Your client pool is larger than you think.
Many aspiring homeowners are closer to the dream of homeownership than they realize. You can help them get there. Your expert knowledge in partnership with The Texas Homebuyer Program will expand your business and help put Texans into their first homes.
Let us help you learn how to educate new and eager buyers who need our joint expertise and guidance.
Participation Benefits for REALTORS®
- Brand yourself as an expert: Stand apart from the crowd of REALTORS® by branding yourself as an expert in down payment assistance and mortgage credit certificates. Make a difference in someone’s life by providing expert guidance. Through participation you show Texans that together, homeownership is possible.
- Build your referral base: Not only will you become a part of our extensive partnership network, but you’ll help Texans fulfill their dreams and word-of-mouth is powerful.
- Earn commissions: Working with first time home buyers comes with many rewards beyond smiles and gratitude. Of course there are also commissions. Not just that, but commissions from a relatively untapped niche market.
Steps for REALTORS®
Review the Texas Homebuyer Program Guidelines
Here’s what you will learn as part of the Texas Homebuyer REALTOR® Training:
- My First Texas Home Program: Offers a 30-year, fixed interest rate mortgage loan program for qualifying first time homebuyers, residing in Texas, earning income limits up to 115% AMFI.
- My Choice Texas Home: Offers a 30-year, fixed interest rate mortgage loan program for your repeat homebuyer.
- Down payment and closing cost assistance up to 5% of the loan amount
- Texas Mortgage Credit Certificate Program (“TXMCC”): Offers a tax credit every year based on the interest paid on the homebuyer’s mortgage loan.
- Texas Homebuyer U: Offers two free, online courses that satisfy the education requirement for TDHCA’s first time homebuyer programs and an introductory course to its Texas Mortgage Credit Certificate (TX MCC) Program.
- Income and Purchase Price Limits
Learn how to be a Partner with our Continuing Education Courses
Continuing Education is the backbone of a great REALTOR®. The Texas Homebuyer Program has a variety of ways for you to learn about our programs and participate as you see fit.
Earn Continuing Education (CE) credit and the Aspiring Homebuyer Specialist designation, available only through TDHCA’s Texas Homeownership Division.
- Four hours of Texas Real Estate Commission (TREC) approved mandatory continuing education (CE) credit found to be invaluable to Texas REALTORS®; Offered by the Texas Homeownership Division of the Texas Department of Housing and Community Affairs, Texas’ only state housing finance agency.
Earn one hour of CE credit with successful completion of:
- One hour of Texas Real Estate Commission (TREC) approved mandatory continuing education (CE) credit offered by the Texas Homeownership Division of the Texas Department of Housing and Community Affairs.
Visit our Calendar for upcoming CE course offerings.
Benefits of Participating in Texas Homeownership Continuing Education
- Inclusion on Texas Homeownership REALTORS® Locator List.
- Referrals from the Texas Homeownership REALTORS® Locator List.
- Active buyers will see your contact information and know you are a trained professional who is ready to help them.
- Participating as a Preferred Texas Homeownership REALTOR® puts you ahead of the game and the competition.
Products at a Glance
The Texas Homebuyer Program requires a 620 Fico Score.
All other credit requirements are addressed with AUS and Underwriting Findings.
Targeted Area Property Search
First Time Homebuyers Flyer
My Choice Down Payment Assistance Flyer
Mortgage Tax Credit Flyer
Basic Understanding Recapture TAX
Texas Homebuyer U
In early years of an amortized loan, almost all of the payment is applied toward interest, while in the last years of the loan, almost all of the payment is applied to reduce the principal.
Closing Costs & Prepaids
Costs paid in addition to the down payment on closing day. They can include attorney fees, loan origination fee, loan discount point, application fee, appraisal fee, credit report, document preparation, escrow fee, survey and recording fees, tax escrow, hazard insurance, flood zone certification, two months of private mortgage insurance (if down payment is less than 20 percent) and sometimes the entire first year’s private mortgage insurance premium. Typically, the appraisal and credit report fees are paid at application.
This new form combines and replaces the HUD‑1 and final Truth in Lending(TIL) disclosure. A lender is required to provide the Closing Disclosure to the borrower no later than three business days before loan closing. This form is a statement of final loan terms, projected payments and closing costs. Compare this document with your Loan Estimate.
