Tennessee Housing Development Agency · Great Choice
THDA, explained by people who close these loans.
Tennessee’s state housing agency will help qualified buyers with a down payment — up to $15,000, or $25,000 on a new build — through a program called Great Choice Plus. This page is the whole thing: who qualifies, the county limits, the three assistance options, what each really costs, and the six steps to get it done.
Part 1 · The first mortgage
Great Choice Home Loan: the six things that define it.
Term
30-year fixed
Payments spread across 30 years; the rate never changes.
Minimum credit score
640
Everyone on the application needs at least 640. Below that, a THDA-approved counselor can help you build toward it.
Backing
FHA, USDA-RD or VA
Most Great Choice loans are FHA (3.5% down) or USDA/VA (as little as $0 down). A conventional Freddie Mac HFA Advantage® version also exists.
Who it’s for
First-time buyers + more
“First-time” means you haven’t owned a home in the last three years. Repeat buyers qualify in targeted areas, and qualified military never need to be first-timers.
Income & price limits
Set by county
Household income and purchase price both have caps that vary by county — see the Middle Tennessee table below.
Education
Required for DPA
A THDA-approved homebuyer education class is required to receive down payment assistance. It’s a few hours and it’s useful.
Part 2 · Great Choice Plus
Three ways the state helps with your down payment.
Great Choice Plus is a second mortgage that closes with your Great Choice first. It can pay your down payment, your closing costs, or both. Pick the structure that fits how long you’ll stay.
Deferred (no monthly payment)
Up to $6,000 or up to $10,000
- Rate
- 0%
- Term
- 10 years, forgivable
A forgivable second mortgage. Make no monthly payment on it. Stay in the home 10 years and it’s forgiven. Sell or refinance before that and the balance is due in full.
Best for: Buyers who plan to stay put and want the lowest monthly payment.
Amortizing (monthly payment)
Up to 5% of the sales price, max $15,000
- Rate
- Same as your first mortgage
- Term
- 30 years
A second mortgage you pay down monthly alongside your first. Larger assistance in exchange for a small added payment — and nothing is due in a lump sum when you sell.
Best for: Buyers who need the most help up front and may not stay a full 10 years.
New construction (monthly payment)
Up to $25,000
- Rate
- 0%
- Term
- 15 years
A 0%-interest second mortgage for newly built or proposed construction, paid down over 15 years. Built for Middle Tennessee’s new-build market.
Best for: Buyers purchasing a new build in Spring Hill, Nolensville, Thompson’s Station, Columbia, Murfreesboro and similar growth areas.
Assistance amounts, rates and terms are set by THDA and were current on thda.org as of August 1, 2026. Assistance is a loan and must be repaid according to its terms; sell or refinance early on the deferred option and the balance is due in full. THDA’s down payment assistance page →
Part 3 · Do I qualify?
Middle Tennessee income & purchase-price limits.
Both your household income and the home’s price must be under your county’s cap. The counties where The Williams Group closes most THDA loans are below; every Tennessee county is on THDA’s official sheet. Figures as of August 1, 2026 — they change, so confirm with Jeramy before you rely on them.
* Some census tracts targeted — first-time requirement waived there. Targeted areas list →
| County | Max price | Income (1–2 people) | Income (3+) |
|---|---|---|---|
| Williamson | $500,000 | $139,320 | $162,540 |
| Davidson* | $500,000 | $139,320 | $162,540 |
| Rutherford* | $500,000 | $139,320 | $162,540 |
| Wilson | $500,000 | $139,320 | $162,540 |
| Sumner | $500,000 | $139,320 | $162,540 |
| Cheatham | $500,000 | $139,320 | $162,540 |
| Dickson | $500,000 | $139,320 | $162,540 |
| Robertson* | $500,000 | $139,320 | $162,540 |
| Maury* | $500,000 | $124,320 | $145,040 |
| Marshall | $500,000 | $102,834 | $118,260 |
| Montgomery* | $500,000 | $102,574 | $117,961 |
| Hickman | $500,000 | $94,900 | $110,460 |
Part 4 · Homeownership for Heroes
Serve the community? THDA sharpens the deal.
Jeramy is a Military Mortgage Specialist, and this is the program he leads with for service members, first responders and teachers. Same Great Choice loan, better terms, and the first-time-buyer rule goes away for qualified military and veterans.
