Unions.

Killeen is a military area, so that monthly rent would almost be guaranteed.

I'm not an loan officer, but I know some banks locally like ORNL Credit Union have offered a 0% down conventional loan product.

With those numbers, have you checked with a local bank or credit union?

@Vijay Singh SambasivamI would suggest speaking to local banks, and credit unions.

Most banks/credit unions have clauses that prohibit borrowed down payment funds or seconds on the property. 

Shared living quarter rental, Military or Civil service rental.  

Purchase price: $160,000 I purchased a two story home by a military base from a family member for $160,000 but it is worth more.

Often times, their approval processes are slow.Credit Unions - Their member structure also subsidizes their financial structure so they can also be a source of low-cost financing.

Avoid PMI and then go to a local credit union and get a heloc after closing to gift the money back.Have this as a tool in your tool belt but pursue use of the 3.5% FHA, knowing that you will be at a competitive disadvantage if you are competing with non FHA buyers, then you can call in the favor from your gift person.Just know that if someone gifts you down payment money, your bank will require them to sign a letter stating that it is in fact a gift that doesn’t need to be paid back.