Everything You Need to Know About the Texas Homeowners Assistance Fund

The Texas Department of Housing and Community Affairs announced its Texas Homeowners Assistance Fund will open for applications on February 21. TXHAF gives financial aid to qualified Texas homeowners who’ve fallen behind on their mortgages.

Here we’ll outline how it’s funded, what it pays for, who’s eligible, and how to apply.   

What is the Texas Homeowners Assistance Fund?

The TXHAF is funded by the Homeowner Assistance Fund under the American Rescue Plan Act of 2021. President Biden passed this act to deliver direct relief to Americans while containing COVID-19 and rescuing the economy.

As part of it, the TXHAF provides eligible homeowners with grants for past-due mortgage payments, property taxes, insurance, and HOA fees.

Who is eligible?

At this time, homeowners must meet certain criteria to qualify for help under the TXHAF. This includes:

1. Falling behind on one or more of the following:

• Mortgage loans
• Property taxes
• Property insurance
• HOA/condo association fees

2. Having a household income at or below 100 percent of the area median income or 100 percent of the median income for the U.S., whichever is greater.

3. Owning and occupying a home in Texas as a primary residence

4. Having experienced a qualified financial hardship after January 21, 2020, such as lost income or increased expenses due to the pandemic.

How to Apply

Beginning February 21, eligible Texas Homeowners can apply for up to $40,000 in mortgage assistance and $25,000 in property charge assistance. Homeowners submit applications through the online portal of the TXHAF website. To apply, you’ll need:

• ID card
• Mortgage statement
• Proof of occupancy, such as a utility bill
• Income documents, such as paystubs
• Signed program documents

For more assistance, there is a call center at 1-833-651-3874. Once an application passes, payments go directly to the mortgage servicer, property tax authority, insurance company, or HOA/condo association. 

This comes as a great relief to families who need a little help during these hard times. Thankfully, aid is on the way for those who need it most.