FHA Loan Plano TX 2026 — Low Down Payment in Collin County

I'm Bond Peter Njoku (NMLS #2670329), and Plano buyers ask me the same question every week: "Is FHA worth it in Collin County, or should I just do conventional?" The honest answer depends on your credit score and how much you're putting down — and it's worth running both programs before you decide. What I can tell you right now is that FHA is very much alive in Plano in 2026, the loan limits cover most of the city's inventory, and when you stack FHA with TSAHC down payment assistance, buyers in Plano's $350K–$524K range can close with dramatically less out-of-pocket than they expect. Here's the full picture.

FHA Loan Limits in Plano TX (Collin County) 2026

Plano is in Collin County, which is part of the Dallas-Fort Worth-Arlington MSA. For 2026, the FHA loan limit for Collin County is $524,225 for a single-family home. That covers a large share of Plano's inventory — including much of the starter and mid-range market.

If the home is priced above $524,225, FHA won't cover it — that's when we look at conventional or jumbo options. But for buyers targeting Plano's $300K–$520K range, FHA is fully in play.

FHA + Down Payment Assistance — What Plano Buyers Can Stack

This is where Plano gets interesting. FHA's 3.5% down is already lower than conventional, but when you add TSAHC or TDHCA on top, many buyers close with almost nothing out-of-pocket:

• TSAHC Home Sweet Texas: 3–5% of the loan amount as a grant — no repayment ever. On a $400,000 FHA loan, that's $12,000–$20,000 toward your down payment and closing costs. Income limits apply (Collin County ~$119,700 for 1–4 people in 2026). No first-time buyer requirement.
• TDHCA My First Texas Home: Up to 5% deferred second lien, forgiven at year 3 if you stay in the home. Must be a first-time buyer (or not have owned in 3 years). Income limits similar to TSAHC.
• Stacking example — $380,000 Plano home: FHA requires $13,300 down (3.5%). Add TSAHC at 4% = $15,200 grant. Result: your down payment is fully covered and you have leftover toward closing costs.

Credit Score Tiers for FHA in Plano 2026

Not all credit scores are equal when it comes to FHA pricing. Here's how I think about it for Plano buyers:

The key difference above 680 is FHA's mortgage insurance. FHA MIP stays for the life of the loan (if you put less than 10% down), while conventional PMI drops off automatically at 20% equity. I'll run both scenarios for your specific profile so you can see the real monthly and total cost difference.

FHA vs. Conventional in Plano — Side-by-Side Example

For illustration purposes. Actual rates and MIP vary. Contact me for a personalized quote.

What Plano Buyers Should Know About FHA Property Requirements

FHA has minimum property standards that conventional loans don't have. The home must be in safe, sound, and sanitary condition — no exposed wiring, no leaking roofs, no structural issues. In Plano's resale market, most homes pass FHA appraisal without issues. New construction homes from major builders are almost always FHA-eligible.

Where issues sometimes arise: older Plano homes (1970s–1980s) that need cosmetic or deferred maintenance work. If the FHA appraiser calls out a required repair, the seller must fix it before closing — or you negotiate a seller credit to cover it. I walk every Plano buyer through property condition expectations before they make an offer so there are no surprises.

Frequently Asked Questions — FHA Loans Plano TX 2026