# Down Payment Assistance in Katy: What First-Time Buyers Should Know

By Sarah Nezhad (@sarahnezhad) · Published 2026-10-26

Canonical: https://voce.com/@sarahnezhad/katy-down-payment-assistance-first-time-buyers-lgzpcy

---

Down Payment Assistance in Katy: What First-Time Buyers Should Know

One of the first things I hear from buyers in Katy is: "I need to save 20% before I can buy." Most of the time, that is not true — and for many buyers, down payment help exists right here in Texas.

Here are the three main programs I point buyers to:

TDHCA (Texas Department of Housing and Community Affairs) — up to 5% of the loan amount as a forgivable or deferred second lien.

TSAHC (Texas State Affordable Housing Corporation) — up to 5% as a grant or a forgivable lien.

SETH (Southeast Texas Housing Finance Corporation) — 4% to 6% as a grant.

A few things worth knowing:

Credit scores are typically 620 or higher, and SETH usually looks for 640. "First-time buyer" does not always mean you have never owned a home — for many of these programs, it means you have not owned in the last three years.

This help goes toward your down payment. It does not replace getting pre-approved — your lender still has to qualify you, and each program has its own rules. That is why the best first step is simple: get pre-approved, and ask your lender specifically about TDHCA, TSAHC, and SETH.

If you are thinking about buying in Katy, Fulshear, or anywhere around Houston, do not let the down payment stop you before you even ask the question. A short conversation can tell you more than months of saving and guessing.

Questions? Call me at (832) 274-1329 or visit [sarahnezhad.com](http://sarahnezhad.com) for a free 30-minute consultation.