You Don't Need 20% Down to Buy in Coastal Bend

By Jordan Huber

Jordan Huber is a homegrown Texan, having served the South Texas Community in roles of coaching, education, and real estate for over 10 years. The Huber Realty Group was created with a central focus on being the Hub for all of your real estate needs.

One of the first questions I hear from buyers, especially first-timers, is whether they really need 20% down to buy a home. It’s one of the most common beliefs out there, and it stops a lot of people from even starting. The truth is, you have far more options than that, and for many buyers, the number is a fraction of what they think.

A real example of how far off that myth can be. I worked with a first-time buyer who was sure he needed to save up 10 or 20% before he could buy. He ended up qualifying for a down payment assistance program, and instead of writing a big check at closing, he walked away having made $1,500 on the purchase of his first home. Stories like that are more common than most people realize, and they usually start with knowing which programs exist.

There isn’t one loan for everyone. Different loans fit different situations, and a good mortgage lender’s whole job is to match you with the one that fits you. A few of the most common:

• Conventional loan: first-time buyers often put around 3% down
• FHA loan: typically runs about 3.5% down
• VA loan: if you’ve served, you can buy with no down payment

Those are the three I see most often with my clients.

FHA loans open another door too. They also make room for down payment assistance, usually offered in tiers of 3%, 4%, or 5%. It works on what’s available, so once you find a home that fits the program, you choose the level that makes sense for your situation. That’s the exact path my client took to buy his first home and come out ahead at closing.

Texas has programs most buyers have never heard of. There are statewide options, but one of the most widely used is the Texas State Affordable Housing Corporation (TSAHC), which offers up to 5% toward your down payment. That’s a real difference-maker for anyone trying to save at the closing table. There are also career-based versions built around specific fields - first responders, teachers, engineers - some offering as low as 0% down if you qualify. If any of that sounds like you, it’s worth reaching out to dig into the details.

New construction has its own advantages. Most of what I’ve covered applies to resale homes, but builders often bring something extra. A lot of them use an in-house lender, which lets them offer sizable incentives, down payment assistance, closing costs covered, and other perks that can save you money on both the down payment and the costs of closing. It’s one more reason new construction is worth a look.

There are a lot of programs out there to help with your down payment and your closing costs, and you don’t have to put 20% down to buy a home. I’m a Realtor, not a lender. So the smart move is always to sit down with a lender who can look at your numbers and tell you which program fits best, so you can move forward knowing exactly where you stand. I’m always glad to connect you with someone who specializes in the loan type that matches your situation.

If you’d like more information on any of these programs, or you just want to talk through your options, reach out anytime. Call or text me at 361-302-2447, email jordan@homesofcorpuschristi.com, or visit homesofcorpuschristi.com.