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City-Owned Lot Program

To provide affordable housing, and to improve the housing stock, the City of Waco and City Council have joined together and approved the sale of certain City owned lots for future homeowners who intend to build a home and to occupy the property as their primary residence.

Major Steps for Builders Purchasing a City Owned Lot:

  • Pick out the lot you wish to purchase.
  • Check with the City to make sure that lot is still available.
  • Give a written request stating the lot address, legal description and amount you are offering for the lot. (Must be the higher of Court Costs or $100.00).
  • Complete and submit the Conflict of Interest Questionnaire
  • You must be purchasing the lot to build a single family dwelling, (or to rehabilitate an existing structure), to be sold for homestead purposes. This program is not for investment purposes. The home must be owner occupied for families with income of 80% or below for Waco if the property is solely owned by the City of Waco.
  • If you are a new builder or not established in the Waco Market, you must furnish the City of Waco with financial information, proof of the ability to finance construction (letter from bank, etc.)
  • You must furnish pictures of prior homes built with addresses. (If you are new to the Lot Sale Program.)
  • You must provide acceptable plans, specifications, and preliminary site plan. (Or a listing of what type of rehabilitation will be done to an existing structure).
  • You must have the home completed within 24 months of the transfer of the property. If the house is not completed in the allocated time, the property may revert back to the City.
  • It is your responsibility to determine if utilities are available to the property.
  • It is your responsibility to determine if the property needs platting.
  • It is your responsibility to determine if the zoning is correct.
  • It is your responsibility to determine if the property is in a flood zone. The City of Waco cannot guarantee that the property is NOT in a flood zone.
  • It is your responsibility to check the set-back lines to make sure your house will fit on the lot.
  • It is your responsibility to check any easements on the property. It is your responsibility to pay all closing costs associated with the purchase of the lot, including but not limited to the title policy, recording fees, attorney fees, survey fees, platting fees, closing fees, etc.
  • The lot is being sold as is.
  • Waco loan committee must approve the lot purchase.
  • The county commissioners and the school district must approve the lot purchase, if the property was aquired through tax foreclosure.

NOTE: The City of Waco will order title work and make every effort to allow you to purchase the lot of your choice. There will be times however, that due to one circumstance or another, the lot you request to purchase, will not be available. Some of the problems encountered could be: non-approval from loan committee, county commissioners, or school, in-curable title problems, easements through the property, deed restrictions, etc. You must provide all documentation to be submitted to Loan committee within 60 days of your written request or the lot will be returned to the available lot list. After your request has been approved by all taxing authorities, all title issues have been addressed and the lot is ready to be closed, you will have up to 30 days to close on the lot or the lot will be returned to the available lot list.

Major Steps for Individuals Purchasing a City Owned Lot:

  • Pick out the lot you wish to purchase.
  • Check with the City to make sure that lot is still available.
  • Complete and submit the Conflict of Interest Questionnaire p Give a written request stating the lot address, legal description and amount you are offering for the lot. (Must be the higher of Court Costs or $100.00). Be sure your current address and phone number are included with your letter so we can contact you.
  • You must be purchasing the lot to build your homestead. This program is not for investment purposes. The home must be owner occupied. You must not have income above 80% of the median income by family size, if you are purchasing City of Waco, solely owned property . You must provide proof of income. If you are purchasing City of Waco Trustee property, income is not a factor.
  • You must provide an acceptable take-out letter or commitment from your lender. (Or proof of funds to pay for the construction / moving of the home.)
  • You must provide acceptable plans, specifications, and preliminary site plan from your builder. (If moving a home onto the site, pictures of the home must be submitted for approval. These pictures must include the front, both sides and the rear.)
  • You must begin building within 90 days of the transfer of the property.
  • You must have the home completed within 9 months of the transfer of the property. If the house is not completed in the allocated time, the property may revert back to the City.
  • It is your responsibility to determine if utilities are available to the property.
  • It is your responsibility to determine if the property needs platting.
  • It is your responsibility to determine if the zoning is correct.
  • It is your responsibility to determine if the property is in a flood zone. The City of Waco cannot guarantee that the property is NOT in a flood zone.
  • It is your responsibility to check the set-back lines to make sure your house will fit on the lot.
  • It is your responsibility to check any easements on the property.
  • It is your responsibility to pay all closing costs associated with the purchase of the lot, including but not limited to the title policy, recording fees, attorney fees, survey fees, platting fees, closing fees, etc.
  • The lot is being sold as is.
  • Waco Loan Committee must approve the lot purchase.
  • The County Commissioners and Waco Independent School District must approve the lot purchase. This may take some time due to scheduling of the agendas. Turnaround is typically 2-3 months.

Note: The City of Waco will order title work and make every effort to allow you to purchase the lot of your choice. There will be times however, that due to one circumstance or another, the lot you request to purchase, will not be available. Some of the problems encountered could be non-approval from Loan Committee, County Commissioners, or WISD; in-curable title problems, easements through the property, deed restrictions, etc. You must provide all documentation to be submitted to loan committee within 60 days of your written request or the lot will be returned to the available lot list. After your request has been approved by all taxing authorities, all title issues have been addressed and the lot is ready to be closed, you will have up to 30 days to close on the lot or the lot will be returned to the available lot list.

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