WE’RE HERE TO HELP YOU

Get a 1% Down Payment Teacher Loan

A 1% Down Teacher loan is a mortgage program where the borrower is required to contribute only 1% of the purchase price as a down payment. We provide financing for 99 percent of the home's cost.

What is a 1% Down Payment Teacher Loan?

The 1% down payment teacher home loan refers to a mortgage loan program specifically designed for teachers that allows teachers to make a down payment of only 1% of the home's purchase price. This type of loan program aims to make homeownership more accessible to teachers by reducing the upfront cost typically associated with purchasing a home.


With a 1% down payment, teachers can potentially qualify for a mortgage with a lower initial investment compared to traditional loan programs that usually require a higher down payment percentage, such as 20%. By requiring only a 1% down payment, this loan program enables teachers to conserve their savings or allocate their funds towards other financial priorities. However, there are specific criteria to meet:


  • Income limits: The borrower's income cannot exceed 80% of the area's median income. For instance, in the Austin area, where the median income is $110,000, the limit would be $88,000 (80% of $110,000).

  • Non-restriction to first-time homebuyers: This program is not exclusively for first-time homebuyers. Whether you're a first-time buyer or have owned a home before, you can still qualify.

  • Maximum loan amount: The program sets a cap of $350,000 as the maximum loan amount for eligible borrowers.

  • Primary residence requirement: The loan is applicable only for primary residences, meaning it cannot be used for investment properties or vacation homes.

  • Limited to single-family homes: This program is specifically designed for single-family homes, excluding multi-unit properties or condominiums.


Get a Quote

Put your mortgage to work for you

Cash out

Leverage your investment and take advantage of the equity your home has built for years.

Great For

Renovating your home

Paying down high-interest debt

Use my equity

Lower payments

Increase your financial security by refinancing to lower your monthly mortgage payment.

Great For

Increasing cash flow

Saving for retirement

Lower my payment

Reduce loan term

Why wait when you can refinance into a shorter term and pay your mortgage off.

Great For

Reducing interest
Paying off mortgages faster

Reduce my term

FAQs

Got a question? We’re here to help.

  • What is a 1% down payment teacher home loan?

     1% down payment teacher home loan is a mortgage program designed specifically for teachers, allowing them to make a down payment of only 1% of the home's purchase price.

  • Who is eligible for a 1% down payment teacher home loan?

    Eligibility criteria can vary depending on the specific loan program and lender. Generally, teachers, educators, and school employees may qualify, but it's important to check with the lender for their specific requirements.

  • How does a 1% down payment teacher home loan benefit teachers?

    This loan program benefits teachers by reducing the upfront cost of purchasing a home, making homeownership more attainable and affordable.

  • Are there any income requirements for a 1% down payment teacher home loan?

    Income requirements can vary among lenders, so it's essential to inquire about their specific guidelines. Typically, lenders assess the borrower's income and financial stability as part of the loan approval process.

  • Can this loan program be used for both primary residences and investment properties?

    The loan program's purpose is typically to assist teachers in purchasing primary residences. It may not be applicable to investment properties or second homes, but again, this can vary depending on the lender and program.

  • Is mortgage insurance required with a 1% down payment teacher home loan?

    Mortgage insurance requirements can vary based on the loan program and lender. In some cases, mortgage insurance may be required for loans with a low down payment, but it's best to consult with the lender for specific details.

  • How can I find lenders offering 1% down payment teacher home loans?

    Researching and contacting local mortgage lenders, credit unions, and specialized programs for educators can help identify lenders offering this type of loan. Additionally, working with a mortgage broker or consulting online resources can provide further options.

  • Are there any special incentives or benefits attached to 1% down payment teacher home loans?

    Some loan programs may offer additional incentives or benefits for teachers, such as down payment assistance, reduced interest rates, or flexible qualification criteria. It's important to explore different loan programs to determine what benefits are available.



  • What are the potential drawbacks or considerations of a 1% down payment teacher home loan?

    It's crucial to consider the overall cost of the loan, including interest rates, mortgage insurance, and closing costs. Additionally, borrowers should assess their ability to afford the monthly mortgage payments and evaluate the long-term financial implications.

  • Are these loan programs available nationwide?

    The availability of 1% down payment teacher home loans can vary depending on the lender and region. Some programs may be offered nationwide, while others might be limited to specific states or areas. Researching local options or consulting with mortgage professionals can provide more information on availability.