New Homes For OST - South Union on MLK BLVD

New homes are coming to OST - South Union on MLK BLVD!

The City of Houston is partnering with Mayberry Homes, Inc to build the Southern Palms Development of 40 affordable single-family homes on 5302, 5306, and 5230 Martin Luther King Jr. BLVD in the Old Spanish Trail (OST) - South Union neighborhood. Mayberry Homes will oversee the new construction of 40 affordable three-bedroom single-family homes. The homes will be sold to homebuyers earning up to 120% Area Median Income (AMI).

Through the Affordable Home Development Program (AHDP), the City of Houston will contribute a forgivable loan of $2,000,000.00 from the Uptown TIRZ Series 2021 Affordable Homes Funds to finance the infrastructure for the mixed-income development..

Interested in buying an attainable home financed by the City? Fill out our Homebuyer Interest tracker and we’ll let you know when homes are ready for sale and send you FREE homebuyer resources.

About Greater OST / South Union

Greater OST / South Union is a collection of neighborhoods in south-central Houston inside Loop 610 with a deep history of civic participation and leadership. Zollie Scales Park is named after a notable community activist responsible for getting many city services to the area. Mrs. Eljane Anderson, another community activist, was responsible for getting people in the area to vote. In addition, the neighborhood is home to Palm Center, one of the first malls to be built in Houston.

Today, the area is known for the Christmas decorations provided by LaSalette Place and Scott Terrace subdivisions during December. Please visit the Super Neighborhood 68 – Greater OST / South Union page to learn more.

About The Developer

Mission Statement: We focus on making homeownership a reality for all individuals by providing quality new homes at an exceptional value to our clients.

Mayberry Homes, Inc. has been committed for many years to revitalizing the heart of Houston, one home at a time. We focus on making homeownership a reality for all individuals by providing quality new homes at an exceptional value to our clients.

Mayberry Homes, Inc. has a broad clientele throughout the Houston area. We share in the City of Houston’s effort to remove blight in the neighborhoods where we were raised and continue to live. Through your vision and our expertise, allow Mayberry Homes to become the builder of your choice in conceptualizing your dream home.


About the Affordable Home Development Program

Key Facts
  • Home

    The program aims to create new homeownership opportunities for residents.

  • Location

    Developments located across Houston.

  • Family

    Developments are mixed-income. At least 40 homes in each AHDP development will be attainable to households earning up to 120% of the Area Median Income or less. For a family of four, for example, this would mean earning $106,300 or less as of 2022.

FAQs - Frequently Asked Questions

Note: The following FAQ pertains to the City’s administration of the Affordable Home Development Program. The City’s developer partners may have additional program guidelines.


Q: How do I buy a home? -

A: Homebuyers will purchase market and attainable rate homes directly through the developers. The City will partner with the developer to co-market and perform income eligibility reviews for the attainable rate homes.

Q: What role does the City have in the homebuyer process? -

The City will partner with the developer to comarket the community. This includes cohosting community meetings, webinars, and the City’s New Homebuyer Interest Survey .

Additionally, the City will perform income eligibility reviews for homebuyers purchasing an attainable rate home.

Q: Can I use down payment assistance programs to help buy a home? -

A: Homebuyers purchasing affordable or market rate homes may use down payment assistance programs available to them through their private mortgage lender or other entities.

Q: What do you mean by “attainable rate” homes? -

A: Generally, rent or mortgage payments should not exceed 30% of household gross income. The City’s financial investment through the Affordable Home Development Program will decrease the purchase price from the current market rate to the homebuyer’s secured fixed rate mortgage to make homes more attainable.

Q: How will I know when homes are available to purchase? -

A: The developer will market when the homes are available to purchase. HCD will also inform the community through the HCD Homebuyers Hub page, HCD social media, and through our New Homebuyer Interest Survey .

Q: How will the homebuyer process work? -

A: The first step for every homebuyer will be to secure a 30-year fixed rate mortgage from a lender. For homebuyers purchasing a market-rate home, they will then continue the traditional homebuyer process.

Homebuyers purchasing an attainable-rate home will also need to attend a HUD-certified eight (8) hour homebuyer education course and earn up to 120% of the Area Median Income as determined by HUD when purchasing the home. The City’s financial investment through the Affordable Home Development Program will decrease the purchase price from the current market rate to the homebuyer’s secured fixed rate mortgage to meet the attainable home price.

Q: Is there an affordability period or secondary lien on the homes?-

A: The City will not impose a secondary lien on market-rate homes.

The City will impose a five-year secondary lien on attainable rate homes. The secondary lien will be forgiven at the end of the five-year period. Please note that individual developers may impose a longer secondary lien on attainable rate homes.

Q: Will there be any difference between market-rate homes and attainable homes? -

A: No, all homes will have the same construction quality, finishes, and appliances.