Three Types of Housing Grants in Texas

Those people who are residing in Texas and need to buy a house, there are many grants available to them. These families must need the money to buy a home. These housing grants are offered by the Texas Department of Housing and Community Affairs.

Three Programs

There are three programs offered to the people in Texas. The grants aim to help low income families, who cannot afford homes for themselves. There are other grants available to people, who have any type of income, as well.

The Home Buyer Program

The first step, which this program, takes is to offer financial assistance, to those families, who have never had a house. They could also be families who did not have a home, since the last three years. Such people are given preference.

The funds are created through the lending institutions. They are also part of the program. These institutions channel mortgage money, by charging a below the market, interest rate.

The Home Buyer Program is a perfect illustration of a program that seeks to help low income families. The program does impose income restrictions. The grant goes a long way in helping families become self sufficient and independent. By allowing them to buy a house, they can start saving up and improving their lives.

The Bootstrap Loan Program

This program also seeks to help low income families, suffering financial difficulties. State funds are utilized and offered to these families, to buy themselves a house. However, certain qualifications need to be met.

Firstly, the family needs to provide 60 percent of the labor. The Departments Housing Trust Fund shall supply the funds to the families. Further, there is a limit on the loan that shall be lent. It cannot go beyond $60,000 per unit.

This loan program is quite different from other grants, which are offered. The participant’s contribution is not limited to just submitting an application. They need to put more effort into the grant. The houses that shall be built may be new or just renovations on depreciated homes.

Emergency Shelter Grants Program

This grant program differs from the other two discussed, above. It only provides grants to approved institutions that provide shelter to homeless people. The grant solely focuses on the homelessness issue. It aims to reduce this problem and help the homeless.

This program has developed many shelters and renovated existing ones as well. It does, not therefore, provide loans to families. It only caters to the homeless population of Texas.

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