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Homebuyer Programs in Midland, TX (2026)

Last updated April 6, 2026 | Population: 147,000 | Median home price: $285,000 | Est. closing costs: $5,500 - $8,500

Skyline of Midland, TX

Midland is a fast-growing city in the heart of the Permian Basin in West Texas, with a population of approximately 147,000 and a thriving economy driven by the oil and gas industry. With a median home price around $285,000, Midland is one of the more expensive markets in non-metro Texas. The City of Midland Homebuyer Assistance Program (HAP) offers first-time buyers up to $15,000 as a zero-interest deferred loan that is fully forgiven after 10 years of owner-occupancy. Midland Habitat for Humanity builds affordable homes with zero-interest mortgages for families earning between 30% and 60% of area median income. The Midland Community Development Corporation (MCDC), a HUD-approved counseling agency, provides free homebuyer education and connects buyers to available resources. State programs like My First Texas Home and Home Sweet Texas add up to 5% of the loan amount in additional down payment assistance. By combining the city program with state and federal options, Midland homebuyers can access meaningful financial help toward their purchase.

Top Homebuyer Programs in Midland

City of Midland Homebuyer Assistance Program (HAP)
Type:
Forgivable Loan
Amount:
Up to $15,000
First-time only:
Yes
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
Midland Habitat for Humanity Homeownership Program
Type:
Zero-Interest Loan
Amount:
Affordable home with zero-interest mortgage
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. The City of Midland HAP requires household income at or below HUD income guidelines and first-time buyer status (no home ownership in the last three years). You must be a U.S. citizen and Midland resident for at least 30 days.

  2. Step 2:

    Complete homebuyer education. Contact the Midland Community Development Corporation (MCDC), a HUD-approved counseling agency, for required homeownership training and credit counseling. Visit midlandcdc.org or call their office to schedule an appointment.

  3. Step 3:

    Contact the City of Midland Community Development Office at 432-685-7472 to learn about current HAP funding availability and get a list of approved lenders. The minimum buyer investment is $1,000.

  4. Step 4:

    Get pre-approved for a mortgage. Work with a TSAHC or TDHCA approved lender to access state down payment assistance programs like My First Texas Home or Home Sweet Texas, which offer up to 5% of the loan amount.

  5. Step 5:

    Find a home within Midland city limits. The home can be pre-owned or newly constructed and must meet program requirements for a decent, safe, and sanitary dwelling.

  6. Step 6:

    Submit your application through your approved lender. The HAP assistance is provided as a zero-interest deferred loan with a second-position lien, forgiven after 10 years of continuous owner-occupancy.

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