# How Does the Mi Casa Grant Work in El Paso? The Down Payment Program Explained > How does the Mi Casa grant work in El Paso? What the El Paso Housing Finance Corporation program covers, the city-limits rule, who qualifies, and how it stacks with city, GECU, and TSAHC assistance. **Author:** Marina Ramirez **Published:** 2026-08-28 **Category:** Buyer's Guide --- How does the Mi Casa grant work in El Paso? In short, the Mi Casa program from the El Paso Housing Finance Corporation pairs a 30-year fixed-rate mortgage from a participating lender with down payment assistance that has historically run up to around 5% of the purchase price, and the home generally has to sit inside El Paso city limits. You do not apply to the Housing Finance Corporation directly. You apply through a lender who participates in the program, and the assistance is applied at the closing table toward your down payment and closing costs. That is the short version. The longer version matters, because the details, the city-limits rule, how the assistance is structured, and how Mi Casa combines with the other El Paso programs, are where buyers either save thousands of dollars or accidentally disqualify themselves. This guide walks through all of it. One thing before we start: assistance programs change their terms, funding levels, and income limits regularly, sometimes more than once a year. Every figure in this article is a range or an approximation based on how these programs have operated, not a quote. Confirm current terms with the program or a participating lender before you count on any specific number. --- ## What Is the Mi Casa Program? Mi Casa is a homebuyer assistance program offered through the El Paso Housing Finance Corporation, a local public entity created to expand affordable homeownership in El Paso. Housing finance corporations exist across Texas. They raise funds and use them to make homeownership cheaper for moderate-income buyers, usually by combining a competitive first mortgage with down payment help. The El Paso version has typically worked like this: - **A 30-year fixed-rate mortgage.** You get your primary loan through a lender that participates in the program. The loan itself is a normal mortgage, often FHA, VA, USDA, or conventional. - **Down payment and closing cost assistance layered on top.** The program has historically offered assistance up to around 5% of the purchase price, though the exact percentage and structure depend on the option you and your lender select and what the program is offering at the time. - **Assistance delivered at closing.** The funds are applied directly to your down payment and closing costs. You do not receive a check to spend. On a home near El Paso's median price, which sits roughly in the $250,000 to $273,000 range by most 2026 estimates from Redfin, Trulia, and similar trackers, assistance of up to 5% could mean somewhere in the neighborhood of $12,000 to $13,500. That is real money, and for many buyers it is the difference between buying this year and saving for three more. ### Grant or Second Lien? Read the Fine Print Programs like Mi Casa deliver assistance in one of two ways, and the same program can offer both depending on the option chosen: - **A true grant**, which you never repay. - **A forgivable or repayable second lien**, which sits behind your main mortgage and is forgiven over time, or repaid if you sell or refinance early. Which structure applies, and whether there is a higher interest rate on the first mortgage in exchange for the assistance, changes with the program's current offerings. This is exactly the kind of detail to confirm with a participating lender before you commit, because it affects what happens if you sell or refinance within the first several years. --- ## The City-Limits Requirement Here is the rule that surprises the most buyers: Mi Casa assistance has generally been limited to homes located **inside the El Paso city limits**. That matters in our market more than it would in most cities, because a large share of affordable inventory in the El Paso area sits outside the city line: - **Socorro and San Elizario** are their own municipalities in the Lower Valley. - **Horizon City** is its own town on the far east side. - **Unincorporated El Paso County**, including many newer far-east and Montana-corridor developments, is outside city limits even when the mailing address says El Paso. A house with an El Paso mailing address is not automatically inside El Paso city limits. Address and jurisdiction are two different things, and the program cares about jurisdiction. Before you fall in love with a home, your agent can verify whether the property sits inside the city line, and your lender will verify it again during underwriting. If the home you want is in Socorro or Horizon City, that does not end your assistance options. It just means Mi Casa is likely off the table for that address, and you would lean on state-level programs instead. I cover the affordability case for those areas in my guide to [Socorro and Lower Valley affordable homes](/en/blog/socorro-lower-valley-affordable-homes-2026), and the state programs that work outside city limits are covered below. --- ## Who Typically Qualifies Eligibility rules shift with each program update, but homebuyer assistance programs in this family generally look at the same handful of factors: - **Income limits.