THDA Programs for Wilson County Home Buyers (2026 Guide)

TL;DR: THDA Wilson County programs include Great Choice (30-year fixed first mortgage), Great Choice Plus (down payment and closing cost assistance up to $15,000 or 5% of purchase price), Homeownership for the Brave (reduced rate for service members and first responders), and the Hardest Hit Fund (additional assistance in qualifying ZIP codes). Income limits for Wilson County run $83,800 to $139,720 depending on household size; the purchase price ceiling sits at $400,000.

The Tennessee Housing Development Agency is the most under-used resource available to Wilson County first-time and qualifying repeat buyers. THDA does not lend directly — it operates through a network of approved Tennessee lenders who originate THDA-backed loans. For buyers within the income limits, THDA offers a 30-year fixed-rate first mortgage with rates that are sometimes lower than market and, more importantly, the ability to stack up to $15,000 in down payment and closing cost assistance on top of the loan as a forgivable second mortgage.

This guide walks through every current THDA program for Wilson County buyers as of May 22, 2026, who qualifies, what the income and purchase price limits look like, the credit score requirements, the homebuyer education requirement, and the lenders who actively originate THDA loans in Wilson County. Sources include the Tennessee Housing Development Agency program documentation at thda.org, the THDA FAQ, and lender summaries, all retrieved May 22, 2026.

Table of Contents

• What THDA Is and How It Works
• Great Choice Home Loan: The Core Program
• Great Choice Plus: Down Payment Assistance Layer
• Homeownership for the Brave: Service Members and First Responders
• The Hardest Hit Fund and Other Targeted Assistance
• 2026 Wilson County Income and Purchase Price Limits
• Credit Score and Debt-to-Income Requirements
• Homebuyer Education Requirement
• Approved THDA Lenders in Wilson County
• How to Apply: The Step-by-Step
• A Local's Take
• Frequently Asked Questions

What THDA Is and How It Works

The Tennessee Housing Development Agency (THDA) is the state-level housing finance authority created in 1973 to administer affordable housing programs across Tennessee. THDA does not originate loans directly. Instead, the agency provides:

• Below-market interest rates on FHA, VA, and USDA-RD first mortgages
• Down payment and closing cost assistance as forgivable or repayable second mortgages
• Homebuyer education resources

The funding flows through approved lenders. A Wilson County buyer applies through a THDA-participating lender (a list is published at thda.org), the lender underwrites the loan to standard FHA/VA/USDA-RD guidelines plus THDA's overlay requirements, THDA purchases the loan from the lender at closing, and the borrower makes payments to a servicer that handles THDA loans.

The lender's role is critical. Not every Tennessee mortgage company originates THDA loans, and lenders vary in how aggressively they pursue down payment assistance combinations. Wilson County buyers should specifically ask their lender whether they actively originate THDA — not just whether they can.

Great Choice Home Loan: The Core Program

The Great Choice Home Loan is THDA's flagship first-mortgage program. Key features as of May 22, 2026 (THDA, retrieved May 22, 2026):

• 30-year fixed-rate mortgage. No adjustable rate. No balloon. Rate locked for the life of the loan.
• Below-market rate. THDA sets the rate weekly. As of May 22, 2026, Great Choice rates have typically been 0.25–0.75 percentage points below market FHA rates, depending on the week and the conventional/FHA/VA/USDA program.
• Underwritten as FHA, VA, USDA-RD, or conventional. Most Great Choice loans in Wilson County are FHA-underwritten because FHA's flexible credit guidelines pair well with THDA's first-time-buyer demographics.
• Open to first-time and qualifying repeat buyers. Despite the name, repeat buyers can qualify if they meet income limits and have not owned a primary residence in the last three years.
• Maximum purchase price $400,000 for Wilson County in 2026.

Great Choice is the foundation. Most THDA participants in Wilson County combine Great Choice with Great Choice Plus, since stacking the two delivers the down payment assistance that makes the program meaningful.

Great Choice Plus: Down Payment Assistance Layer

Great Choice Plus is the down payment and closing cost assistance bolted on top of a Great Choice first mortgage. The structure (THDA, retrieved May 22, 2026):

• Up to $15,000 or 5% of purchase price, whichever is lower.
• Structured as a forgivable second mortgage. Loaned at 0% interest, no monthly payment.
• Forgiven entirely if the borrower remains in the home as a primary residence for 10 years. No payment ever made if the homeowner stays.
• Becomes a repayment obligation if the home is sold, refinanced, or no longer occupied as a primary residence within 10 years. The remaining unforgiven amount becomes due at sale or refinance.

