Central Texas
McLennan County
Anchored by Waco, McLennan County blends affordability with steady Central Texas growth. Eligible buyers may qualify for TSAHC or TDHCA down payment assistance and the federal MCC tax credit, with income limits higher than many first-time buyers expect.
Quick Facts
- County seat Waco
- Region Central Texas
- Population 265,000
- TSAHC income limit (non-targeted) ~$123,500
- FHA loan limit $541,287 Source: hud.gov
- FIPS code 48309
What Buyers Should Know
McLennan County’s 2026 HUD area median income (AMI) for a 4-person household is approximately $83,400, with the TSAHC Heroes 115% AMI ceiling reaching ~$95,910. Most McLennan County buyers qualify for at least one TSAHC or TDHCA program; the county is not designated a HUD targeted area, so the standard income limits and first-time-buyer rules apply.
FHA loan limits in McLennan mirror the Waco baseline. Conforming limits run $806,500 for 1-unit. VA loans are uncapped above conforming limits for full-entitlement veterans.
Property tax in McLennan County averages around 1.88% effective (verify current year at the county appraisal district). The Texas residence homestead exemption shaves $100,000 off school-district appraised value and caps appraised value growth at 10% per year — file with the appraisal district on or before April 30 of the year following purchase.
Waco + Baylor University
McLennan County is anchored by Waco (county seat, ~140,000) and Baylor University (~21,000 students). Hewitt, Robinson, Woodway, Bellmead, and Lacy Lakeview anchor the perimeter. Waco ISD, Midway ISD, La Vega ISD, Connally ISD, Lorena ISD, China Spring ISD, and Robinson ISD serve the county. The McLane Stadium + Magnolia Market at the Silos draw significant tourism + commuter buyer mix. Most McLennan County buyers route through state-level TSAHC and TDHCA programs.
Income Limits
McLennan County Down Payment Assistance Income Limits
| Program | Max household income (non-targeted) | Max purchase price |
|---|---|---|
| Home Sweet Texas / Homes for Texas Heroes (TSAHC) | up to ~$123,500 (any household size) | up to ~$544,232 |
| My First Texas Home (TDHCA) | up to ~$98,800 (1–2 persons) / ~$113,620 (3+) | up to ~$544,232 |
| My Choice Texas Home (TDHCA) | up to ~$147,560 (conventional) / ~$167,960 (FHA/VA/USDA) | No purchase price limit |
| Figures show approximately how high non-targeted-area limits may reach for the standard above-80%-AMFI tier. TSAHC applies a single income limit at any household size. My First Texas Home varies by household size and is for first-time buyers using FHA, VA, or USDA loans. My Choice Texas Home adds repeat buyers and conventional financing and has no purchase price limit. Limits may be higher in HUD-targeted census tracts and change periodically — confirm your county's current figure with a participating lender before applying. | ||
Source: TSAHC Income & Purchase Price Limits + TDHCA Income & Purchase Price Limits
Loan Limits — McLennan County
VA
VA loans are uncapped above conforming limits for full-entitlement veterans.
Cities in McLennan County
City pillars for this county are coming soon.