** Programs set maximum household income, often tied to area median income for El Paso County. Limits change annually. Do not assume you make too much; plenty of two-income households in El Paso still qualify for one program or another. - **Purchase price limits.** There is usually a cap on the price of the home, which adjusts over time. Most starter and mid-range homes in El Paso have historically fallen under these caps. - **Credit score.** Assistance programs typically want a minimum score somewhere in the low 600s. For comparison, the Texas State Affordable Housing Corporation programs have used a 620 minimum. If your score needs work, start with my guide to [credit scores and home buying in El Paso](/en/blog/credit-score-home-buying-el-paso-2026) several months before you apply. - **Primary residence.** The home must be the one you live in. No rentals, no second homes. - **Homebuyer education.** Most programs require a homebuyer education course, usually available online for free or a small fee. - **First-time buyer status, sometimes.** Some program options are limited to first-time buyers, defined federally as anyone who has not owned a home in the past three years. Other options are open to repeat buyers. Ask the lender which options are available to you. Every one of these thresholds is a moving target. Confirm current limits with the program or a participating lender rather than relying on any published number, including the ones in this article. --- ## How Mi Casa Stacks With El Paso's Other Programs The reason I push buyers to learn this landscape is that El Paso has an unusually deep bench of assistance programs, and the right combination can dramatically shrink your cash to close. Here are the major local and state players and how they fit together. For the full statewide picture, including TSAHC, the Texas Department of Housing and Community Affairs, and Federal Home Loan Bank grants, see my complete guide to [down payment assistance programs in El Paso](/en/blog/down-payment-assistance-el-paso-2026). ### City of El Paso First-Time Homebuyer Program The City of El Paso runs its own first-time homebuyer assistance, funded through federal grant dollars, and it is a separate program from Mi Casa with separate rules. In recent funding cycles it has offered assistance reported at up to $45,000 for homes in a designated priority area, with smaller amounts, in the neighborhood of up to $5,000 in down payment help, available elsewhere in the city. Funding opens and closes with the city's budget cycles, income limits are stricter than the state programs, and processing takes longer, so this one rewards buyers who plan ahead. Check with the city's community development office for current availability before building your budget around it. ### GECU Homebuyer Assistance GECU, El Paso's largest credit union, has offered its own assistance program providing principal reduction reported in the range of $1,000 to $35,000 depending on need and eligibility, applied to reduce the amount you owe on the home. Because GECU is a local lender, this program pairs naturally with their mortgage products. Availability and amounts depend on current funding, so treat those figures as historical ranges and confirm directly with GECU. ### TSAHC: The Statewide Backstop The Texas State Affordable Housing Corporation offers down payment assistance of roughly 3% to 5% of the loan amount statewide, with a 620 minimum credit score, through its Home Sweet Texas and Homes for Texas Heroes programs. TSAHC does not carry a city-limits restriction, which makes it the go-to option for homes in Socorro, Horizon City, and unincorporated county areas where Mi Casa does not reach. Teachers, police officers, firefighters, EMS personnel, corrections officers, and veterans get the Heroes version, which matters in a town where Fort Bliss and the school districts employ tens of thousands of people. ### Can You Actually Combine Them? Sometimes, and this is where a knowledgeable lender earns their fee. A few general truths: - You generally use **one first-mortgage assistance program at a time**. Mi Casa and TSAHC both attach to your primary loan, so you pick the one with the better combination of rate and assistance for your situation. - **Layering is often possible** between a mortgage-attached program and separate grants, such as a city grant or an employer or credit union program, subject to each program's rules about combining funds. - **Seller concessions stack on top of everything.** In a balanced market like El Paso's in 2026, negotiated seller contributions toward closing costs are common and do not count against most assistance programs. - **VA buyers have a special angle.** A VA loan already requires no down payment, so assistance funds can go entirely toward closing costs and prepaid items. If you are comparing loan types, my breakdown of [FHA, VA, and conventional loans in El Paso](/en/fha-va-loans) covers which one pairs best with assistance. The practical takeaway: do not pick a program first. Pick a lender who participates in several programs, let them price out your options side by side, and choose the combination with the lowest total cost, not just the biggest headline grant. --- ## How to Apply, Step by Step 1. **Check the property's jurisdiction early.** If you are targeting Mi Casa, confirm the home is inside El Paso city limits before you write an offer. 2. **Get your credit in range.** Aim for at least the low 600s, and ideally 640 or better, to open up more program options and better pricing. 