Affordable Housing Resources in San Antonio: Getting Started

Safe and affordable housing is essential for every community, and affordability is a major issue facing renters and potential homebuyers across the country. When you start your home search, you may find yourself wondering how much you can afford and if there are any helpful programs that put the path to homeownership closer in reach. We’re here to help you understand San Antonio and Texas affordable housing programs and resources, so keep reading. 

In San Antonio, the rise in home prices with the median household income coupled with rising mortgage rates (and therefore higher monthly payments), has hurt purchase affordability.

“There is a reason people come to San Antonio, and we feel like the most popular reason is you can still find a house and have the opportunities to buy a home at many different price points,” SABOR CEO Gilbert Gonzalez says. “It is not easy by any chance, the market is just as demanding here, but it is still much more affordable than other parts of the country.”

What down payment assistance programs are available in San Antonio?
How to qualify, apply, and get started

The Texas State Affordable Housing Corporation’s (TSAHC) website is a great place to start. TSAHC provides fixed-rate mortgage loans, down payment assistance, and mortgage interest tax credits for home buyers. They do this through two programs: 

• Homes For Texas Heroes Program: This program offers home loans and down payment assistance for teachers, police officers, firefighters and EMS personnel, corrections officers, and veterans. 
• Home Sweet Texas Home Loan Program: This program provides qualifying homebuyers with a mortgage loan and funding to use for a down payment. Through down payment assistance, they help potential buyers overcome a hurdle. According to their website,  if you’re eligible, you can essentially receive free money to help you buy a home.
   

Note: Both of these programs do require you to have a minimum credit score of 620 and meet certain income requirements.

What tax Credits are available?
How to apply and get started

TSAHC also has mortgage credit certificates for first-time homebuyers (defined as anyone who hasn’t owned a home in the past three years). According to TSAHC, an MCC reduces your federal income taxes every year by allowing you to get 20% of what you spent on mortgage interest back as a tax credit. Because the tax credit refunds a portion of your mortgage interest, it also effectively reduces your mortgage interest rate.

“We recommend that all first-time home buyers ask their lender about an MCC,” says Joniel LeVecque, Homeownership Programs Director at TSAHC. “By reducing what you pay in mortgage interest, an MCC can make it easier to afford a home in a high-cost market. Plus, you can keep your MCC if you decide to refinance when interest rates go down again.”

There is also Opportunity Home San Antonio, formerly known as The San Antonio Housing Authority. They provide housing assistance to more than 57,000 people through their programs. Wait times for help through their programs can be anywhere between two to six years. They also offer limited emergency housing vouchers, which are for families who need immediate assistance because they are experiencing homelessness or domestic violence and are referred by the South Alamo Regional Alliance for the Homeless (SARAH).

Additional San Antonio programs can be found on the city’s website, which includes sections about removing barriers to housing.

How do I know what I qualify for?

When it comes to programs related to TSAHC, finding out if you qualify for a program couldn’t be easier — you can take their eligibility quiz to see what is available to you. The quiz consists of four steps that ask you questions. These include asking what your job title is, if you’re a first-time homebuyer, what county you are purchasing a home in, how many people live in your home, and your gross annual income. 

Each program has its own criteria, so it is best to ensure you assess your qualifications with the most updated information for the program you apply to.

What online tools are available?

As a homebuyer, there are a variety of online tools and resources to help you figure out affordable housing programs that you may qualify for, as well as comparison calculators, education, and affordable housing maps. Some of these tools include:

• Loan comparison calculator: You can use this tool to compare different loan types and down payment assistance options offered by TSAHC.
• How much you can afford calculator: This tool uses your income, debt, location, and savings to estimate how much home you can afford. 
• Homebuyer education: If you are using a TSAHC program, you’ll need to complete one of these educational courses. 
• On the House Podcast: TSAHC’s podcast focusing on homeownership and the home buying process (we recommend Episode 18: Tips for Winning the Bid in a Competitive Market)
• Financial Toolbox: TSAHC has a website devoted to online tools to help you with homeownership.
• Down Payment Assistance: Down Payment Resource links potential homebuyers with down payment assistance and offers the necessary tools to assist them on their path to homeownership. 

Home Possible®

Another program to help buyers achieve their dream of owning a home is the Home Possible® from Freddie Mac. This affordable lending program is perfect for low-to-income borrowers as it allows down payments starting at 3% and more credit flexibilities. Know where you want to move? Try their Home Possible® Income and Property Eligibility Tool to see if you qualify for a Home Possible loan in that area.

Can a real estate agent help me?

Yes! Having an experienced agent on your side ensures you have an advocate throughout the process. Realty San Antonio agents can help you with your affordability search.