Current down payment assistance guidelines, updated from one source.
These figures are read from Lendmire’s centralized down payment assistance standards source and update automatically when the programs change. Every state and city guide in this series reads the same source.
Of the purchase price
Measured on the purchase price or the appraised value, whichever is lower; the largest option covers the down payment and reaches closing costs, and the smaller options cover the 3.5% FHA minimum.
Covers the whole FHA down payment
This covers the entire 3.5% FHA minimum down payment and is forgiven at closing: no lien on the home, no monthly payment, no interest. It opens on the area income limit or on a qualifying category.
On the forgivable and repayable options
The forgivable and repayable options have no income limit at all — one of the biggest advantages of this program. Only the nothing-to-repay option asks for income at or below 140% of the area median, or a qualifying category.
Credit score to start
The score that opens the nothing-to-repay option; the forgivable options start a step higher and the repayable options higher still. Two-borrower files may use a blended score on the second-lien options.
| Option | Assistance | What you repay | Credit · mortgage · units |
|---|---|---|---|
| Grant-style assistance — nothing to repay | 2% or 3.5% of the price | Nothing — released at closing | 620+ · FHA 203(b), FHA repair escrow, FHA Limited 203(k), FHA Standard 203(k) · 1–4 units |
| Forgivable second lien — three-year | 3.5% of the price | Nothing after 36 on-time mortgage payments | 640+ · FHA 203(b), FHA Limited 203(k), HUD-184, USDA · 1–2 units |
| Forgivable second lien — five-year | 3.5% of the price | Nothing after 60 on-time mortgage payments | 640+ · FHA 203(b), FHA Limited 203(k), HUD-184, USDA · 1–2 units |
| Repayable second lien — thirty-year amortization, ten-year balloon | 3.5% or 5% of the price | Second lien, 30-year amortization, balloon in year 10 | 660+ · FHA 203(b), FHA Limited 203(k), HUD-184, USDA · 1–2 units |
| Closing-cost repayable second lien | 3.5% or 5% of the price | Second lien, 30-year amortization, balloon in year 10 | 660+ · FHA 203(b) · 1–2 units |
| Refinance-cost second lien (repayable) | 1% to 3.5% of the balance | Second lien, repaid | 660+ · FHA 203(b) · 1–4 units |
Current down payment assistance snapshot · updated September 7, 2026 · six options offered in Texas · no option requires a first-time buyer · no option combines with another assistance program · owner-occupied primary residences only.
Down payment assistance options are consumer mortgage programs arranged through select wholesale lenders, licensed in sixteen states, paired with FHA, USDA, or HUD-184 first liens. Assistance is stated as a percentage of price or value, never as a dollar figure a specific borrower would receive; the forgivable and repayable options are second liens with their own disclosures. Eligibility depends on the first lien’s approval, the option’s rules, the property, and full underwriting, subject to lender program eligibility. The calculator’s rate is an editable market benchmark, not a quote, and its payment is an illustrative estimate; no fee or lender identity appears on this page. Lendmire is a mortgage broker and never the lender, and is not affiliated with or acting on behalf of FHA, VA, USDA, HUD, or the federal government.
What down payment assistance is — and how the options differ.
The first-time home buyer programs in Waco, TX answer the most common reason a qualified buyer does not close — the cash to close — with assistance measured on the price and shaped to the buyer’s situation.
For the program overview, see Lendmire’s down payment assistance program, or the statewide guide at Down Payment Assistance in Texas.
Assistance covers the FHA down payment
The gap the program closes for a Waco buyer is the minimum investment: the assistance covers that share of the price, the first lien carries the rest, and the buyer’s own savings stay for the move.
Four shapes: grant, forgivable, repayable, refinance
Nothing to repay, forgiven over time, or repaid with a balloon: the three purchase shapes in Waco, TX cover the same minimum investment and differ in what the buyer owes afterward.
