Down Payment Assistance
If you qualify for a Great Choice Home Loan, you can also apply for down payment assistance in the form of a Great Choice Plus second loan to help with your down payment and/or closing costs. There are two options for down payment assistance.
Deferred Option ( No Payments)
THDA will provide $6,000 in the form of a forgivable second mortgage loan on your home. The loan has a 0% interest rate and the payments are deferred until the end of the 30 year term, at that time the loan is forgiven. The loan will be due in full at the time the home is refinanced or sold.
Amortizing Option (Payment)
THDA will provide 6% of the sales price in the form of a second mortgage loan on your home, that is paid in monthly payments over 30 years at an interest rate that is the same as the first mortgage rate. The loan may also be used to pay closing costs.
To qualify for down payment assistance, you must complete a pre-purchase Homebuyer Education course from a THDA-approved instructor. You can take this course online or in a classroom style (virtual/in-person) with other homebuyers like yourself.
To learn more or to enroll in one of these courses, click here.
If Great Choice Plus sounds like a great choice to you, check out your options:
You must continue to comply with the terms and conditions of your primary Great Choice Home Loan and secondary Great Choice Plus loan or penalties may apply, including immediate repayment.