3. **Complete homebuyer education.** Do this before house hunting. It is required by nearly every program and takes a few hours online. 4. **Find a participating lender.** This is the single most important step. Not every El Paso lender participates in Mi Casa, the city program, or TSAHC, and no lender can offer you a program they are not approved for. Ask directly: "Which down payment assistance programs are you approved to originate?" 5. **Get pre-approved with the assistance included.** Your pre-approval should reflect the program, so sellers see a complete, financeable offer. 6. **Shop inside the rules.** Your agent should filter homes by jurisdiction and price cap so you never fall for a house the program cannot fund. 7. **Close.** Assistance funds are coordinated by your lender and applied at the closing table. Programs can add days to a closing timeline, so build in cushion. If this is your first purchase, the program is only one piece of the puzzle. My [first-time homebuyer guide for El Paso](/en/blog/first-time-homebuyer-guide-el-paso-2026) walks the entire path from credit to keys, and my [first-time buyers page](/en/first-time-buyers) explains how I work with buyers at no cost to them. --- ## The Honest Caveats I would rather you go in clear-eyed than surprised: - **Terms change.** The 5% figure, the income limits, the structure of the assistance, and even whether the program is currently funded all move. Verify everything with the program or a participating lender at the moment you apply. - **Assistance is not free money in every case.** Second-lien structures can require repayment if you sell or refinance early, and mortgage rates on assistance programs sometimes run slightly higher than the open market. Compare the total cost over the years you expect to own. - **The city-limits rule quietly removes a lot of inventory.** If your search includes Horizon City, Socorro, or county developments, plan around state programs from the start. Not sure which side of the line a neighborhood falls on? My [El Paso neighborhoods overview](/en/neighborhoods) is a good starting map. - **Funding runs out.** Local programs in particular can exhaust their funding mid-cycle. If you qualify now, moving now beats waiting for a perfect market. --- ## Frequently Asked Questions ### Is the Mi Casa grant free money? Sometimes, and sometimes it is structured as a forgivable second lien instead of a true grant. The structure depends on the option offered when you apply. Ask your lender whether the assistance must be repaid if you sell or refinance within the first several years, and get the answer in writing. ### Does the home have to be inside El Paso city limits? Historically, yes, Mi Casa has been limited to homes inside El Paso city limits. Socorro, San Elizario, Horizon City, and unincorporated county areas are separate jurisdictions, even when the mailing address says El Paso. For homes outside the city line, statewide programs like TSAHC are usually the better fit. ### Do I have to be a first-time buyer to use Mi Casa? Not necessarily. Some program options are limited to first-time buyers, meaning no home ownership in the past three years, while others are open to repeat buyers. Current rules depend on the program's active offerings, so confirm with a participating lender. ### Can I combine Mi Casa with the City of El Paso program or GECU assistance? Possibly, depending on each program's current combination rules. Mortgage-attached assistance generally cannot be doubled up, but separate grants and principal-reduction programs can sometimes layer on top. A lender who participates in multiple programs can price the combinations for you. ### How much can I actually get? The program has historically offered up to around 5% of the purchase price. On a $250,000 home that would be up to about $12,500, before adding any stackable grants or seller concessions. Treat that as a historical range, not a promise, and confirm the current percentage with a participating lender. ### Where do I apply for the Mi Casa grant? Through a participating mortgage lender, not through the El Paso Housing Finance Corporation directly. Your first two calls should be to a lender who participates in the program and to an agent who knows which homes fall inside the eligibility rules. I am happy to be the second call and to point you toward the first. --- ## The Bottom Line The Mi Casa program is one of the best local tools El Paso buyers have, up to roughly 5% of the purchase price toward your down payment and closing costs, as long as the home sits inside city limits and you go through a participating lender. Combined with the city's first-time buyer assistance, GECU's principal reduction program, and statewide options like TSAHC, El Paso buyers have more paths to the closing table than almost any market this affordable. The catch is that none of it is automatic. Programs open and close, terms shift, and the buyers who win are the ones whose lender and agent know the current rules. If you want to find out which programs you qualify for right now, reach out and I will connect you with lenders who work these programs every week. --- ## Contact Marina Ramirez, REALTOR® — Clear View Realty (El Paso, TX) - Phone: (915) 240-8340 - Email: info@marina-ramirez.com - Website: https://marina-ramirez.com/en Human-readable version of this page: https://marina-ramirez.com/en/blog/how-does-mi-casa-grant-work-el-paso