Are you ready for a Hometown Heroes Week 1 Update? Since re-funding on July 1 – first time home buyers in Florida have been busy applying for/reserving funds.
What is Hometown Heroes?
The Florida down payment program for First Time Homebuyers is Hometown Heroes. This is a mortgage assistance program available to first time home buyers. The program provides up to 5% ($35,000 max) of down payment and closing cost assistance for those who meet eligibility criteria. Depending on the program selected, requirements include income (driven by county income limits), credit (a 640 minimum score) and employment. The funding comes as a 0%, non-amortizing, 30-year second mortgage on the property.
Payments are not required over the life of the loan. However, recipients are welcome to make payments over the life of the loan should they want to pay it off early. Full payment is due on sale, transfer, refinance or no is longer owner occupied. Florida Housing follows the IRS definition of First Time Home Buyer – meaning they can buy under the program as long as they never owned nor lived in owned property (as a primary residence) the past 3 years.
Who is Eligible?
Two groups of individuals are eligible for the program. The first including veterans, active military, spouse of a deceased veteran or retired. The second includes FL-based employees who work full-time, 35 hours a week for a Florida based business. This second group needs to work for an employer with a brick and mortar location in Florida. Eg: a virtual employee working at home in St. Augustine would qualify if their employer has an office location in Miami. A virtual employee based in Jacksonville, who works for a company in Washington, D.C. would not be eligible under this program. Self-employed are eligible as long as the 1099 or Schedule C show a Florida address. Businesses must be registered with www.Sunbiz.org.
July 5th Hometown Heroes Week 1 Update
Sources today (July 5th, 2024) report $23 million of the allocated $100 million reserved. Hometown Heroes remains a popular down payment assistance program for qualified borrowers here in FL. 2023 saw funds distributed in approximately 5 weeks. At the rate of reservation this week – last year’s 5 week record looks to be beat in 2024. I cannot stress enough, if this is a program of interest to you – look to pursue funding sooner rather than later.
How to Utilize Hometown Heroes?
- The subject property must serve as the primary residence and be occupied by a Florida resident .
- Property must be an attached or detached 1-unit dwelling, 2-4 unit property, condo or manufactured home (’94 or newer).
- There is a one-time participation in the program
- The first mortgage must be through Florida Housing
Florida is going to great lengths to strengthen their commitment to first time buyers. Interested in the Hometown Heroes 2024 program? Please reach out to me and let’s get you in touch with a lender who can support you.