What are Tsahc targeted areas?

“Targeted Area” means that part of the Eligible Loan Area that has been or may be designated from time to time as a qualified census tract or an area of chronic economic distress in accordance with section 143(i)(3) of the IRS Code or as a qualified census tract in accordance with section 143(i)(2) of the IRS Code.

Table of Contents

What is a targeted area?

The federal government has designated certain areas as “targeted areas” where more home ownership is desired. If you have clients interested in buying a home in these areas, there are typically more assistance programs available. They don’t need to be a first time homebuyer.

What credit score is needed for down payment assistance in Texas?

620
Credit Score Requirements — The minimum credit score to apply for Texas’ down payment assistance program is 620.

What is a targeted area in mortgage?

Targeted areas are federally designated areas of slow economic growth where you do not have to meet the first-time homebuyer requirement to qualify for the programs.

What is a HUD QCT?

HUD designates DDAs and QCTs each year. DDAs are areas with high development costs relative to incomes. QCTs are census tracts with a poverty rate of at least 25% or in which 50% of the households have incomes below 60% of AMI. The new DDAs and QCTs take effect on January 1, 2022.

What is the Texas Hero program?

TxDOT, in partnership with the Capital Area Metropolitan Planning Organization, operates a free Highway Emergency Response Operator (HERO) patrol service program to clear minor crashes from area roadways and assist motorists in need.

Does Texas have a first-time home buyer program?

For first-time homebuyers, the Texas Department of Housing and Community Affairs (TDHCA) offers the My First Texas Home program, a 30-year mortgage with a low interest rate and up to 5 percent in interest-free down payment assistance. You can obtain an FHA, VA or USDA loan through this program.

What is a QCT?

Qualified Census Tracts (QCTs) are areas where 50% or more of the households have incomes below 60% of the area median income, or where the poverty rate is 25% or higher. Section 42 of the Internal Revenue Code defines them and further restricts the total population of designated QCTs to 20% of area population.

What is an LMI tract?

Low-to-Moderate Income (LMI) means any census tract (or equivalent geographic area defined by the Bureau of the Census) in which at least 50% of households have an income less than 60 percent of the Area Median Gross Income (AMGI), or which has a poverty rate of at least 25%.

What is a small DDA?

DDA designations in metro areas apply to ZIP Code Tabulation Areas (known as a Small DDA or SDDA). Note SDDAs and ZIP codes do not always have the same boundaries. Non-metro area DDAs are based on counties.

What is a hero home loan?

The Home Energy Renovation Opportunity (HERO) program is an energy-efficient financing program for homeowners in approved communities. It covers energy-efficient home improvements like solar, heating & cooling, windows & doors, roofing, and landscaping.

Where do I find the TDHCA targeted areas?

Step 1: Locate the TDHCA census for the county tracts in the Targeted Areas here. If you look at the bottom of this document you will note additional areas where the entire county is in a targetd area so if you are looking and don’t find your census tract your whole county may be a targeted area so read all the way to the bottom.

What is a “targeted area”?

How do I determine if a property is in a targeted area?

Please use this tool to determine if a property is in a Targeted Area before making a reservation in the Lender Portal. In the Mapping System, enter the full address of the property to be purchased. Combine the property’s 2 digit state code, 3 digit county code, then its 6 digit tract code – this will result in the property’s 11 digit FIPS number.