Credit floors, mortgage programs, and unit counts
Credit decides which options are open; the first lien decides which options attach; the property’s unit count and type decide which option carries it. The options table shows all three side by side.
Eligibility without a first-time-buyer rule
In Waco, TX, the question is not whether this is a first home; it is which option fits the credit, the first lien, and the property — and, for the nothing-to-repay option, which qualifying category applies.
The assistance is measured on the price, so the calculator starts there. It then applies the option you choose, your own cash, and an editable benchmark rate to show the loan, the mortgage insurance, and the payment.
Where Waco’s first-time and moderate-income buyers shop — and how the assistance fits.
Where Waco, TX’s renters live, what a median home costs, and what a median household earns — Census estimates give the backdrop for a down payment assistance file.
Citywide figures provide general market context, not an appraisal or an income calculation. The higher the median value, the larger the minimum investment in dollars; that is why the assistance is sized as a percentage of the price rather than a fixed sum, and why the larger option matters more in expensive markets.
Data sources: U.S. Census Bureau — ACS 5-Year (2024) housing and population estimates, including tenure, home values, gross rents, and household income.
Distinct Waco submarkets, distinct property rules.
A down payment assistance file in Waco reads differently by submarket — condominium approval, association packages, unit counts, and USDA eligibility all shift from one to the next.
New construction and infill
A newly built Waco home is eligible; the buyer’s own funds requirement is covered by the assistance, and the builder’s closing date is met once the first lien is approved. The median owner-occupied home value in Waco runs near $221,700 on the latest Census estimate.
Older neighborhoods and renovation loans
In Waco’s established neighborhoods, a buyer can use the program with a limited or standard renovation loan, so the down payment help and the repair budget close together. Median gross rent in Waco is about $1,165 a month — the payment many renters already carry.
Two-to-four-unit homes, owner-occupied
In Waco, owner-occupied small multi-unit buildings qualify for assistance when the buyer lives in one of the units; the unit count decides which option applies. On a home at Waco’s median value, the FHA minimum investment comes to about $7,800 — the figure the assistance is built to cover.
Condominiums close to work
Buyers in Waco’s condominium buildings use the program to bridge the down payment, with the building’s approval status settled early so the closing is not held up. About 51% of Waco’s households rent — roughly 27,258 renter households, the pool the program exists for.
Townhomes and attached homes
The townhome rows of Waco are where many first purchases happen, and the assistance is designed for exactly that: the minimum investment covered, the closing costs reachable on the larger option. Median household income in Waco sits near $54,365 on the latest Census estimate.
Manufactured homes on owned land
Manufactured housing on owned land near Waco is eligible, with the option decided by the home’s width: the nothing-to-repay option accepts single-width homes, while the second-lien options accept double-width only. Waco counts a population near 144K within the Waco, TX area.
Submarket descriptions are general market context; the first lien’s approval, the option’s rules, and full underwriting decide every figure in a file.
Four ways Waco buyers put down payment assistance to work.
Down payment assistance in Waco, TX is used for more than a first purchase; these are the structures Waco buyers ask about most.
Pair the assistance with a USDA or HUD-184 mortgage
Where the first lien is USDA or HUD-184, the second-lien assistance options carry the file in Waco, forgivable or repayable by the buyer’s choice and credit.
Buy a home that needs work with a renovation mortgage
For an older Waco home, the renovation first lien and the assistance fit together, with the assistance measured on the price rather than the repaired value.
Cover the costs of an FHA refinance
A Waco homeowner refinancing an existing FHA loan can use the refinance-cost option, a repayable second lien sized on the balance, to cover closing costs and keep the first lien inside FHA limits.
Buy a first home with the down payment covered
A Waco buyer with the income for the payment but not the cash to close uses the assistance to cover the FHA minimum investment, some with nothing to repay, and keeps savings for the move.
Size the assistance on a Waco price before requesting a quote.
The calculator does what a loan officer’s first pass does for a Waco file — sizes the minimum investment, applies the option, builds the FHA loan with mortgage insurance, and estimates the payment — using the current program figures and an editable benchmark rate.
