See programs you qualify for
Get Matched Free →By Tyler Thompson · Licensed Real Estate Agent · Updated April 7, 2026
Homebuyer Programs in Port Arthur, TX (2026)
Port Arthur is a Gulf Coast city in Jefferson County within the Golden Triangle region of Southeast Texas, with a median home price around $116,000 making it one of the most affordable housing markets in the state. The City of Port Arthur Homebuyer Assistance Program is exceptionally generous, offering up to $40,000 for new construction or up to $14,995 for existing homes as forgivable loans with no credit score requirement. Legacy CDC administers the program and provides free housing counseling. Habitat for Humanity of Jefferson County also serves the area. Combined with TSAHC and TDHCA state programs, Port Arthur buyers can access some of the strongest assistance packages in Texas.
City Programs in Port Arthur
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| City of Port Arthur Homebuyer Assistance Program | Forgivable Loan | Up to $40,000 for new construction; up to $14,995 for existing homes | Yes | View → |
- Type:
- Forgivable Loan
- Amount:
- Up to $40,000 for new construction; up to $14,995 for existing homes
- First-time only:
- Yes
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 Jefferson County Homeownership Program | Zero-Interest Loan | Affordable home purchase with zero-interest mortgage | No | View → |
- Type:
- Zero-Interest Loan
- Amount:
- Affordable home purchase with zero-interest mortgage
- First-time only:
- No
How to Apply
Step 1: Check your eligibility. The City of Port Arthur program requires household income between 30% and 80% of the HUD Area Median Income and first-time homebuyer status (no homeownership in the past three years). There is no credit score requirement.
Step 2: Complete homebuyer education. Legacy CDC provides mandatory monthly counseling with a certified Housing Counselor plus a virtual Homebuyer Education course. Contact them at (409) 832-2723.
Step 3: Contact Legacy CDC at (409) 832-2723 or the City of Port Arthur Housing Division at (409) 983-8259 to apply for the Homebuyer Assistance Program offering up to $40,000 for new construction or $14,995 for existing homes.
Step 4: Prepare your minimum participant contribution of $1,000 for new construction or $500 for existing homes.
Step 5: Get pre-approved for a mortgage and also explore TSAHC and TDHCA participating lenders for state-level down payment grants.
Step 6: Find a home within Port Arthur city limits and submit your application. The forgivable loan is automatically forgiven after 5 years (existing) or 10 years (new construction) of occupancy.
Frequently Asked Questions
How much down payment assistance can I get in Port Arthur?+−
Do I need a good credit score to qualify?+−
Do I have to be a first-time homebuyer?+−
How does the forgiveness work?+−
What homebuyer education is required?+−
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