First-Time Home Buyer Guide for Carrollton and North DFW
Updated October 2026 by Sherien Joyner, Carrollton REALTOR®, GRI
Buying your first home in North DFW is very doable — but the order you do things in matters. This guide walks through the steps I use with first-time buyers in Carrollton and nearby cities, the Texas programs worth asking about, and where entry-level prices are right now.
At a glance
- Budget for taxes, insurance and HOA dues, not just the price.
- Ask lenders about TDHCA and TSAHC down payment help.
- Texas requires a written buyer agreement before tours.
On this page
Step 1: Know your real budget (not just the price)
Your monthly payment in Texas includes principal, interest, property taxes, homeowners insurance, and any HOA dues and mortgage insurance. Texas has no state income tax, but property taxes are a big line item and vary by city, school district, and county. Read understanding ad valorem property taxes before you set a price ceiling.
- Homestead exemption: once the home is your primary residence, apply for the residence homestead exemption. School districts must exempt $140,000 of a qualifying homestead’s value from school taxes, with more for homeowners 65+ or disabled (Texas Comptroller, property tax exemptions, accessed October 2026).
- Credit: your score affects your rate and which programs you qualify for. See understanding your credit rating.
- Rent vs. buy: if you are on the fence, read renting vs. buying a house.
Download My Buyer's Guide
I have put together a comprehensive home buyer’s guide just for you.
Step 2: Get pre-approved with a lender who knows Texas programs
A pre-approval tells you your real price range and makes your offer credible. Read how to get pre-approved, then compare loan types:
- FHA: a minimum down payment of 3.5% with a credit score of 580 or higher (HUD, FHA borrower eligibility). Compare it with conventional in FHA vs. conventional loans.
- Conventional low-down-payment loans: programs such as Fannie Mae HomeReady allow down payments as low as 3% for eligible buyers (Fannie Mae HomeReady).
- VA loans: for eligible veterans and service members (VA home loans).
More detail on each: financing for home buyers.
Have a question about your own situation? Call or text (214) 244-2421, or send me a note. I will walk you through it.
Step 3: Ask about Texas down payment assistance
Two state agencies run statewide programs through approved lenders:
- TDHCA – My First Texas Home: down payment and closing cost assistance of up to 5% of the mortgage loan, as a 30-year deferred repayable or 3-year deferred forgivable second lien, with 30-year mortgage rates for first-time buyers (TDHCA Lender Guide, effective August 26, 2026), with some exceptions for veterans and targeted areas. TDHCA also offers My Choice Texas Home (you do not have to be a first-time buyer) and a Mortgage Credit Certificate that can reduce your federal income tax. An approved homebuyer education course is required for assistance (TDHCA Texas Homebuyer Program, accessed October 2026).
- TSAHC – Home Sweet Texas and Homes for Texas Heroes: down payment assistance of up to 5% of the loan amount, as a grant or a deferred second lien (TSAHC Home Sweet Texas), for low- and moderate-income buyers, and for eligible teachers, first responders, veterans, and others (TSAHC homebuyer programs).
Income limits, purchase price limits, and credit requirements vary by county and household size, and availability changes daily, so I always confirm current terms with a participating lender before you count on them.
Step 4: Pick the right area for a first home
Here is where entry-level prices sat for the three months ending September 2026 (Redfin median sale prices):
| Area | Median sale price | Median days on market |
|---|---|---|
| Carrollton 75006 | about $377,000 | 37 |
| Farmers Branch 75234 | about $390,000 | 45 |
| Carrollton 75007 | about $399,000 | 44 |
| Carrollton citywide | about $412,000 | 41 |
| Farmers Branch citywide | about $410,000 | 45 |
Medians include condos, townhomes, and houses. Townhomes and condos can be a lower-cost first step — just read the HOA budget and rules. See my Carrollton neighborhoods by zip guide, or the city pages for Farmers Branch, Addison, Lewisville, and Irving.
Step 5: Sign a buyer agreement, then tour
Since January 1, 2026, Texas law requires a written agreement before a license holder shows you a home — either a short showing-only agreement or a buyer representation agreement that spells out services, term, and compensation (TREC, What changes in 2026 about buyer/tenant representation). Ask questions before you sign; a good agent will walk you through every line. If you are wondering about titles, see Realtor vs. real estate agent.
Step 6: Make an offer and use your option period
Texas purchases typically use the TREC residential contract. Two terms first-time buyers should understand:
- Earnest money: a deposit held by the title company that shows you are serious.
- Option fee and option period: a separate, usually smaller fee that buys you a set number of days to inspect and, if needed, terminate. This is when you schedule the inspection and negotiate repairs.
Your contract terms, deadlines, and amounts are negotiated in each deal — I explain each one before you sign.
Step 7: Inspect, appraise, and close
- Inspection: in North DFW, pay attention to the foundation, roof, HVAC, and drainage. Read foundation issues in North DFW homes.
- Appraisal: your lender orders it to confirm the value.
- Title and closing: a Texas title company handles the closing and issues the title policy. Title insurance premiums in Texas are set by the state (Texas Department of Insurance).
- After closing: file your homestead exemption with your county appraisal district.
Start your first home search
Send me your target payment, timeline, and where you work. I will connect you with lenders who know the Texas programs and build a short list of entry-level neighborhoods.
Call or text (214) 244-2421.
First-time buyer FAQ
How much do I need for a down payment in Texas?
It depends on the loan. FHA requires 3.5% down with a 580+ credit score, some conventional programs allow 3%, and eligible veterans may qualify for VA loans. Texas assistance programs can help with the down payment and closing costs.
Are there first-time home buyer programs in Texas?
Yes. TDHCA’s My First Texas Home and TSAHC’s Home Sweet Texas and Homes for Texas Heroes offer down payment assistance through approved lenders. Terms and income limits change, so confirm with a participating lender.
Where can a first-time buyer afford a home near Carrollton?
For the three months ending September 2026, Redfin’s median sale prices were about $377,000 in Carrollton 75006, $390,000 in Farmers Branch 75234, and $399,000 in Carrollton 75007. Townhomes and condos can cost less.
Do I need to sign an agreement with a buyer's agent?
Yes. Since January 1, 2026, Texas requires a written agreement before an agent shows you a home. It can be a short showing-only agreement or a full buyer representation agreement.
What is the Texas homestead exemption?
It reduces the taxable value of your primary residence. School districts must exempt $140,000 of a qualifying homestead’s value from school taxes. Apply with your county appraisal district after you move in.