Waco FHA payment with assistance
Seeded with Waco’s median home value; every field is editable, and the estimate updates as you change the price, the option, your cash, or the rate.
Editable benchmark: 6.71% as of September 3, 2026 · Freddie Mac 30-year average via FRED®. A conventional market reference, not an FHA loan quote.
Illustrative starting assumptions: a $220,000 price near Waco’s median owner-occupied home value (kept where an FHA first lien is realistic), the strongest assistance option offered in Texas applied against the FHA minimum investment, a thirty-year term at the current Freddie Mac benchmark, property taxes and insurance estimated for Texas (U.S. Census Bureau). Every field is editable.
Illustrative estimate only — not a Loan Estimate, approval, quote, or commitment to lend. The rate field carries the weekly Freddie Mac thirty-year conventional benchmark, a market reference and not an FHA loan quote; your rate is set by the lender at lock. FHA mortgage insurance follows HUD’s published schedule for the term, leverage and loan size entered; taxes, insurance and dues are editable estimates; closing costs are not included; a repayable second lien adds its own payment, which is not shown here. Consumer mortgage lending licensed in sixteen states. Lendmire is not affiliated with or acting on behalf of FHA, USDA, HUD, or the federal government.
Same buyer, four very different closings.
Down payment assistance is one of four ways a Waco buyer covers the minimum investment; each has a different cost after closing.
Assistance on a government loan, saving the minimum, or a gift.
The structure for a Waco buyer who qualifies for the payment but not the cash to close — the help is sized on the price and the option decides what, if anything, is owed afterward.
For a Waco, TX buyer with the cash in hand, the plain FHA purchase is the cleaner file; the assistance exists for the buyer who does not have it yet. For the first lien itself, see Lendmire’s FHA loan program.
On a USDA or HUD-184 first lien, the assistance shifts to the second-lien options and to the closing costs; the nothing-to-repay option pairs only with FHA. For the USDA first lien, see the USDA loan program.
If the payment fits but the cash to close does not, down payment assistance is the structure; if the cash is there, the plain purchase; if the property is USDA-eligible, the USDA first lien with assistance for costs.
What to prepare for a Waco scenario review.
The documents a lender reads first on an assistance file.
This is a general preparation guide, not a universal checklist. The selected lender may request additional information based on the mortgage, the assistance option, the property, and the eligibility category. Nothing here is legal or tax advice.
Local details that can change the loan.
Beyond the credit tier and the first lien, a handful of details decide which option a Waco buyer can use — or whether the assistance attaches at all.
Use these checks to keep the Waco file clean and fundable.
Before making an offer on a Waco, TX home, confirm the option, the county loan limit, and the property’s unit count and type.
- Know the option: choose by cost to carry first, amount second.
- Confirm the category: complete the homebuyer education course where required.
- Understand the clock: plan a sale or refinance around the release date.
The option decides what you owe afterward
Choose the shape before the amount: the forgivable options cover the minimum investment and cost nothing to carry when the first lien stays current; the repayable option covers more and is repaid; a nothing-to-repay option released at closing where it is offered.
The eligibility category for the nothing-to-repay option
The category is checked at application on the nothing-to-repay option, together with the signed assistance application and the education certificate; no option requires a first-time buyer, and the second-lien options carry no income limit.
The forgiveness clock on the forgivable options
For a Waco, TX buyer, the forgivable options cost nothing to carry as long as the first lien stays current through the period; they are not resubordinated, not assumed, and no additional lien can be added behind them.
The mortgage and the county loan limit
The nothing-to-repay option pairs only with FHA first liens, including the repair-escrow and renovation programs; the second-lien options pair with FHA, USDA, and HUD-184, and above the county loan limit only the repayable options carry the assistance.
Blended scores for two-borrower files
On the second-lien options, two occupying borrowers can qualify on the average of their representative scores when the higher earner has the higher score; the loan must carry an automated approval, and every borrower still needs a score.
