.25% to 0.50% higher. Model the total cost before choosing DPA vs no-DPA.
- Different lender network: If your lender does not participate in TSAHC, check SETH. The programs are functionally similar with different participating lenders.
The City HIP program: up to $30,000 at 0%, currently paused
The City of San Antonio Homeownership Incentive Program is the largest single DPA source in the local market. HIP 80 provides up to $30,000 at 0% interest, forgivable over 5 to 10 years of owner occupancy, for buyers at or below 80% of Area Median Income. HIP 120 provides up to $15,000 at 0% interest, no monthly payments, for buyers at or below 120% AMI. Both programs accept credit scores as low as 580, which is a critical differentiator from the statewide programs that require 620. Both are currently paused for FY 2026. If renewed by City Council, funding may become available October 2026.
The non-obvious issue is the home price cap. HIP 80 limits the purchase price to $263,000 for existing homes and $278,000 for new construction. The SA metro median is $290,000, which means HIP 80 is not available on median-priced homes. It targets entry-level properties on the South Side, West Side, and outer suburbs where prices are below $263,000. A buyer looking at $200,000 homes qualifies for the price cap easily. A buyer looking at $280,000 homes does not qualify for HIP 80 on an existing home. HIP 120 has a higher price cap but lower DPA amount. The statewide programs have no price caps, which is their advantage on higher-priced homes.
- HIP 80: Up to $30,000 at 0% interest, forgivable. Below 80% AMI. 580+ score. Home price cap $263,000 existing / $278,000 new. Paused FY 2026.
- HIP 120: Up to $15,000 at 0% interest, no payments. Below 120% AMI. 580+ score. Higher price cap. Paused FY 2026.
- Potential reopen: If renewed by City Council, funding may become available October 2026. This is conditional on Council approval, not guaranteed.
- Application process: When funded, apply through the City NHSD office or participating housing counselors. Process takes 4 to 8 weeks from application to commitment letter.
The best deal for qualifying first-time buyers at 620
My First Texas Home combines two benefits that other programs provide separately: a below-market interest rate and DPA of up to 5% of the loan. The rate discount saves $50 to $100 per month compared to market rates. The DPA covers most or all of the down payment. On a $290,000 home, the combined benefit is roughly $10,000 to $14,000 in upfront assistance plus $600 to $1,200 per year in rate savings. The program requires 620 credit, first-time buyer status under the 3-year rule, household income within limits, and a homebuyer education course.
The non-obvious issue is that My First Texas Home has funding cycles that can create gaps. When bond funding is depleted, the program pauses until new bonds are issued. During 2025, there were periods where My First Texas Home was temporarily unavailable while TSAHC remained active. A buyer who qualifies for both should apply for My First Texas Home first due to the rate benefit, but have TSAHC as a backup. An LRG agent who monitors funding status daily can advise on which program to pursue based on current availability.
| Benefit | My First TX Home | TSAHC Home Sweet TX | City HIP 80 |
|---|---|---|---|
| DPA amount | Up to 5% | Up to 5% grant | Up to $30,000 |
| Rate benefit | Below-market rate | Standard rate | N/A (pairs with any loan) |
| Min score | 620 | 620 | 580 |
| First-time required | Yes | No | No |
| Status (2026) | Active | Active | Paused FY 2026 |
| Repayment | Second lien, forgivable | Grant (no repayment) | 0% interest, forgivable |
Can you combine multiple DPA programs in San Antonio?
In some cases, yes. When City HIP is active, it can potentially be combined with a statewide program. A buyer using FHA with TSAHC DPA for the down payment and City HIP for closing costs could receive both benefits. The mechanics depend on lender participation and program compatibility. Not all combinations work, and the buyer’s lender must be approved by both programs simultaneously. Stacking is uncommon but possible for buyers who meet all qualification requirements for multiple programs.
The non-obvious issue is seller concessions as a complementary layer. FHA allows seller-paid closing costs up to 6% of the purchase price. On a $290,000 home, that is up to $17,400. In the current San Antonio market, sellers are often willing to contribute 2% to 3% toward buyer closing costs as a negotiation tool. A buyer using TSAHC DPA for the down payment plus 3% seller concessions for closing costs can close with minimal cash out of pocket. This is not technically “stacking” DPA programs, but it achieves the same result: eliminating the cash barrier on both down payment and closing costs.
- DPA + seller concessions: The most common combination. TSAHC covers the down payment, seller covers 2-3% closing costs. Minimal cash needed.
- City + state stacking: Possible when HIP is active if both the lender and buyer qualify for both programs. Verify compatibility before applying.
- Gift funds: FHA allows gift funds from family for the down payment. Combined with seller concessions, this provides another $0-out-of-pocket path.
- Employer assistance: Some SA employers offer homebuyer assistance that can supplement DPA. Military bases, hospitals, and large employers sometimes have programs.
What to do when you qualify for FHA but not for DPA
The most frustrating position for a San Antonio buyer is having a 580 to 619 credit score. FHA approves you for a mortgage at 3.5% down, but every active DPA program requires 620. City HIP accepts 580 but is paused. This means a buyer at 590 qualifies for the loan but may not have the $10,150 cash for the down payment on a $290,000 home. The path forward is either: bring cash for the down, buy at a lower price point where the down is more manageable, or spend 3 to 6 months improving credit to 620 to unlock TSAHC and SETH.
The non-obvious issue is that the 3 to 6 month wait for 620 has a concrete dollar value. At 620, TSAHC provides roughly $10,000 to $14,000 in grants. That money did not exist at 619. The credit work from 590 to 620 is specific: maintain all payments on time, keep utilization below 30%, let the 12-month clean history build. A buyer at 610 may need only 1 to 2 months. A buyer at 585 may need 4 to 5 months. The lender credit review maps the exact timeline. For the complete month-by-month credit repair plan, see our credit repair guide.
- At 580-619 with cash: Buy now with FHA. Bring $10,150 on $290K or $7,000 on $200K. DPA will be available later if you refinance.
- At 580-619 without cash: 3 to 6 months of credit work to reach 620 unlocks TSAHC/SETH DPA. The wait produces $10,000+ in tangible benefit.
- At 580-619, lower price point: At $150,000, FHA down is $5,250. Gift funds or savings may cover it without DPA.
- Timeline: Free lender credit review tells you exactly how many months to 620 and what specific actions get you there.
DPA makes homeownership accessible at every income level
Down payment assistance is not charity. It is a structured set of government programs designed to remove the single largest barrier to homeownership: the upfront cash requirement. At 620 in San Antonio, TSAHC provides up to 5% of the loan as a grant. SETH provides similar DPA. My First Texas Home adds a rate discount. When City HIP is active, buyers at 580 can access up to $30,000 at 0% interest. The programs exist. They are funded. And for most San Antonio buyers at 620, they eliminate the down payment entirely.
The non-obvious advantage is that DPA lets you keep your savings. A buyer who uses TSAHC for the down payment and seller concessions for closing costs closes with their savings intact. Those savings become the emergency fund and reserve that makes the first year of homeownership manageable. Draining savings to cover the down payment and then having no reserves for a water heater failure or HVAC repair in month 3 is how new homeowners get into trouble. DPA is not just about access. It is about stability after closing.