For a Wilson County buyer purchasing a $400,000 home with an FHA-underwritten Great Choice loan, the math:

• Sale price: $400,000
• FHA minimum down: 3.5% = $14,000
• Great Choice Plus contribution: $15,000 (or 5% of $400,000 = $20,000, capped at $15,000)
• Net buyer cash to close (after down payment + closing costs of $9,000): potentially zero or very small

That is the headline appeal. THDA pairs a low rate, low credit score floor (640), and effectively zero out-of-pocket buyer contribution. The trade-off is the income cap and purchase price ceiling — see below.

Homeownership for the Brave: Service Members and First Responders

Homeownership for the Brave is THDA's reduced-rate program for current and former service members and full-time first responders. The qualifying categories (THDA, retrieved May 22, 2026):

• Active-duty United States military service members
• Honorably-discharged veterans
• National Guard and military reservists
• Surviving spouses of service members killed in the line of duty
• Full-time law enforcement officers
• Full-time firefighters
• Full-time emergency medical technicians and paramedics

The program reduces the Great Choice interest rate by 0.50 percentage points. It can also be combined with Great Choice Plus for down payment assistance.

For Wilson County specifically, the program has a meaningful eligible population: veterans drawn to the Nashville metro for lower cost of living, active and former Fort Campbell personnel, Tennessee National Guard members, and the substantial Lebanon, Mt. Juliet, and Wilson County first-responder workforce. If you qualify, this is the lowest-cost path to a Wilson County purchase available through any government program.

The Hardest Hit Fund and Other Targeted Assistance

THDA periodically operates additional targeted assistance programs funded by federal grants or specific budgetary allocations. As of May 22, 2026:

• Hardest Hit Fund Down Payment Assistance. Available in certain qualifying ZIP codes statewide. Check THDA's program lookup for current Wilson County ZIP eligibility. When active, this layer provides additional down payment assistance on top of Great Choice Plus.
• Targeted Areas. Certain census tracts qualify as "targeted areas" with relaxed first-time-buyer requirements. Buyers purchasing in a targeted area can be repeat buyers (no three-year prior ownership rule), and income limits are higher. The targeted-area maps update periodically — verify with THDA before relying on the designation.

Some Wilson County ZIP codes and census tracts have historically qualified for one or both of these add-ons. Check current eligibility at thda.org and discuss with a THDA-experienced lender.

2026 Wilson County Income and Purchase Price Limits

THDA caps both buyer income and purchase price. For Wilson County in 2026 (THDA program limits, retrieved May 22, 2026):

Income limits (combined household income, all earning adults in the home):

• 1–2 person household: approximately $83,800
• 3 or more person household: approximately $139,720 in targeted areas / lower outside targeted areas

These figures are subject to annual update. Income includes wages, self-employment income, alimony, child support, social security, pension, and most regular income. Investment income and one-time payouts are usually excluded.

Purchase price limit: $400,000 for Wilson County in 2026.

This $400,000 cap is the program's most restrictive constraint for current Wilson County buyers. With the Wilson County median sale price at roughly $475,000 in early 2026, most Mt. Juliet and Lebanon new-construction homes fall above the cap. THDA buyers should focus their home search on:

• Older Lebanon and Watertown homes below $400,000
• Townhomes and smaller condos in Mt. Juliet
• Unincorporated Wilson County and the smaller communities (Gladeville, Norene, Statesville)
• Resale homes in the older Mt. Juliet subdivisions

For more on Wilson County price tiers and where THDA buyers can shop, see Wilson County Neighborhoods Where You Can Still Buy Under $400K.

Credit Score and Debt-to-Income Requirements

THDA's underwriting overlay on top of the underlying FHA/VA/USDA-RD guidelines (THDA, retrieved May 22, 2026):

• Minimum credit score: 640 for all borrowers on the application.
• Debt-to-income ratio: typically capped at 45%, though some FHA combinations allow up to 50% with compensating factors.
• Manufactured homes: allowed on a permanent foundation with land, subject to specific underwriting.
• Condos: must be on the FHA-approved condominium list for FHA-underwritten loans.

Credit score is the most common qualification gap. Buyers in the 620–639 range who otherwise qualify can usually improve their score in three to six months by reducing credit card balances and addressing any reporting errors. THDA-experienced lenders often have credit-improvement guidance they share at pre-qualification.

Homebuyer Education Requirement

Every THDA borrower must complete a THDA-approved homebuyer education course. The course covers:

• Mortgage basics
• Budgeting and money management
• Home maintenance fundamentals
• Default prevention

The course can be completed online (typically 4–6 hours) or in person through approved Wilson County and metro Nashville providers. Cost is generally $50–$99 and is sometimes credited back at closing.

