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Homebuyer Programs in Port Arthur, TX (2026)

Last updated April 7, 2026 | Population: 55,828 | Median home price: $116,000 | Est. closing costs: $2,500 - $3,500

Skyline of Port Arthur, TX

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.

Top Homebuyer Programs in Port Arthur

City of Port Arthur Homebuyer Assistance Program
Type:
Forgivable Loan
Amount:
Up to $40,000 for new construction; up to $14,995 for existing homes
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
Habitat for Humanity of Jefferson County Homeownership Program
Type:
Zero-Interest Loan
Amount:
Affordable home purchase 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 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.

  2. 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.

  3. 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.

  4. Step 4:

    Prepare your minimum participant contribution of $1,000 for new construction or $500 for existing homes.

  5. Step 5:

    Get pre-approved for a mortgage and also explore TSAHC and TDHCA participating lenders for state-level down payment grants.

  6. 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

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