First Time Homebuyer Loan Assistance Programs

Acquiring your initial home is a significant milestone! In Florida, numerous programs are in place to aid first-time homebuyers. The Florida Housing Finance Corporation (FHFC) extends support to low and moderate-income borrowers with a variety of mortgage choices, including 30-year fixed-rate conventional loans, FHA insured loans, VA loans, and USDA Rural Development mortgages.

FHFC offers an array of initiatives to assist first-time homebuyers. Eligible individuals can benefit from perks like lower mortgage rates, assistance with down payments, tax credits, and special financing options for buying and refurbishing a home.

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Down Payment Assistance

Qualified buyers have the chance to obtain down payment support amounting to either 2.5% or 5% of the overall property cost. This monetary assistance can be used for a range of purposes, including covering the down payment, closing costs, or any pre-closing expenses that have been approved.

Do You Qualify?

Qualification for FHFC support for first-time homebuyers may involve any of the following criteria:

  • Not owning a primary residence in the past three years.
  • Receiving an honorable military discharge.
  • Buying a home in a designated area.

Qualification also hinges on meeting specific financial benchmarks, including:

  • A credit score requirement of at least 640 for Conventional, USDA, and VA loans, and 650 for FHA loans.
  • Restrictions on the property size to two acres within city limits and five acres beyond, adhering to local health or safety codes. Qualifying properties can be single-family homes, approved condominiums, duplexes, properties with up to four units, newly built homes, modular homes, and manufactured homes.

There are additional support programs available for first-time homebuyers.

Take the quiz to see if you qualify for this program

Mortgage Tax Credit

First-time homebuyers who are eligible and secure an FHFC mortgage along with down payment assistance may be eligible for a mortgage credit certificate, provided they meet specific income and purchase price criteria. This certificate allows for a tax credit of up to 40% of the borrower’s annual mortgage interest, which can be claimed annually for 30 years.

Florida Heroes Mortgage Assistance Program

The FHFC’s Florida Heroes Program offers eligible individuals, who are either first-time or repeat homebuyers and work in professions that contribute to the betterment of society, reduced mortgage rates. This program extends its benefits to veterans, active-duty military personnel (including surviving spouses), police officers, first responders, select medical professionals, and more. Take the quiz to assess your eligibility for this advantageous program.

Discover the wide range of FHFC programs offered by contacting the experienced team at Sarasota Mortgage Company for expert guidance!