Who qualifies
- Active-duty military, National Guard and Veterans
- Firefighters
- EMTs and paramedics
- K–12 classroom teachers (full-time, Tennessee public or private school)
- State and local law enforcement officers
What you get
- A reduced interest rate versus the standard Great Choice rate
- The first-time-buyer requirement is waived statewide for qualified military and veterans
- Up to 100% financing with VA or USDA-RD, or 96.5% with FHA
- Stackable with Great Choice Plus down payment assistance
Available on FHA, USDA and VA Great Choice loans only.
Part 5 · How it actually goes
Six steps from “maybe” to keys with THDA.
- 1
Text Jeramy
Tell him your county, your rough household income and whether you’ve owned a home in the last three years. That’s enough to know if THDA is on the table.
- 2
Pull credit & confirm 640+
One soft pre-approval pull. If you’re under 640, you get a plan — not a no.
- 3
Pick the DPA option
Deferred, amortizing, or new-construction. Jeramy runs all three side by side so you can see the real monthly difference.
- 4
Take the homebuyer class
A THDA-approved homebuyer education course. Online options exist. Required for the assistance — and worth it.
- 5
Shop with a real pre-approval
Your offer goes in with a Fairway pre-approval that already accounts for the THDA structure, so listing agents take it seriously.
- 6
Close with both loans at once
The Great Choice first and the Great Choice Plus second close together. One signing, one set of keys.
Helpful THDA links: Great Choice overview · Homebuyer education · Homebuyer handbook (PDF) · THDA approved lenders
Part 6 · Questions
THDA questions Middle Tennessee buyers actually ask.
Is THDA down payment assistance free money?
No — and anyone who tells you it is should be your warning sign. Great Choice Plus assistance is a second mortgage. The deferred version is forgiven after 10 years if you stay in the home; the amortizing versions are paid down monthly. Jeramy shows you exactly what your version costs before you commit to anything.
Do I have to be a first-time buyer for THDA?
For most of Middle Tennessee, yes — and “first-time” means you haven’t owned a home in the last three years. But repeat buyers qualify when buying in targeted areas (43 counties plus targeted census tracts in 15 more), and the requirement is waived statewide for qualified military and veterans.
What are the THDA income limits for Williamson County?
As of the August 1, 2026 sheet: $139,320 for a household of one or two, and $162,540 for three or more, with a $500,000 purchase price limit. Davidson, Rutherford, Wilson, Sumner, Cheatham, Dickson and Robertson counties share the same figures. Limits change — confirm the current numbers with Jeramy.
What credit score do I need for a THDA loan?
A minimum of 640 for everyone on the application. If you’re close, don’t wait — Jeramy can map out the fastest path to 640, and THDA-approved counselors can help too.
Can I use THDA on a new-construction home?
Yes, and THDA actually has a specific option for it: up to $25,000 in assistance at 0% interest over 15 years for newly built or proposed construction. In a market like Spring Hill or Nolensville, that’s a big deal.
Is Fairway a THDA-approved lender?
Fairway Independent Mortgage Corporation appears on THDA’s active lender list, and The Williams Group originates Great Choice loans from the Franklin office. Ask Jeramy directly to confirm availability for your scenario.
Can I combine THDA with a VA or USDA loan?
Yes. Great Choice loans are insured by FHA, USDA-RD or VA. The Homeownership for Heroes version — for military, veterans, first responders and teachers — pairs a reduced rate with VA or USDA’s 100% financing and can still add Great Choice Plus on top.
What happens to the assistance if I sell early?
With the deferred option, the balance is due in full if you sell or refinance before the 10-year mark. With the amortizing options, you simply pay off whatever is left, just like any second mortgage. Either way, it comes out of your sale proceeds — it isn’t a surprise bill.
THDA Great Choice, Great Choice Plus and Homeownership for Heroes are programs of the Tennessee Housing Development Agency, a state agency. Program terms, income limits, purchase price limits, assistance amounts and interest rates are set by THDA and change without notice; the figures on this site were current as of the date shown and must be confirmed with Jeramy before relying on them. Down payment assistance is available for qualified buyers only — income, purchase price, credit score and homebuyer-education requirements apply. Assistance is a loan, not a grant, and must be repaid under the terms of the second mortgage. Fairway Independent Mortgage Corporation is not affiliated with, or acting on behalf of or at the direction of, FHA, VA, USDA, THDA, or any government agency. Program information sourced from thda.org.
Inside the limits? Let’s find out in one text.
Send Jeramy your county, household size and rough income. He’ll tell you whether THDA is on the table and what the assistance would look like on a real payment.