Down Payment & Closing Cost Assistance

City of McKinney Program 

The City of McKinney Homebuyer Assistance Program provides down payment and closing cost assistance to low-to-moderate-income first-time homebuyers.

  • Assistance provided up to $10,000 as a 0% interest five-year forgivable loan for down payment and non-recurring closing costs associated with the purchase of the new home.
  • Loan is repayable only if you refinance, pay off the first mortgage, sell or otherwise convey title to the property within the five-year period.


Application and Application Process


You may be eligible if you meet the following qualifications:

  • You are a first-time homebuyer. A first-time homebuyer is an individual or household who has not owned a home in the last three years or is a displaced homemaker.
  • You are able to provide proof of U.S. citizenship or permanent legal resident alien status.
  • You are able to qualify for a mortgage loan with a private lender.
  • The debt-to-income ratio (“back-end ratio”) may not exceed 45%.
  • The housing ratio ("front-end ratio") must be at least 20%.
  • You will reside in the home as your principal residence.
  • The home is located within the city limits of McKinney, Texas.
  • Your income does not exceed 80% of the Area Median Income.
  • You complete a HUD and City of McKinney-approved homebuyer class. Some classes charge a fee. Register or Sign in and select a class.