See programs you qualify for
Get Matched Free →By Tyler Thompson · Licensed Real Estate Agent · Updated April 6, 2026
Homebuyer Programs in Lubbock, TX (2026)
Lubbock is a growing city in West Texas and home to Texas Tech University, with a population nearing 280,000 and a median home price around $240,000 that remains well below the state average. The Homeownership Across Texas (HAT) Grant Program, administered locally by the Lubbock Housing Finance Corporation, provides up to 5% of the loan amount as a grant that never needs to be repaid for FHA, VA, and USDA borrowers, or 3% for conventional loans. Texas state programs including Home Sweet Texas, My First Texas Home, Homes for Texas Heroes, and the SETH 5 Star Texas Advantage Program offer additional grants and forgivable loans of up to 5% of the loan amount. By stacking the HAT Grant with a state program, an eligible Lubbock buyer purchasing at the median price could potentially access over $20,000 in combined assistance toward their down payment and closing costs.
City Programs in Lubbock
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| Homeownership Across Texas (HAT) Grant Program | Grant | Up to 5% of the loan amount (FHA/VA/USDA) or 3% (Conventional) | No | View → |
- Type:
- Grant
- Amount:
- Up to 5% of the loan amount (FHA/VA/USDA) or 3% (Conventional)
- First-time only:
- No
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 |
|---|---|---|---|---|
| Lubbock Habitat for Humanity Homeownership Program | Zero-Interest Loan | Affordable home purchase at no profit with 0% interest mortgage | No | View → |
- Type:
- Zero-Interest Loan
- Amount:
- Affordable home purchase at no profit with 0% interest mortgage
- First-time only:
- No
How to Apply
Step 1: Check your eligibility. For the HAT Grant Program, your annual income must be below the Lubbock County limit of approximately $90,720, and you need a credit score of at least 620. State programs through TSAHC and TDHCA have their own income requirements, and Collin County income limits tend to differ from Lubbock County limits, so check with a participating lender.
Step 2: Complete homebuyer education. The HAT Grant Program requires completion of an eligible homebuyer education course, available online or in person. State programs through TSAHC and TDHCA also require their own homebuyer education courses, which can typically be completed online in a few hours.
Step 3: Contact the Lubbock Housing Finance Corporation at 806-744-5397 to learn about HAT Grant availability and connect with a participating HAT lender. They can walk you through the application process and help determine which combination of programs works best for your situation.
Step 4: Get pre-approved for a mortgage. You must be approved for a 30-year FHA, VA, USDA, or conventional mortgage from a participating HAT lender to receive the HAT Grant. For state DPA programs, work with a TSAHC or TDHCA participating lender.
Step 5: Find a home in Lubbock. The property must be your primary residence. There are no specific purchase price caps for the HAT Grant, but state programs may have limits that vary by county. Lubbock Habitat for Humanity at 806-763-4663 is another option for families seeking affordable homeownership.
Step 6: Submit your application and close. The HAT Grant is applied at closing toward your down payment and closing costs. Coordinate with your lender to ensure all program requirements are met and allow time for processing.
Frequently Asked Questions
How much down payment assistance can I get in Lubbock?+−
Do I have to be a first-time homebuyer to qualify?+−
What is the income limit for down payment assistance in Lubbock?+−
What homebuyer education is required?+−
Does the HAT Grant have to be repaid?+−
Can I combine the HAT Grant with state programs?+−
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