See programs you qualify for
Get Matched Free →By Tyler Thompson · Licensed Real Estate Agent · Updated April 7, 2026
Homebuyer Programs in The Colony, TX (2026)
The Colony is a lakeside city in Denton County, Texas, situated on the eastern shore of Lewisville Lake in the DFW metroplex. With a median home price around $450,000, buyers in The Colony can take advantage of several assistance programs. The Denton Affordable Housing Corporation AHOP program offers 10-30% discounts on home purchases throughout Denton County. State programs including the Home Sweet Texas Home Loan Program provide up to 5% of the loan amount as a grant, while Homes for Texas Heroes offers 3-5% grants for teachers and first responders. Habitat for Humanity of Denton County also serves the area with affordable zero-interest homeownership opportunities. By combining county nonprofit and state programs, eligible Colony buyers could access significant assistance toward their home purchase.
State Programs in Texas
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| Home Sweet Texas Home Loan Program | Grant | Up to 5% of the total loan amount | 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:
- Up to 5% of the total loan amount
- 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 |
|---|---|---|---|---|
| Denton Affordable Housing Corporation AHOP | Grant | 10% to 30% discount on home purchase price | Yes | View → |
| Habitat for Humanity of Denton County Homeownership Program | Zero-Interest Loan | Affordable home purchase with zero-interest mortgage sold at no profit | No | View → |
- Type:
- Grant
- Amount:
- 10% to 30% discount on home purchase price
- First-time only:
- Yes
- Type:
- Zero-Interest Loan
- Amount:
- Affordable home purchase with zero-interest mortgage sold at no profit
- First-time only:
- No
How to Apply
Step 1: Check your eligibility. Most Texas state programs require household income at or below 80% of the area median income for Denton County and a minimum credit score of 620. The Denton Affordable Housing Corporation AHOP has its own income guidelines.
Step 2: Complete homebuyer education. All major Texas state DPA programs require an approved homebuyer education course. Contact a HUD-approved housing counseling agency by calling (800) 569-4287 to find courses in the area.
Step 3: Explore the Denton Affordable Housing Corporation AHOP. This program offers 10-30% discounts on home purchases throughout Denton County, which can significantly reduce your purchase price.
Step 4: Connect with a participating lender. TSAHC and TDHCA state programs are offered through approved lender networks. Ask about the Home Sweet Texas and Homes for Texas Heroes programs for additional assistance.
Step 5: Explore nonprofit options. Contact Habitat for Humanity of Denton County at (940) 484-5006 to learn about their affordable homeownership program offering zero-interest mortgages.
Step 6: Get pre-approved and find a home. Work with your lender to determine your maximum purchase price including all DPA funds. Processing times vary, so plan for 30-60 days from application to closing.