Texas Cares

Assistance program and charity provide more opportunities for homeownership.

One of the barriers to homeownership often is the difficulty of obtaining funds for a downpayment. Texas Cares, a new downpayment-assistance program made possible by a nonexclusive relationship between the Texas Association of REALTORS® and GiftFunder, gives homebuyers help with a downpayment–as much as 6% of the purchase price–that the homebuyer does not have to repay.

Sellers who agree to participate in the program make a contribution to International Housing Solutions in an amount equal to what International Housing Solutions will be giving to the prospective buyer in downpayment assistance. This payment is called the replenishment amount. Incentives for sellers to participate in this program are the possibilities of increasing the pool of prospective buyers, decreasing the amount of time their home is on the market, and lessening the amount of negotiations between buyer and seller.

Two factors the TAR executive board considered in selecting GiftFunder were the program’s ease of use and its low costs to sellers. The program also helps fund a new charity. Sellers who participate in Texas Cares pay the replenishment amount plus $395. Of that amount, $145 goes directly to the Texas Association of REALTORS® Housing Opportunity Foundation. This foundation is a new nonprofit charitable organization that will assist and promote affordable homeownership in Texas.

TAR has drafted a new addendum (TAR 1918) designed for your clients who wish to use the Texas Cares program. The form is currently available on TexasRealtors.com and will soon be incorporated into forms-vendors’ libraries. For more information on how Texas Cares works, visit TexasCaresProgram.org.

Buyers & sellers, visit www.texasrealestate.com.
REALTORS®, visit www.texasrealtors.com.