The education requirement is not a barrier — it is a useful exercise. Completing the course before pre-approval signals to the lender you are serious and helps avoid common first-time-buyer mistakes.

Approved THDA Lenders in Wilson County

A full current list of THDA-approved lenders is published at thda.org. Several types of lenders actively originate THDA loans in Wilson County:

• Local Tennessee banks and credit unions — Wilson Bank & Trust and several other local institutions
• Regional mortgage banks — Mortgage Investors Group, US Mortgage, and Tennessee-active mortgage banking lenders
• National lenders with Tennessee operations — Movement Mortgage, US Bank, and others, with varying THDA expertise by branch

Buyers should specifically ask a prospective lender:

1. "How many THDA loans did your branch originate last year?" 2. "Do you regularly combine Great Choice with Great Choice Plus down payment assistance?" 3. "Do you have experience with the Homeownership for the Brave overlay?"

A lender that has originated 25+ THDA loans in the prior year will run the program more smoothly than one originating two or three.

How to Apply: The Step-by-Step

The standard THDA application sequence for a Wilson County buyer:

1. Run pre-qualification math. Confirm household income falls under the cap for your household size. Confirm credit score is 640 or above. Identify whether you want FHA, VA, or USDA-RD underwriting. 2. Pick a THDA-approved lender. Get pre-approved on a Great Choice + Great Choice Plus combination. Get the pre-approval letter in hand. 3. Complete homebuyer education. Online or in-person. Get the certificate. 4. Shop for a home under $400,000. Work with a buyer's agent who has closed THDA transactions before. See How to Choose a Buyer's Agent in Wilson County. 5. Submit offer with pre-approval letter. Allow extra closing timeline — THDA loans typically close in 35–45 days vs. 30 for conventional. Listing agents experienced with THDA know this. 6. Provide full underwriting documentation. Tax returns, W-2s, bank statements, paystubs. 7. Close. The closing attorney executes both the Great Choice first mortgage and the Great Choice Plus second mortgage. You sign both. 8. Stay in the home 10 years to fully forgive Great Choice Plus. Sale or refinance before then triggers partial repayment.

A Local's Take

THDA is the program more Wilson County buyers should be using and aren't. The $400,000 purchase price cap is real and tight, but it still covers a substantial slice of the Lebanon and Watertown market and a meaningful share of Mt. Juliet older resale. The income cap is also real but covers a wider range than buyers assume — a Wilson County household with combined income up to roughly $140,000 (three or more people) can qualify in many tracts.

The two patterns I see repeatedly: first, buyers who could qualify for THDA never ask their lender about it, because most national lenders don't lead with THDA in the conversation. They will run conventional and FHA and never mention THDA exists. If you might qualify, you need to specifically ask. Second, buyers who do ask but use a lender who originates one THDA loan a year — the process is slow, the file is messy, and the buyer occasionally loses the deal to a competing offer because the file takes 50 days to close.

Pick a Wilson County or Tennessee-active lender who runs THDA fluently. The program is genuinely useful when handled by someone who knows the workflow.

For broader Tennessee down payment assistance context, see Tennessee Down Payment Assistance Programs and Tennessee Down Payment Myths Wilson County Buyers Should Stop Believing.

Frequently Asked Questions

What is THDA? The Tennessee Housing Development Agency, Tennessee's state housing finance authority. THDA provides below-market mortgage rates and down payment assistance through approved lenders.

Do I have to be a first-time buyer to use THDA? Not always. Repeat buyers who have not owned a primary residence in the last three years can qualify for many THDA programs. Targeted-area buyers can sometimes qualify without the three-year rule.

What is the maximum income for THDA in Wilson County in 2026? Approximately $83,800 for 1–2 person households, up to roughly $139,720 for larger households in targeted areas. Verify current at thda.org.

What is the maximum purchase price for THDA in Wilson County? $400,000 for Great Choice loans in Wilson County in 2026.

How much down payment assistance can I get? Up to $15,000 or 5% of the purchase price, whichever is lower, through Great Choice Plus.

Is Great Choice Plus a grant or a loan? It is a forgivable second mortgage. No payment is required, and it is fully forgiven if the borrower remains in the home for 10 years.

What credit score do I need for THDA? A minimum 640 credit score is required for all borrowers on the loan.

Is homebuyer education required? Yes. Every THDA borrower must complete a THDA-approved homebuyer education course.

Can I combine THDA with FHA? Yes — most THDA loans are FHA-underwritten. VA and USDA-RD combinations are also available.

What is Homeownership for the Brave? THDA's reduced-rate program for service members, veterans, full-time law enforcement, firefighters, and EMTs. Reduces the Great Choice rate by 0.50 percentage points.

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