Harvey Homebuyer Assistance Program (HbAP 2.0)
Homeownership is a dream for many Houstonians, but out of reach for many low-income residents. The City offers up to $125,000 to income-qualified applicants, providing down payment assistance, closing costs, principal reduction and interest rate reduction to help eligible first-time homebuyers purchase a home. HbAP 2.0 is specifically for residents who lived within the City of Houston’s jurisdiction on August 25, 2017, during Hurricane Harvey. Our goal is to make homeownership more affordable for those impacted by the hurricane, supporting their journey toward stability and recovery.
Key Documents and Resources
Featured Events
Virtual Office Hours
Join us for Virtual Community Hours every Wednesday from 1–4 PM. These weekly sessions offer a chance to learn more about all of our HCD programs and resources, including the Harvey Homebuyer Assistance Program (HbAP 2.0), and get answers to any questions you may have.
Numbers to call:
Homebuyers Assistance Program 2.0
Stepping into Homeownership Resource Fair
Join the City of Houston's Housing and Community Development Department and various local partners for the FREE “Stepping into Homeownership” Resource Fair.
Available to City of Houston residents and non-residents, explore the newly launched HCD Homebuyers Assistance Program 2.0. This program is available on a first-come, first-served basis, and you can be among the first 25 applicants to secure your HBAP 2.0 number. Bring your Certificate of Completion of the 8-hour HUD-approved housing course (must be completed in the last 365 days) and your letter of pre-approval on the day of the event.
Saturday, July 12, 2025
10:00 AM - 1:00 PM
3611 Ennis St, Houston, TX 77004
What You Should Know | Eligibility Requirements:
To qualify for the Harvey Homebuyer Assistance Program (HbAP 2.0), you must:
- Have lived in Houston on August 25, 2017, with a home address inside city limits. Use our mapping tool to check your eligibility
- Be a U.S. citizen or legal permanent resident (includes co-applicant and non-purchasing spouse)
- Be a first-time homebuyer or have lost your home due to Hurricane Harvey
- Complete an 8-hour HUD-approved homebuyer education course
- Qualify for a fixed-rate mortgage from a recognized lender
- Have a household income at or below 120% of the Area Median Income (Español) .
- Not be a registered sex offender
The assistance provided is a no-interest, forgivable loan secured by a lien on the property. The loan is fully forgiven if the homeowner resides in the home for the required compliance period, which is based on a tiered structure governed by the amount awarded. However, if the homeowner sells or moves out before the compliance period is complete, they will be required to repay a portion of the original loan amount to the City. Additionally, homeowners must maintain homeowner’s insurance and flood insurance (if applicable) on the property throughout the compliance period.
Preliminary Steps
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Step 1
Find a Realtor.
See a list of realtors who have worked with us before.
Realtors and other professionals interested in learning more about the Homebuyer Assistance Program, or assisting residents in taking advantage of this program can sign up for our email list using the link below. Signing up will notify us of your interest and ensure you stay informed about upcoming events and announcements.
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Step 2
Complete an 8-hour homebuyer education course at a location approved by the U.S. Department of Housing and Urban Development (HUD).
See a list of accepted locations -
Step 3
Get a pre-approval letter from a lender for a fixed-rate mortgage.
Completed the Preliminary Steps. What’s Next?
Call 832-393-0550 to get your HbAP Applicant ID, this number is required for all submitted and uploaded documents. To speed up the process, be sure to provide an email address when calling.
Application Step Details and Documents
Phase 1: Intake
The applicant should submit all documents on the Applicant Document Checklist .
Below are links to all of our internal forms:
Phase 2:
Property/Underwriting
Once you receive a Conditional Reservation Letter, it is time to put a property under contract. Your lender will need to know the amount of subsidy you will be receiving now that we know the cost of your home.
To provide this amount, your lender will need to submit the following documents from the Property & Lenders Checklist including:
- Tri-Merged Credit Report (Applicant, Co-Applicant, and Non-Purchasing Souse)
- Loan Disclosure Form
- Transmittal Summary
- Sales Contract
- Loan Estimate
Before the file can be moved to an Environmental Review and for an Inspection, the lender must submit the remaining documentation:
- Intent to Proceed
- Property Data Sheet
- Notice to Sellers
- Sellers Occupancy Certification Form
- TREC Inspection
- Lead-Based Paint Acknowledgement
Please note TREC inspections will only be accepted if they were completed after construction.
After reviewing the results from the Environmental Review and the Inspection and there are no issues with either, a Commitment Letter will be issued.
Phase 3: Closing
Once you receive a Commitment Letter , you will be informed of a possible closing date and will sign the Terms and Conditions of the assistance being provided by the City.
Instructions and loan closing documents are sent to the title company and lender, who submit pre-closing documents, including:
- Wiring Instructions for funds
- Preliminary Closing Disclosure (should include funds as City of Houston DPA & show no cash back to borrower)
The title and lender will then submit post-closing documents within 5 business days from the date of closing, including:
- Original Executed City Deferred Payment Loan Note
- Final Certified Closing Disclosure
- See full post-closing checklist
How to Submit Documents
Camera pictures of documents are not accepted, please scan and upload.
