City of Frisco Targeted Down Payment Assistance Program

The City of Frisco Targeted Down Payment Assistance Program helps people who work for the City of Frisco or the Frisco Independent School District buy a home in the city.

Down payment assistance from the program can be used to make a larger down payment and cover closing costs. You can also combine this funding with other assistance programs, like the Texas Mortgage Credit Certificate, to maximize your home-buying opportunities.

Eligibility requirements

To qualify for the City of Frisco Targeted Down Payment Assistance Program, you must meet the following eligibility requirements.

1. At least one person in your household must work full-time for the City of Frisco or Frisco Independent School District. 
2. At the time of application, the eligible employee/household member must have worked for the city or school district for at least six months. 
3. You must be a first-time homebuyer. (There are some exceptions to this requirement.) 
4. The property must be within the city limits of Frisco.
5. Your total household income cannot be more than $131,989. 
6. The home’s total purchase cannot be more than $450,800.

*For all DPA programs, income and purchase price limits are regularly reviewed and updated. These amounts were correct at publication but may change with time.

Type of loan

The City of Frisco Targeted Down Payment Assistance Program provides help in the form of a deferred forgivable loan. The loan doesn’t accrue interest, and you don’t have to make any payments for five years.

If you’ve met all of the forgiveness criteria after five years, your loan is fully forgiven and you don’t have to pay any of the money back. 

To qualify for loan forgiveness, you must consistently make your mortgage payments on time and remain in the home without selling, refinancing, or renting it out during the five-year forgiveness period. Twenty percent (20%) of the loan amount will be forgiven for each full year you reside in the home. 

Amount of down payment assistance

The maximum amount of assistance offered by the Frisco Targeted Down Payment Assistance Program is $10,000. 

The money can be used for your down payment and closing costs. This gives you the flexibility to use the funds in a way that best meets your specific financial needs. 

For example, you can use some of the money to make a larger down payment and reduce your interest rate, and the remainder of the money can be used to significantly reduce your upfront costs at the time of closing.

Minimum borrower contribution

The minimum borrower contribution is 1% of the purchase price, so you will need some savings to use this down payment assistance program. 

Purchase price limits

The purchase price limit for the Frisco Targeted Down Payment Assistance Program is $450,800.

Income limits

The household income limit to qualify for this program is $131,989, which is generous compared to many down payment assistance programs in Texas. 

The program’s income limits are regularly assessed and updated. To see if you qualify based on your income, use our free down payment assistance finder.

How to qualify for City of Frisco Targeted Down Payment Assistance Program

To qualify for this down payment assistance program, you have to meet the eligibility requirements we’ve covered in this article. Use our free down payment assistance finder to check your eligibility.

How to apply for City of Frisco Targeted Down Payment Assistance Program

To apply for the Frisco Targeted Down Payment Assistance Program, you must work with an approved and participating mortgage lender. The city of Frisco doesn’t accept applications directly. You can easily find a participating lender by using our free down payment assistance finder.