Minimum credit score of 580 for maximum financing (3.5% down payment required). Borrowers with credit scores between 500 and 579 may qualify but need a 10% down payment .

Minimum down payment of 3.5% of the purchase price for those with credit scores of 580 or higher. Down payment can come from personal savings, a gift from a family member, or a grant.

Proof of steady employment and income over the past two years . Verification through W-2s, tax returns, and recent pay stubs.

Lone Star Financing

Texas FHA Loan Requirements

Q: Debt-to-Income Ratio (DTI)

Typically, a maximum DTI of 43% is allowed. Some lenders may allow a higher DTI with compensating factors like a large cash reserve.

Q: Primary Residence Requirement

The property must be used as your primary residence . FHA loans are not available for investment properties or second homes.

Complete Loan Guidelines & Qualification Requirements for Texas FHA Loans

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Texas FHA loan requirements explained for homebuyers at Lone Star Financing.

⭐ Top-Rated Mortgage Broker for First-Time Homebuyers

Texas FHA Home Loan Guidelines & Qualification Requirements

Welcome to Lone Star Financing—an approved FHA mortgage broker in Texas offering competitive rates, flexible credit requirements, and a streamlined process for fast approvals.

With competitive rates and a focus on customer satisfaction, we make FHA loans accessible and affordable for first time home buyers in Texas.

FHA LOAN QUALIFICATIONS

To qualify for an FHA loan, you’ll need to meet the following requirements.

Stable employment/income
Minimum FICO 600
Must be primary residence
50% or lower debt to income ratio
Minimum 3.5% down payment
Money to cover the upfront mortgage insurance premium (UPMIP)

Fast. Secure. No Obligation.

Texas FHA Loan Requirements

First Time Home Buyers

Stable monthly payment with less money down

Minimum FICO Credit Score

600 Minimum Down Payment

3.5%

Maximum Loan To Value

96.5%*

Maximum Debt To Income

50%*

Except Ons To 55%

Mortgage Insurance

Yes

Years Since Bankcruptcy

2 Years Since Foreclosure

3 Years Since Short Sale

3 Special Qualification Requirements

NONE

FHA Requirements

FHA Loan Requirements and Qualifications

FHA loans are designed to make homeownership more accessible for Texas buyers with flexible credit guidelines, low down payment options, and borrower-friendly qualification requirements.

✓

Credit Score & Down Payment

600+ credit score may qualify for 3.5% down; 500–579 may require 10% down.

✓

Flexible DTI Guidelines

Preferably 50% or lower, though higher ratios may be accepted with strong compensating factors.

✓

Primary Residence Required

The home must be used as a primary residence and meet FHA property standards.

Your Trusted Texas Mortgage Broker for FHA Loans

FHA loans are a great option for helping first-time homebuyers and borrowers with lower credit scores secure affordable, flexible, and hassle-free home financing.

Fast. Secure. No Obligation.

Lone Star Financing | Trusted Texas FHA Lender

Questions about Texas FHA loans? Speak with an FHA expert today.

UNDERSTANDING FHA LOANS

Common Questions, Answered

FHA Loan Requirements in Texas

Credit Score

Minimum credit score of 580 for maximum financing (3.5% down payment required).
Borrowers with credit scores between 500 and 579 may qualify but need a 10% down payment.

Down Payment

Minimum down payment of 3.5% of the purchase price for those with credit scores of 580 or higher.
Down payment can come from personal savings, a gift from a family member, or a grant.

Debt-to-Income Ratio (DTI)

Typically, a maximum DTI of 43% is allowed.
Some lenders may allow a higher DTI with compensating factors like a large cash reserve.

Employment History

Proof of steady employment and income over the past two years.
Verification through W-2s, tax returns, and recent pay stubs.

Primary Residence Requirement

The property must be used as your primary residence.
FHA loans are not available for investment properties or second homes.

Lone Star Financing is a leading mortgage broker in Texas for FHA home loans and FHA streamline refinancing. Call to speak to a licensed loan officer to learn more about FHA loan qualifications and requirements.

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Trusted by Texas FHA Homebuyers

Real feedback from Lone Star Financing clients across Texas.

4.6 out of 5

★★★★★

Based on 54 Google reviews

Sharon Darby

Google

★★★★★

Outstanding experience with Lone Star Financing, thanks entirely to Brett. He did a phenomenal job from start to finish. His knowledge, creativity, and experience made all the difference when challenges arose.

Michael Underwood

Google

★★★★★

As a realtor in Austin, I’ve worked with Lone Star Financing for nearly a decade. Their loan officers are among the best communicators in the business and consistently provide timely updates throughout the process.

Joshua Hayden

Google

★★★★★

Great experience working with Lone Star Financing. The team was knowledgeable, responsive, and made the entire process smooth from start to finish. Highly recommend for anyone looking for a reliable mortgage broker.