From a Waco pre-approval to keys with the assistance in place.
Lendmire runs a Waco assistance file in a set order: pick the option, match the first lien, clear the property, close both liens together.
Pick the option
The first step is the option: which ones the credit opens, which the first lien allows, and which costs the least to carry for a Waco, TX buyer — settled before anything is ordered.
Get the mortgage approved
Lendmire packages the Waco file for the first lien first, because the assistance follows its approval; the option’s floor and the first lien’s rules both have to clear.
Clear the property
Property review runs in parallel with the first lien; the Waco home is checked against the option’s rules and the first lien’s, from the unit count to the association package.
Close both loans together
Final underwriting reads the whole Waco, TX file against the first lien’s rules and the option’s; the loan funds with the assistance in place and the second lien, where there is one, recorded behind it.
A brokerage that pairs the assistance to the loan.
Lendmire built its consumer practice around the buyers these programs exist for, which is why the options, the categories, and the property rules are familiar ground rather than surprises.
The option, matched to the buyer
The nothing-to-repay option where it fits, the forgivable options where it does not, the repayable option where closing costs are the hurdle — chosen for the Waco, TX buyer, not by default.
The mortgage, matched to the property
USDA where the address is eligible, HUD-184 where the buyer qualifies, FHA everywhere; the Waco, TX first lien is the foundation the assistance stands on.
The right wholesale program
Not every wholesale lender carries down payment assistance, and the ones that do differ on shape, floors, and states; Lendmire knows which is which.
Trusted by first-time buyers & families alike.
Waco down payment assistance FAQs
Straight answers for Waco buyers weighing down payment assistance; the mortgage approval and the option’s rules decide every actual figure.
Do I have to be a first-time homebuyer?
Not for any option. First-time status is one path into the nothing-to-repay option, not a requirement of the program.
Is there an income limit?
A Waco buyer above the area income limit still reaches the nothing-to-repay option through an occupation, a first purchase, or the tract, and reaches the second-lien options regardless of income.
What first-time home buyer programs are available in Waco?
Assistance measured as a percentage of the price, in shapes that differ by what you owe afterward: nothing, nothing if the first lien stays current, or a second loan with a balloon. Credit, the first lien, the property, and the eligibility category decide which fits.
Do I have to pay the assistance back?
For a Waco buyer, the nothing-to-repay option where offered, otherwise a forgivable second lien; the options table on this page shows what each costs to carry.
What credit score do I need?
A Waco buyer’s credit tier decides which options are open — the options table on this page shows the floor for every option offered in Texas.
What does Lendmire do on a Waco first-time home buyer file?
The structural work: option, first lien, property, category, education, disclosures, closing. A Waco buyer brings the contract; Lendmire brings the fit.
Is there an option for refinancing?
The refinance-cost option covers the costs of an FHA refinance with a repayable second lien, at its own credit floor and combined-leverage limit.
Do I need a homebuyer education course?
On the nothing-to-repay option, yes — a HUD-approved course, online or in person, with the cost credited back at closing. The second-lien options do not require it, though the course is worth taking on any first purchase.
What property types are eligible?
Single-family homes, FHA-approved condominiums, townhomes and planned developments, owner-occupied two-to-four-unit homes within each option’s limit, and manufactured homes on owned land — single-width on the nothing-to-repay option, double-width on the second-lien options. Unique property types are outside the second-lien options.
Can I use the assistance on a second home or a rental?
Primary residences only. Investment properties and second homes are outside the program.
Bring the price. We will find the option.
No credit pull, no commitment: an initial review places your Waco purchase on the right option and tells you what to gather.
This guide covers Waco — for the statewide options, categories, and property rules, see Down Payment Assistance in Texas, part of Lendmire’s down payment assistance program.
Also in Texas: Pasadena · Plano · San Angelo · Port Arthur · FHA Loans · USDA Loans