Texas DPA

Texas DPA for Teachers: Complete Guide to Homes for Texas Heroes

Learn how Texas teachers can get up to 5% down payment assistance through the Homes for Texas Heroes program. Includes eligibility, income limits, and grant options.

Zac Cook (NMLS #2111496)
Published March 12, 2026
Updated October 14, 2026
10 min read

Texas DPA for Teachers: Your Complete Guide

Texas teachers are among the most valued professionals in our state, yet many struggle to afford homeownership on educator salaries. The Homes for Texas Heroes program was created specifically to help teachers and other public servants purchase homes with down payment assistance of up to 5% of the loan amount—including a grant option that never needs to be repaid.

According to TSAHC, the Texas State Affordable Housing Corporation helped 9,554 Texas families purchase homes in 2025 through their DPA programs, distributing $85.6 million in assistance. Teachers represent one of the largest groups of Heroes program beneficiaries.

This guide covers everything Texas teachers need to know about qualifying for and using the Homes for Texas Heroes down payment assistance program.

Key Takeaways

  • Texas teachers qualify for the Homes for Texas Heroes program, which provides up to 5% of the loan amount in down payment and closing cost assistance
  • Grant option available—teachers can receive DPA as a grant that never needs to be repaid
  • No first-time buyer requirement—teachers who have owned homes before can still qualify
  • Works with FHA, VA, USDA, and conventional loans—more financing flexibility than TDHCA programs
  • Income limits are generous—many Texas teachers earning $60,000-$90,000+ qualify depending on county

Who Qualifies as a Teacher for the Heroes Program?

The Homes for Texas Heroes program defines eligible education professionals broadly. According to TSAHC eligibility guidelines, you qualify if you are employed full-time by:

  • Public school districts (K-12)
  • Charter schools
  • Private schools (accredited)
  • Public colleges and universities
  • Community colleges

Eligible Education Positions

Position Eligible? Notes
Classroom Teacher Yes All grade levels K-12
Teacher's Aide / Paraprofessional Yes Full-time required
School Librarian Yes Must be full-time
School Counselor Yes Must be full-time
School Administrator Yes Principals, vice principals, superintendents
College/University Professor Yes Full-time faculty
School Nurse Yes Qualifies under education OR healthcare
Substitute Teacher No Must be full-time permanent employee
Part-Time Staff No Full-time employment required

The key requirement is full-time employment. Substitute teachers and part-time employees do not qualify, but teacher's aides and paraprofessionals who work full-time do qualify.

Grant vs. Second Lien: Which Should Teachers Choose?

The Homes for Texas Heroes program offers two DPA options. Understanding the difference is critical to making the right choice for your situation.

Feature Grant Option Second Lien Option
DPA Amount Up to 5% of loan amount Up to 5% of loan amount
Repayment Required No, never Yes, when you sell/refinance/pay off mortgage
Monthly Payments None None
First Mortgage Pricing Usually higher, to offset the grant Usually lower
Best For Teachers who may move within 5-7 years Teachers staying long-term (10+ years)

How to Compare the Two Options

Since the first mortgage is priced differently on each side, the right choice comes down to how long you expect to keep the loan. Ask your loan officer for both options priced on the same house, then line up three things:

  • The APR and monthly payment on each. The difference is what the grant costs you every month.
  • What you would owe on the second lien if you sold or refinanced, and what event would trigger that payoff.
  • Your realistic timeline. A teacher who might transfer districts, follow a spouse's job or refinance within a few years often comes out ahead with the grant. A teacher planning to stay in the same home for a decade or more often comes out ahead with the second lien's lower first-mortgage pricing.

Ask us to run that side-by-side before you choose, so the decision rests on your numbers instead of a rule of thumb.

Income Limits for Texas Teachers by City

TSAHC sets income limits by county and household size. Here are the approximate 2026 income limits for teachers in major Texas cities:

City County 1-2 Person Household 3+ Person Household
Houston Harris $97,000 - $115,000 $111,000 - $132,000
Dallas Dallas $92,000 - $110,000 $106,000 - $127,000
San Antonio Bexar $80,000 - $95,000 $92,000 - $109,000
Austin Travis $102,000 - $122,000 $117,000 - $140,000
Fort Worth Tarrant $92,000 - $110,000 $106,000 - $127,000
El Paso El Paso $68,000 - $81,000 $78,000 - $93,000

Note: These are approximate ranges. Actual limits vary by specific program and are updated annually. Use our qualifier quiz for current limits.

According to Texas Education Agency data, the average Texas teacher salary is approximately $60,000, with experienced teachers in major metro areas earning $65,000-$85,000. Most Texas teachers fall well within these income limits.

How Much DPA Can Teachers Receive?

The Homes for Texas Heroes program provides up to 5% of your total loan amount, so the dollar figure grows with the size of your loan. A quick way to estimate it: every $100,000 you borrow can bring up to $5,000 in assistance. Because the percentage is based on the loan amount rather than the purchase price, your loan officer confirms the exact figure once your loan type and price are set.

