See programs you qualify for
Get Matched Free →By Tyler Thompson · Licensed Real Estate Agent · Updated April 6, 2026
Homebuyer Programs in Flower Mound, TX (2026)
Flower Mound is an affluent suburb in Denton County, located northwest of Dallas near Grapevine Lake. With a median home price around $600,000, it is one of the more expensive markets in the Dallas-Fort Worth metroplex, known for top-rated schools and family-friendly neighborhoods. While Flower Mound does not currently offer its own city-funded down payment assistance, buyers can take advantage of state programs like the My First Texas Home and Home Sweet Texas programs, which offer up to 5% of the loan amount in assistance. The SETH 5 Star Texas Advantage Program provides up to 5% as a forgivable second loan. Nearby, the City of Denton Homebuyer Assistance Program offers up to $50,000 for purchases within Denton city limits, though this does not extend to Flower Mound. Habitat for Humanity of Denton County and the Denton Affordable Housing Corporation also serve the broader county area with homeownership opportunities.
State Programs in Texas
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| Home Sweet Texas Home Loan Program | Grant | 2%, 3%, 4% or 5% of the total loan amount (borrower chooses); grant on FHA/VA/USDA loans or 0% 3-year forgivable second lien | No | View → |
| Homes for Texas Heroes Program | Grant | Up to 5% of the loan amount (between 3% and 5%) | No | View → |
| My First Texas Home | Forgivable Loan | Up to 5% of the first lien mortgage amount | Yes | View → |
| SETH 5 Star Texas Advantage Program | Forgivable Loan | Up to 5% of the loan amount | No | View → |
- Type:
- Grant
- Amount:
- 2%, 3%, 4% or 5% of the total loan amount (borrower chooses); grant on FHA/VA/USDA loans or 0% 3-year forgivable second lien
- First-time only:
- No
- Type:
- Grant
- Amount:
- Up to 5% of the loan amount (between 3% and 5%)
- First-time only:
- No
- Type:
- Forgivable Loan
- Amount:
- Up to 5% of the first lien mortgage amount
- First-time only:
- Yes
- Type:
- Forgivable Loan
- Amount:
- Up to 5% of the loan amount
- First-time only:
- No
Federal Programs
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| FHA Loans | Government-Insured Mortgage | Up to FHA county loan limits ($541,287 floor to $1,249,125 ceiling for single-family in 2026) | No | View → |
| Good Neighbor Next Door (HUD) | Government Property Sale Program | 50% discount off the list price of HUD-owned homes | Yes | View → |
| Home Possible Mortgage (Freddie Mac) | Government-Guaranteed Mortgage | Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment | No | View → |
| HomeReady Mortgage (Fannie Mae) | Government-Guaranteed Mortgage | Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment | No | View → |
| HUD $100 Down Program | FHA-Financed HUD REO Purchase | Only $100 down payment required (vs. standard 3.5% FHA down payment). HUD may also pay up to 3% of buyer's closing costs. | No | View → |
| USDA Rural Development Loans | Government-Guaranteed Mortgage | 100% financing (no down payment required); loan amount up to appraised value | No | View → |
| VA Loans | Government-Guaranteed Mortgage | No loan limit for veterans with full entitlement (0% down at any price); partial entitlement subject to conforming limits ($832,750 standard in 2026) | No | View → |
- Type:
- Government-Insured Mortgage
- Amount:
- Up to FHA county loan limits ($541,287 floor to $1,249,125 ceiling for single-family in 2026)
- First-time only:
- No
- Type:
- Government Property Sale Program
- Amount:
- 50% discount off the list price of HUD-owned homes
- First-time only:
- Yes
- Type:
- Government-Guaranteed Mortgage
- Amount:
- Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment
- First-time only:
- No
- Type:
- Government-Guaranteed Mortgage
- Amount:
- Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment
- First-time only:
- No
- Type:
- FHA-Financed HUD REO Purchase
- Amount:
- Only $100 down payment required (vs. standard 3.5% FHA down payment). HUD may also pay up to 3% of buyer's closing costs.
- First-time only:
- No
- Type:
- Government-Guaranteed Mortgage
- Amount:
- 100% financing (no down payment required); loan amount up to appraised value
- First-time only:
- No
- Type:
- Government-Guaranteed Mortgage
- Amount:
- No loan limit for veterans with full entitlement (0% down at any price); partial entitlement subject to conforming limits ($832,750 standard in 2026)
- First-time only:
- No
Nonprofit Programs
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| Habitat for Humanity of Denton County Homeownership Program | Zero-Interest Loan | Affordable home purchase with zero-interest mortgage sold at no profit | No | View → |
- Type:
- Zero-Interest Loan
- Amount:
- Affordable home purchase with zero-interest mortgage sold at no profit
- First-time only:
- No
How to Apply
Step 1: Check your eligibility. State programs like My First Texas Home and Home Sweet Texas have county-specific income limits for Denton County. Review current limits through TDHCA or TSAHC.
Step 2: Complete a homebuyer education course. The SETH online Homebuyer Education Course is accepted by most state programs. Habitat for Humanity of Denton County also offers homebuyer education resources.
Step 3: Connect with a TDHCA or TSAHC participating lender. These lenders specialize in state-sponsored programs and can help you access up to 5% in down payment and closing cost assistance.
Step 4: Explore the SETH 5 Star Texas Advantage Program, which provides up to 5% of the loan amount as a forgivable second loan after 3 years of occupancy.
Step 5: Find a home within program purchase price limits. Given Flower Mound's higher price point, verify that your target home falls within the program's maximum purchase price for Denton County.
Step 6: Submit your application through your participating lender and complete the closing process.
Frequently Asked Questions
How much down payment assistance can I get in Flower Mound?+−
Do I have to be a first-time homebuyer to qualify?+−
What is the maximum home price I can purchase with assistance?+−
What homebuyer education is required?+−
Are there any Denton County-specific programs for Flower Mound buyers?+−
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