What help is available for first-time buyers in San Antonio?

The City of San Antonio's Neighborhood and Housing Services Department runs the Homeownership Incentive Program (HIP) for first-time buyers. It has two tiers: HIP 80 for households at or below 80% of area median income, and HIP 120 for households up to 120%. Both provide down payment and closing cost assistance as a no-interest, no-payment second lien that is largely forgiven over time. San Antonio buyers can also use statewide programs from TDHCA and TSAHC.

HIP 80 and HIP 120 compared.

Terms come from the City's published procedural guides. Funding is first come, first served, so confirm current availability with the City before planning around it.

San Antonio Homeownership Incentive Program tiers
	HIP 80	HIP 120
Household income	At or below 80% of area median income	At or below 120% of area median income
Funding source	Federal HOME funds	City general fund
Structure	No-interest, no-payment forgivable loan	No-interest, no-payment loan: 75% forgiven over ten years, 25% repaid on sale or cash-out refinance
Forgiveness	Forgiven over five or ten years, depending on the amount	One-tenth of the forgivable share each year
First mortgage	FHA, VA, or conventional	FHA, VA, or conventional

Who qualifies.

Both tiers share the same core requirements:

First-time buyer: no ownership interest in residential property for three years (exceptions for recently divorced buyers and households displaced by public acquisition or demolition)
A San Antonio resident for at least six months
A U.S. citizen or permanent resident
Completion of an 8-hour HUD-approved homebuyer education course before closing
The home becomes your homestead for the full assistance term
Qualification for an FHA, VA, or conventional mortgage; owner-financed purchases do not qualify
A minimum earnest money deposit, receipted by the title company

Property and underwriting rules.

A few rules catch buyers late, so check them before making an offer:

The home must be inside San Antonio city limits; check the address on the City's map or the Bexar Appraisal District site
The City inspects the home to HUD physical standards, and required repairs must be completed and re-inspected before closing
Each tier has a maximum purchase price, with separate limits for existing and new-construction homes; confirm the current figures on the City's HIP page
HIP 120 uses a 33% housing ratio and a 45% total debt-to-income ratio, and a Chapter 7 bankruptcy must be at least five years past discharge (Chapter 13, two years)

How the process works.

Get pre-qualified with a lender first, then complete the homebuyer education course. Once you are under contract with the earnest money deposited, the lender works with the City's housing department to request and close the assistance alongside your mortgage.

Stacking city and state programs.

The City program sits on top of a first mortgage, and that mortgage can be a standard loan or a statewide program loan. Comparing the combinations shows which leaves you in the strongest position at closing and afterward.

Common questions.

General answers — your situation deserves a specific one. Bryan is a call away.

Does San Antonio have a first-time home buyer program?

Yes. The City's Homeownership Incentive Program (HIP) offers down payment and closing cost assistance to eligible first-time buyers through two income tiers, HIP 80 and HIP 120.

Do I have to repay San Antonio HIP assistance?

Most of it is forgiven if you stay in the home. HIP 80 is forgiven over five or ten years. Under HIP 120, 75% is forgiven over ten years and 25% is repaid when you sell, transfer, or take a cash-out refinance.

What is the income limit for San Antonio HIP?

HIP 80 is for households at or below 80% of area median income and HIP 120 for households at or below 120%. The City publishes the current dollar limits by household size.

Do I need a homebuyer education course?

Yes. The City requires an 8-hour HUD-approved homebuyer education course, with the certificate submitted before closing.

Can I combine San Antonio HIP with a TDHCA or TSAHC program?

HIP pairs with an FHA, VA, or conventional first mortgage, which can include a statewide program loan. Whether a specific combination works depends on each program's current rules.

Who can help me apply?

Your mortgage lender requests the assistance from the City once you are under contract. Bryan Bowman, NMLS #1473913, is licensed in Texas and can review your eligibility for city and state programs together.

Closely related guides on the same decision.

First-Time Home Buyer Programs in Texas

Texas has two statewide sources of first-time buyer help. The Texas Department of Housing and Community Affairs (TDHCA) runs My First Texas Home, My Choice Texas Home, and the Texas Mortgage Credit Certificate. The Texas State Affordable Housing Corporation (TSAHC) runs Homes for Texas Heroes and Home Sweet Texas. Most pair a 30-year fixed-rate mortgage with down payment and closing cost assistance of up to 5% of the loan amount, and many Texas cities and counties add programs of their own. Eligibility depends on income, purchase price, credit, and county.

Down Payment Assistance in Texas

Texas down payment assistance (DPA) helps eligible buyers cover the down payment and closing costs, usually as a second lien behind the main mortgage. Statewide programs from TDHCA and TSAHC offer assistance of up to 5% of the loan amount as a grant, a forgivable second lien, or a deferred second lien repaid when you sell or refinance. Cities and counties add local programs. Income, purchase price, and credit requirements apply.

Get answers about your situation.

Guides explain the general rules. A short conversation with Bryan tells you how they apply to you — no obligation, no pressure.

Get Pre-Approved Call (702) 820-2963