How Much Money Do You Need to Buy a $300,000 House in Texas?
Have $10,000 or $15,000 saved and wondering if that's enough to buy a house in Texas? You might be closer than you think.
One of the biggest misconceptions I hear from buyers is that they need 20% down to purchase a home.
On a $300,000 house, that's $60,000!
But here's what many people don't realize: some qualified buyers can purchase a home with as little as 3% down. Others may qualify for programs that require no down payment.
I'm Griselda Marin, a real estate agent serving the Dallas-Fort Worth area, and I want to show you what the numbers could actually look like.
So, How Much Do You Really Need?
Let's say you find a home in McKinney, Rockwall, Rowlett, or another DFW neighborhood listed for $300,000.
Here's an example using a home loan that requires 3% down.
| What You're Paying | Estimated Cost |
|---|---|
| Down payment (3%) | $9,000 |
| Closing costs (estimated 3%) | $9,000 |
| Total | $18,000 |
| Seller agrees to cover | -$6,000 |
| Your estimated total | $12,000 |
That's potentially $12,000 instead of $60,000.
Now, that doesn't mean every buyer can purchase a $300,000 home with $12,000. This example assumes you qualify for the loan and negotiate a $6,000 credit from the seller toward eligible closing costs. You may also have inspection costs and other expenses to pay.
But it shows why you shouldn't automatically rule yourself out.
Wait, the Seller Can Help Pay My Closing Costs?
Yes! And this is something I wish more buyers understood.
Closing costs are the expenses involved in finalizing your home purchase. Think lender fees, title services, insurance, and certain taxes paid upfront.
Here's an example.
You love a home listed for $300,000. Instead of only negotiating a lower purchase price, we could ask the seller to contribute $6,000 toward your closing costs.
Why would we do that?
Because lowering the price by $6,000 doesn't necessarily save you $6,000 upfront. But getting $6,000 toward eligible closing costs could make a meaningful difference in the money you need to bring to closing.
Of course, the seller has to agree, and your loan program has rules about how much they can contribute.
As your agent, my job is to help you understand which approach makes the most sense for your situation.
Three Things Texas Buyers Often Don't Know
1. Your earnest money counts toward your purchase.
When a seller accepts your offer, you'll usually deposit earnest money to show you're serious about buying the home.
For example, you might agree to deposit $3,000.
If you complete the purchase, that money is generally applied toward the amount you owe at closing. It isn't an extra $3,000 added to your total.
But it can be at risk if you don't follow the terms of your contract.
2. The seller's property tax bill might not be yours.
This is especially important in Texas.
A home listed at $300,000 in Rockwall could have a different monthly payment than a similarly priced home in McKinney.
Property taxes, special assessments, homeowners insurance, and HOA fees can all affect what you pay each month.
And the current homeowner might have tax exemptions that you don't qualify for.
Before making an offer, we should look at what the home's expenses could be for you, not just what the seller currently pays.
3. Your first expenses may happen before closing day.
You might need money for an inspection, an option fee, and earnest money shortly after your offer is accepted.
That's why I encourage buyers to have some savings available before we start making offers, even if they expect assistance with closing costs.
Can You Buy a House in Texas With $10,000 Saved?
Possibly!
It depends on the loan you qualify for, the home's price, your closing costs, and whether you receive seller assistance or qualify for a down payment assistance program.
Texas has programs specifically designed to help eligible homebuyers.
Here are two legitimate resources worth exploring:
Texas State Affordable Housing Corporation (TSAHC)
Offers qualifying buyers help with down payments and closing costs. Some programs provide assistance of up to 5% of the loan amount.
Texas Department of Housing and Community Affairs
Offers programs such as My First Texas Home and My Choice Texas Home. Some options are available to buyers who have owned a home before.
Assistance isn't always free money. Depending on the program, you may have repayment obligations or different loan costs, so compare your options carefully.
What Would the Monthly Payment Be on a $300,000 House?
This is the question I want buyers asking before they start touring homes.
Your monthly payment isn't just the money you borrowed from the bank.
It may also include property taxes, homeowners insurance, mortgage insurance, and HOA dues.
And the interest rate you qualify for can make a big difference.
Here's my advice: Don't shop based only on the maximum amount a lender says you can borrow. Shop based on the monthly payment you can comfortably afford.
You still want money left over for your life, your savings, and unexpected repairs.
Have Questions About Financing? Here's Who I Work With.
You don't have to figure everything out on your own.
I work with Cynthia Swearengin at Rocket Mortgage, who can help you understand your loan options, estimated monthly payment, and how much money you may need to purchase a home.
Whether you're ready to buy now or simply trying to plan ahead, speaking with a mortgage professional is a good place to start.
Connect with Cynthia Swearengin at Rocket Mortgage
You can also compare loan offers from different lenders before deciding which one works best for you.
Frequently Asked Questions About Buying a House in Texas
Do I need 20% down to buy a house in Texas?
No. Some conventional loans allow as little as 3% down, FHA loans may allow 3.5%, and eligible VA or USDA loans may require no down payment.
How much are closing costs on a $300,000 home in Texas?
A common planning estimate is 2% to 5% of the purchase price. On a $300,000 home, that's approximately $6,000 to $15,000, separate from your down payment.
Can a seller pay my closing costs in Texas?
Yes. You can negotiate for a seller to contribute toward eligible closing costs, subject to the seller's agreement and your loan program's limits.
Can I buy a house in Texas with no down payment?
Some qualified buyers may be eligible for zero-down VA or USDA financing. Other buyers may qualify for assistance that reduces their upfront expenses. Closing costs and other expenses may still apply.
Thinking About Buying Your First Home in DFW?
Whether you're looking in McKinney, Allen, Plano, Frisco, Rockwall, Rowlett, or the surrounding Dallas-Fort Worth area, don't assume buying a home is out of reach because you haven't saved 20%.
I've learned that the best place to start isn't always touring homes. Sometimes it's simply understanding your numbers and figuring out what makes sense for your life.
You don't need to know everything about buying a home before reaching out. That's what I'm here for.
Griselda Marin
Senior Agent | Redfin Corp
214-791-5307
Griselda.marin@redfin.com
The examples provided are for educational purposes only and are not a loan quote or guarantee of financing. Actual costs, assistance eligibility, and mortgage terms depend on individual circumstances, property details, and lender requirements.
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