This assistance can cover your entire down payment and often a significant portion of closing costs. Use our DPA calculator to see your exact numbers.

Step-by-Step: How Teachers Apply for DPA

Step 1: Verify Your Eligibility

Confirm you meet the basic requirements:

  • Full-time employment in an eligible education position
  • Household income below county limits
  • Minimum credit score of 620
  • The home will be your primary residence

Take our qualifier quiz for a quick eligibility check.

Step 2: Complete Homebuyer Education

All TSAHC programs require completion of a HUD-approved homebuyer education course. This can be done online in 4-8 hours. The course covers budgeting, the mortgage process, and homeownership responsibilities.

Approved providers include:

  • eHome America
  • Framework Homeownership
  • Local HUD-approved counseling agencies

Step 3: Get Pre-Approved with a TSAHC-Approved Lender

Work with a lender approved to offer TSAHC programs, like Cook Brothers Mortgage Team at Cornerstone First Mortgage (NMLS #173855). We will:

  • Verify your income and employment
  • Pull your credit report
  • Confirm your eligibility for the Heroes program
  • Issue a pre-approval letter

Step 4: Provide Employment Verification

Your lender will need proof of your full-time education employment. Acceptable documentation includes:

  • Employment verification letter from your school/district
  • Recent pay stubs showing employer name
  • Contract or appointment letter

Step 5: Find Your Home

Shop for homes within the purchase price limits for your county. Your real estate agent should understand DPA transactions and their requirements.

Step 6: Close on Your Home

At closing, your DPA funds are applied directly to your down payment and closing costs. The entire process typically takes 30-45 days from contract to closing.

Frequently Asked Questions

Do I have to be a first-time buyer to use the Heroes program?

No. According to TSAHC program guidelines, the Homes for Texas Heroes program is available to both first-time and repeat home buyers. This is different from TDHCA's My First Texas Home program, which requires first-time buyer status.

Can teacher's aides and paraprofessionals qualify?

Yes, as long as you are a full-time employee. According to TSAHC eligibility rules, teacher's aides, paraprofessionals, and other full-time education support staff qualify for the Heroes program.

What if I switch teaching jobs during the mortgage process?

Changing employers during the mortgage process can cause delays. If possible, wait until after closing to change jobs. If you must change jobs, inform your lender immediately. Staying within the education field is generally acceptable, but changing careers could affect your eligibility.

Can I use the Heroes program if I teach at a private school?

Yes. According to TSAHC guidelines, full-time employees of accredited private schools qualify for the Homes for Texas Heroes program. The school must be accredited by a recognized accrediting organization.

Does the grant option cost me anything?

You never pay the grant back, even if you sell, refinance or pay off the home early. It isn't cost-free, though. The first mortgage that comes with the grant is usually priced higher than the one paired with the second lien option, and you pay that difference every month you keep the loan. Compare the APR on both versions before you pick.

How does the Heroes program compare to My First Texas Home?

The Heroes program offers advantages for teachers:

Feature Homes for Texas Heroes My First Texas Home
Agency TSAHC TDHCA
Grant Option Yes No
First-Time Buyer Required No Yes
Conventional Loans Yes No
Who Qualifies Education, first responders, healthcare, military All first-time buyers

For teachers, the Heroes program is typically the better choice because of the grant option and no first-time buyer requirement.

Why the Heroes Program Was Created for Teachers

Texas faces ongoing teacher shortages, particularly in high-cost urban areas where housing prices have outpaced educator salaries. The Homes for Texas Heroes program was created by the Texas legislature to help essential public servants—including teachers—achieve homeownership.

By providing down payment assistance, the program removes one of the biggest barriers to homeownership for teachers. According to TSAHC data, the average DPA recipient received approximately $8,960 in assistance in 2025—money that would have taken years to save on a teacher's salary.

Additional Resources for Texas Teacher Home Buyers

  • Texas State Teachers Association (TSTA) - Offers financial education resources for members
  • Texas AFT - Provides homeownership guidance for educators
  • Texas Retired Teachers Association - Resources for retired educators (different programs may apply)

Ready to Get Started?

Texas teachers have a down payment program of their own in Homes for Texas Heroes. With up to 5% of the loan amount available as a grant you never repay, or as a second lien paired with lower first-mortgage pricing, owning a home on an educator's salary may be closer than you think.

Check your eligibility today with our free qualifier quiz, or contact us directly to speak with a DPA specialist.

  • Tanner Cook - NMLS #2090424 - (469) 405-2690
  • Zac Cook - NMLS #2111496 - (469) 405-2690

Zac Cook is a licensed mortgage loan originator (NMLS #2111496) with Cook Brothers Mortgage Team at Cornerstone First Mortgage (NMLS #173855). This content is for informational purposes only and does not constitute financial advice. Loan approval is subject to credit and property qualification. Equal Housing Lender.

texas dpa teachershomes for texas heroesteacher home buyingeducator dpatsahc teachers

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