Saving for a down payment is one of the biggest hurdles for first-time buyers. In Dallas, several public programs can help with down payment and closing costs. Here’s an overview of the main options, based on official program information reviewed in October 2026.
City of Dallas Homebuyer Assistance Program (DHAP)
According to the City of Dallas:
- Assistance of up to $60,000 for homes in designated High Opportunity Areas, and up to $50,000 elsewhere in Dallas.
- For households at or below 80% of Area Median Income. Effective June 1, 2025, that ranged from $65,700 for one person to $123,900 for eight.
- The city also lists Targeted Occupations and Anti-Displacement programs with different income ranges.
- Since May 1, 2026, the program has been managed by Business and Community Lenders of Texas (BCL of Texas): dhap@bcloftexas.org, 214-919-1866.
The home must be within Dallas city limits. Check the city’s page for current requirements, funding availability, and how to apply.
TSAHC: Homes for Texas Heroes and Home Sweet Texas
The Texas State Affordable Housing Corporation offers down payment and closing cost assistance of up to 5% of the loan amount through participating lenders. Options include grants and deferred second-lien loans. Homes for Texas Heroes is for qualifying professions such as teachers, police officers, firefighters, and veterans; Home Sweet Texas is for other income-qualified buyers.
TDHCA: My First Texas Home
The Texas Department of Housing and Community Affairs offers My First Texas Home for first-time homebuyers: a 30-year fixed-rate mortgage that may include down payment and closing cost assistance of up to 5% of the loan, as a deferred second lien. Exceptions to the first-time buyer requirement are available in some cases, such as for qualified veterans.
How to apply: state programs are accessed through participating lenders, not directly. Ask lenders whether they offer TSAHC or TDHCA programs, and compare the full cost, since assistance can come with different rates, fees, and repayment terms.
Tips before you apply
- Check income limits for your household size and the area you want to buy in.
- Ask whether a homebuyer education course is required.
- Understand repayment terms: is it a grant, forgivable after a set period, or repayable when you sell or refinance?
- Budget for the costs assistance doesn’t cover, like inspections and moving.
Next steps
Start with our guide to getting pre-approved in Texas, and talk with a lender about which programs fit your situation. Our preferred lenders page is a place to start; you’re free to choose any lender. When you’re ready to look at homes, talk with a Clever Realtors agent.
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