In Person
Drop Off at our location
Housing & Community Development Department2100 Travis Street, 9th Floor
Houston, TX, 77002 View Map
FAQs for HbAP 2.0 Applicants
Q: How long does the process take? - Answer
A. The Harvey Homebuyer Assistance Program takes about six weeks, provided there are no external delays. Please note that the six weeks is measured from the time the applicant submits a complete application. We cannot begin work on an incomplete application.
Q. Am I limited to a certain property type? - Answer
You can apply for assistance with any property that will serve as your principal residence, including a single-family property, condominium unit or townhouse, cooperative unit, or manufactured home on a permanent foundation.
Q: Are there any fees associated with the program? - Answer
A: The buyer must contribute a minimum of $350 towards the transaction, which could be the inspection, down payment, appraisal, etc., but no fees are paid to the City of Houston. If someone tells you that there are participation fees, please report them for fraud.
Q: Are credit reports required for all household adults? - Answer
A: No. All household income must be reported, but only the applicant, co-applicant and non-purchasing spouse’s credit is reviewed during underwriting.
Q: Is there a debt-to-income requirement? - Answer
A. Yes, the program requires a 33% front-end ratio and a 45% back-end ratio. The front-end ratio is calculated by adding the new monthly payment plus taxes and insurance and dividing the sum by the borrower’s monthly gross income. The back-end ratio is calculated by adding together the mortgage and all of a borrower’s monthly debt payments and dividing the sum by the borrower’s monthly gross income. For example, if a borrower has a monthly gross income of $5,000 and monthly debt payments of $2,000, their back-end ratio is 40% ($2000/$5000).
Q: Is there a credit score requirement? - Answer
A: No, the Harvey Homebuyer Assistance Program does not consider credit score.
Q: Is there a maximum home price? - Answer
A: The program has a maximum sales price of a qualifying home that is based on the current market home sales prices. The program area will review this data every six months.
Q: What can the assistance provided be used for? - Answer
A: The assistance CAN be used for:
- Down-payment
- Pre-paid items (homeowner’s insurance, mortgage interest, property taxes, etc.)
- Subsidize mortgage interest rate
- Reduce principal amount of first mortgage payment
- Reasonable closing costs
The assistance CANNOT be used for:
- Realtor’s commissions
Q: What is the lien period? - Answer
A: When the City assists a homebuyer in buying a home, we invest in their long term future. Based on the amount of assistance awarded, the compliance period may vary. The loan is forgiven at the end of the structured compliance period. At the end of that term, please submit this Release of Lien Request to HCDDLoanServicing @houstontx.gov.
The structure of the compliance period is as follows:
- 5 years for assistance up to $50,000
- 8 years for assistance between $50,000.01 and $75,000
- 10 years for assistance between $75,000.01 and $125,000
Q: What if I must sell my home or move out before my affordability period is over? - Answer
A: In these cases, the City will collect a portion of the investment proportional to the remaining residency period. To begin this process, please submit this Payoff Statement Request form to HCDDLoanServicing@houstontx.gov.
Q: What if I need to refinance my home? - Answer
A: If your mortgage information changes, you will need to share the new information with our department. Please submit this Subordination Agreement Request to HCDDLoanServicing@houstontx.gov.
FAQs for Real Estate and Lending Professionals
Q: Does this program follow FHA guidelines? - Answer
A: No. The Single Family Eligibility sets and follows its own internal guidelines. Our underwriting includes calculating debt-to-income ratio, ensuring that there are no outstanding collections for government services or utilities, and verifying that there are no defaulted student loans.
Q: Is there a cost for the City’s inspection? What does this inspection include? - Answer
A: The inspection is a free service conducted by our department. A sample of the inspection can be downloaded (alternative version . Please note that the City’s inspection does not replace an independent inspection. We strongly recommend that the buyer obtain their own inspection.
A TREC inspection is required and must be conducted after construction is completed on newly constructed properties.
Q: What is the environmental review, and why is it needed? - Answer
A: The environmental review primarily looks at where the home is located relative to the floodway and floodplains. Homes located in flood zones are required to have flood insurance to complete the purchase.
Q: Is there mandatory training that lenders and realtors must take to participate in the program? - Answer
A: Yes, mandatory training is required. In addition to the following requirements:
- Completed Files Requirement: At least five (5) completed files using the City’s programs per loan officer.
- Annual Training: The class must be attended annually to maintain active status on the list.
- Full Workshop Attendance: Participants must attend the entire workshop to receive an acknowledgment of completion (branded digital certificate).
- Post-Class Quiz: A short quiz at the end of the class with a passing score required to receive completion acknowledgment.
- Annual Feedback: Submission of at least one post-training survey or client feedback form per year to maintain active status.
Q: Who is the loan servicer? - Answer
A: The Harvey Homebuyer Assistance Program is serviced internally with our Loan Servicing Division. The loan is not amortized; however, there is a 6% fee applied to the defaulted loan balance.
Q: Can the program funds be used to pay realtor commissions? - Answer
A: No, the funds are strictly for down payment, closing costs, pre-paid items, and principal reduction. Should the buyer choose to pay a realtor commission, they will have to do so from their personal funds.
Photo Gallery
Questions about the program?
- Email Us: singlefamilyeligibility@houstontx.gov
- Contact the Call Center for inquiries or to check on your application status: 832-393-0550
- Contact our Complaint/Appeal team for concerns, complaints, or appeals 832-394-6388
