Down payment assistance in San Antonio (2026): city and state programs for home buyers

By Chris Dudley, San Antonio real estate agent, Legacy Realty Group, brokered by Real Broker, LLC (TREC #731381). Updated October 29, 2026.

Short answer: San Antonio buyers can usually choose among three kinds of help: the City of San Antonio's Homeownership Incentive Program (HIP) for homes inside city limits, the Texas State Affordable Housing Corporation (TSAHC) programs, and the Texas Department of Housing and Community Affairs (TDHCA) programs. The two state agencies each offer up to 5% assistance toward the down payment and closing costs through approved lenders. Every program requires a homebuyer education course, and most have income and price limits, so the first step is talking to a lender who is approved for the program you want.

1. City of San Antonio Homeownership Incentive Program (HIP)

HIP is run by the City's Neighborhood and Housing Services Department. It provides a zero-interest, forgivable second loan for buyers purchasing a primary residence inside San Antonio city limits. There are two income tiers: HIP 80 for households at or below 80% of Area Median Income (AMI), and HIP 120 for households between 81% and 120% of AMI. The City sets separate sales price limits for existing homes and new construction.

Confirm current assistance amounts, repayment or forgiveness conditions, education requirements, price limits and available funding directly with the City and the participating lender before relying on HIP in an offer.

Important for my service areas: HIP only applies inside San Antonio city limits. Homes in Cibolo, Schertz, Converse, Live Oak, Windcrest, Universal City, Boerne, New Braunfels and Canyon Lake are outside the program, and some addresses with a San Antonio mailing address sit outside the city limits too. Check the address before counting on HIP.

2. TSAHC: Homes for Texas Heroes and Home Sweet Texas

The Texas State Affordable Housing Corporation offers two homebuyer programs. Homes for Texas Heroes is for teachers and other full-time public school educators, police and public security officers, firefighters and EMS personnel, veterans and active military, corrections officers, and nursing and allied health faculty. Home Sweet Texas is for buyers who are not in one of those professions.

Through a participating lender, TSAHC says buyers may receive up to 5% of the loan amount for the down payment and/or closing costs. TSAHC lists three forms of assistance: a grant that never has to be repaid, a deferred forgivable second lien that is forgiven after three years if you don't sell, refinance or move out, and a deferred repayable second lien that is repaid when the first mortgage is paid off, refinanced, sold or transferred. TSAHC serves both first-time and repeat buyers. It also offers a Mortgage Credit Certificate for first-time buyers, which is a federal tax credit rather than down payment money.

3. TDHCA: My First Texas Home and My Choice Texas Home

The Texas Department of Housing and Community Affairs runs the Texas Homebuyer Program. My First Texas Home is for first-time buyers (with exceptions for qualified veterans and targeted areas). My Choice Texas Home is open to first-time and repeat buyers and has higher income limits. TDHCA's program summary lists up to 5% assistance for the down payment and closing costs, a 620 minimum credit score, a required homebuyer education course and a TDHCA-approved loan officer. Income and purchase price limits vary by county. TDHCA also offers the Texas Mortgage Credit Certificate for veterans and first-time buyers.

Quick comparison

How to use down payment assistance when you buy

1. Talk to an approved lender first. Assistance is delivered through participating lenders, and each program has its own approved list.
2. Take the homebuyer education course early. Every program above requires one, and finishing it before you shop keeps your closing on schedule.
3. Check income, price and location limits against the homes you're looking at, especially HIP's city-limits rule.
4. Read the repayment terms. A grant, a forgivable second lien and a repayable second lien affect you very differently if you sell or refinance in a few years.
5. Build the timeline into your offer. Assistance approvals can add steps, so your agent should set the financing period and closing date with that in mind.

Assistance can be paired with common first mortgages. See my guides to buying your first home in San Antonio, VA loans, FHA loans and San Antonio closing costs.

FAQ

Is there down payment assistance in San Antonio in 2026?

Yes. The City of San Antonio's HIP program helps buyers purchasing inside city limits, and the statewide TSAHC and TDHCA programs each offer up to 5% assistance through approved lenders. Availability depends on funding and your income, credit and the home's price.

Do I have to be a first-time buyer?

Not always. TDHCA's My Choice Texas Home and TSAHC's programs are open to repeat buyers. TDHCA's My First Texas Home is for first-time buyers, with exceptions for qualified veterans and targeted areas.

Can I use down payment assistance in Cibolo, Schertz or New Braunfels?

The state programs from TSAHC and TDHCA are available statewide, subject to county income and price limits. The City of San Antonio's HIP program only applies to homes inside San Antonio city limits.

Talk it through with a San Antonio real estate agent

I'm Chris Dudley, a San Antonio real estate agent and founder of Legacy Realty Group, brokered by Real Broker, LLC. I work with first-time buyers across San Antonio, Alamo Ranch, Stone Oak, Cibolo, Schertz, Converse and the Hill Country. Call me at (210) 838-6099 and I'll help you line up an approved lender and a search that fits your program. You can also read about me or my buyer and seller FAQ.

Program details come from the official sources below and can change at any time; they are not a loan offer or a guarantee of eligibility. Confirm current terms with the program and an approved lender. Chris Dudley is a real estate agent, not a lender.

Sources

• TSAHC, Down Payment Assistance (checked Oct 29, 2026): https://www.tsahc.org/landing/home-down-payment-assistance
• TDHCA, Texas Homebuyer Program, programs page: https://welcomehome.tdhca.texas.gov/programs
• TDHCA, Homebuyer Assistance Programs summary (PDF): https://welcomehome.tdhca.texas.gov/uploads/transitional-content/tdhca-homebuyer-programs-121025.pdf
• City of San Antonio, HIP procedural guide (PDF): https://www.sanantonio.gov/Portals/0/Files/NHSD/DownPayment/HIP80/Guidelines.pdf
• VA Loan Network, San Antonio HIP article (updated Oct 2, 2026): https://valoannetwork.com/san-antonio-homeownership-incentive-program-hip/