Down Payment Assistance in Hays County: What Exists and How It Stacks
By Dustin Allan, NMLS #2044646 · Updated October 27, 2026 · Kyle, TX
The down payment is the wall most Kyle renters think they can't climb. Here's the part almost nobody tells you: Texas runs real assistance programs for Hays County buyers, the main ones don't require you to be a first-time buyer, and they can stack together.
The programs that matter here
TSAHC Home Sweet Texas. The Texas State Affordable Housing Corporation offers down payment assistance up to 5% of your loan amount — as a grant or a forgivable second lien, depending on the option. For Hays County, the published income limit is $107,520 per household (any family size) with a purchase price limit of $598,019, as of June 13, 2026. You do not have to be a first-time buyer.
TSAHC Homes for Texas Heroes. The same structure with pricing reserved for teachers, police officers, firefighters, EMS, corrections officers, veterans, and nurses. Same Hays County limits.
TDHCA My First Texas Home. For first-time buyers (or anyone who hasn't owned in three years), this pairs assistance with a below-market first mortgage. Its income limits vary by household size and change during the year — this is one I check live when we talk.
Chenoa Fund. A nationwide option for FHA buyers, including repeat buyers, useful when state program funds pause.
How the stack works
Assistance covers some or all of the down payment. A Mortgage Credit Certificate, when available, then returns a slice of your mortgage interest as a federal tax credit every year you own the home. The order you apply for these matters, and some combinations exclude others — which is exactly the ten-minute conversation I have with every buyer before they fall in love with a house.
The five questions everyone asks
Do I have to pay it back? Depends on the option. TSAHC's grant version is never repaid. The forgivable second-lien version is forgiven after three years in the home — sell or refinance earlier and the balance comes due. Some older structures are deferred loans repaid at sale or refinance.
What credit score do I need? TSAHC's published minimum is 620; scores of 620–639 pay a small origination fee and 640+ pay none. A low-600s score does not disqualify you, and meeting the minimum isn't the whole approval — your full file matters.
Do I make too much? Hays County's TSAHC limit is $107,520 per household, any family size, as of June 13, 2026. Other programs set limits by household size. Limits move during the year — check before you assume.
Do I have to be a first-time buyer? Not for TSAHC assistance — repeat buyers qualify. The first-time rule mainly matters for TDHCA's My First Texas Home and the Mortgage Credit Certificate.
How much do I get? Up to 5% of the loan amount. On an FHA loan at 3.5% down, that can cover the entire down payment with some left toward closing costs.
What this page can't tell you
Whether you qualify. Published limits are the starting line, not the finish: your credit profile, the loan type, and the specific option you pick all move the answer. That's a one-call check, not a research project.
Try the 60-second quick-check first if you want a head start — no contact info needed to see results.