The difference between the mortgage and the lower of the purchase price or appraisal. The minimum down payment is three and a half (3.5%) percent on most loans. Private mortgage insurance is required for a down payment less than 20 percent.
Deposit money given to the seller by the potential buyer to show that he is serious about buying the house. If the deal goes through, the earnest money is applied to the down payment. If the deal does not go through, it may be forfeited.
The difference between a home’s fair market value and the loan amount, and/or encumbrances (such as liens or claims) against it.
This new form combines and replaces the Good Faith Estimate(GFE) and the initial Truth in Lending(TIL) disclosure. It must contain a good faith estimate of credit costs (loan costs and other costs) and transactions terms. Loan Costs are costs paid by the consumer to the lender and third-party providers of services the lender requires to be obtained by the borrower during the origination of the loan. Other Costs include taxes, governmental recording fees, and certain other payments included in the real estate closing transaction. A Calculating Cash to Close table shows the borrower how the amount of cash needed at closing is calculated. The lender is required to provide the Loan Estimate within three days of receipt of the borrowers loan application.
An estimate of the average interest rate being charged by lenders for conventional (Fannie Mae/Freddie Mac) or FHA/VA loans.
The origination fee is what the lender charges for establishing the loan. It is included in the closing costs and may be financed.
Points or Discount Points
A point or discount point is one percent of the loan amount and is charged by the lender to issue a loan at below market rates.
Private Mortgage Insurance
On conventional financing, lenders require that the borrower purchase Private Mortgage Insurance(PMI) to protect the lender against default on loans with less than 20 percent down payment. PMI has nothing to do with homeowners insurance or credit life insurance. PMI should cost the same at all lenders.
A buyer must qualify for a loan. Typically, the monthly payment cannot be more than 25 percent to 28 percent of the buyer’s gross monthly income, and all the buyer’s monthly debt cannot total more than 33 percent to 36 percent of his/her monthly income. Some leeway may be granted based upon prior credit history, down payment, job history, etc.
An instrument that shows the buyer has a clear ownership of the property. A loan does not usually close until the title company has assured the lender that there are no hidden problems with a title to a piece of property.
A policy required by the lender and paid for by the borrower that insures the lender clear title against future claims. Borrowers may also purchase title insurance to protect their equity.
How do I get on the list of preferred REALTORS® ?
Upon completion of The Texas Homebuyer Program qualified Continuing Education Training you will be eligible to be listed on the Homeownerhip REALTOR® Locator.
Where and when can I take online training about The Texas Homebuyer Program?
Stay tuned to sign up for our special, 4‑hour TREC-approved Continuing Education course. Additionally, The Texas Homebuyer Program team is full of detailed information on all Programs. Check our calendar for upcoming training and events.
Is there a Cost for the training?
Typically, The Texas Homebuyer Program Realtor® training is free. Occasionally, certain Continuing Education classes may incur a nominal fee.
What is the first step for my client to pursue down payment assistance?
Recommend your future homebuyer take the free, online Texas Homebuyer U courses for first-time home buyers and the MCC Mortgage Credit Certificate Class.
Help your buyer choose a lender from the The Texas Homebuyer Program lender locator. These lenders have been trained and are authorized to add The Texas Homebuyer Program’s down payment assistance and TxMCC to your buyer’s loan.
How do I help my buyer make sure they qualify for and obtain a MCC (Mortgage Credit Certificate)?
If the buyer qualifies for the TxMCC, stay in close contact with the chosen Lender and help the buyer make sure a MCC is included while the loan is being underwritten.
Does TDHCA recommend certain REALTORS®?
As a state agency, TDHCA must remain impartial and cannot steer buyers to one REALTOR® over another. The best way to stand out is to have taken the Homebuyer Continuing Education training so you qualify to be on the REALTOR® Locator List.
How can I become a trainer for affordable housing?
At this time, The Texas Homebuyer Program staff provides all official homebuyer training.
Are down payment funds always available from The Texas Homebuyer Program?
While funds are technically finite and limited, The Texas Homebuyer Program is backed by the State of Texas which means a healthy and reliable budget is always available.
Where do I learn about the most recent Program Guidelines?
How do I request Marketing materials?
See printable flyer options under Realtor® Resources or contact Lisa Johnson.
About the MCC Calculator
This is an estimate based on the loan amount entered, mortgage interest rate percentage entered and applicable MCC credit rate and should not be used as any type of official documentation.