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Homebuyer Programs in Flower Mound, TX (2026)

Last updated April 6, 2026 | Population: 78,389 | Median home price: $600,000 | Est. closing costs: $12,000 - $18,000

Skyline of Flower Mound, TX

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.

Top Homebuyer Programs in Flower Mound

FHA Loans
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
FHLBA Community Partners Product
Type:
Forgivable Loan
Amount:
Up to $20,000 in home purchase assistance for down payment and closing costs
First-time only:
No
FHLBA First Time Homebuyer Product
Type:
Forgivable Loan
Amount:
Up to $17,500 in home purchase assistance for down payment and closing costs
First-time only:
Yes
FHLBA Workforce Housing Plus+
Type:
Forgivable Loan
Amount:
Up to $15,000 in home purchase assistance for down payment and closing costs
First-time only:
No
Good Neighbor Next Door (HUD)
Type:
Government Property Sale Program
Amount:
50% discount off the list price of HUD-owned homes
First-time only:
Yes
Home Possible Mortgage (Freddie Mac)
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
HomeReady Mortgage (Fannie Mae)
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
HUD $100 Down Program
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
USDA Rural Development Loans
Type:
Government-Guaranteed Mortgage
Amount:
100% financing (no down payment required); loan amount up to appraised value
First-time only:
No
VA Loans
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
Habitat for Humanity of Denton County Homeownership Program
Type:
Zero-Interest Loan
Amount:
Affordable home purchase with zero-interest mortgage sold at no profit
First-time only:
No
Home Sweet Texas Home Loan Program
Type:
Grant
Amount:
Up to 5% of the total loan amount
First-time only:
No
Homes for Texas Heroes Program
Type:
Grant
Amount:
Up to 5% of the loan amount (between 3% and 5%)
First-time only:
No
My First Texas Home
Type:
Forgivable Loan
Amount:
Up to 5% of the first lien mortgage amount
First-time only:
Yes
SETH 5 Star Texas Advantage Program
Type:
Forgivable Loan
Amount:
Up to 5% of the loan amount
First-time only:
No

How to Apply

  1. 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.

  2. 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.

  3. 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.

  4. 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.

  5. 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.

  6. Step 6:

    Submit your application through your participating lender and complete the closing process.

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