Dallas DHAP Program 2026 Explained

I'm Bond Peter Njoku, a licensed Mortgage Loan Officer (NMLS #2670329), and out of every down payment assistance program I work with across DFW, the City of Dallas's DHAP program is the one I get the most confused questions about — because the numbers sound almost too good to be true. Up to $60,000 toward your down payment and closing costs is a real program, but it comes with specific rules about where the home sits, how long you need to stay, and what happens if you don't. Here's exactly how I explain it to my Dallas clients.

What Dallas DHAP Actually Is

DHAP stands for Dallas Homebuyer Assistance Program, run by the City of Dallas Office of Community Care and funded through federal HOME and CDBG dollars. It provides up to $60,000 in assistance toward a down payment and closing costs on a home purchased within Dallas city limits. Unlike a straight grant, DHAP is structured as a forgivable second lien — the city places a lien on your property, and that lien is forgiven in increments over a set period, typically five years, as long as you keep the home as your primary residence.

DHAP at a Glance

What Happens If You Sell or Refinance Early

This is the part of DHAP that trips up buyers the most. If you sell the home or do a cash-out refinance before the full forgiveness period ends, a prorated portion of the assistance becomes repayable to the city — it's not automatically wiped out just because your circumstances changed. I walk through this scenario with every client considering DHAP so you understand the real, long-term commitment behind the assistance, not just the upfront dollar figure.

How I Pair DHAP With FHA Financing

DHAP works best in a file structured around FHA financing, since FHA's 3.5% minimum down payment on a typical Dallas home is usually well under the maximum DHAP allocation, leaving room to cover closing costs, prepaid escrows, or even points to buy down your interest rate. On a $280,000 Dallas home, FHA's down payment requirement is roughly $9,800 — meaning even a partial DHAP award well below the $60,000 cap can fully fund your purchase with cash to spare.

Qualifying Requirements

Is DHAP Right for You?

DHAP is one of the strongest city-run assistance programs in Texas, but it's only available for homes purchased within Dallas proper — not Garland, Mesquite, or other surrounding cities, even though they're in the same county. If you're buying elsewhere in Dallas County, I use TSAHC and TDHCA statewide programs instead. Explore my Dallas location page for market context, my Dallas DPA combo page for the full program menu, or my FHA loans in Dallas page to see how the pairing works.