Are you ready for a Hometown Heroes Week 2 Update? Since re-funding on July 1 – first time home buyers in Florida have been busy applying for/reserving funds.
Revisiting the Hometown Heroes Program
Hometown Heroes is the FL down payment program for first-time homebuyers. This program is available to Florida first time buyers. Eligible borrowers can receive up to 5% ($35,000 max) of down payment and closing cost assistance. Depending on the program selected, requirements will include income (county income limits apply), credit (640 minimum required) and employment. The funding comes as a 0%, non-amortizing, 30-year second mortgage on the property.
The program does not mandate borrowers to make payments over the life of the loan. However, payments may happen over the life of the loan for early payoff. 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 Qualifies for Hometown Heroes?
There are two groups of individuals with eligibility for the program. The first includes veterans, active military, spouse of a deceased veteran or retired. The second includes Florida-based employees working full-time (35 hours a week) for a FL 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 Jacksonville would qualify if their employer has an office location in Orlando. A virtual employee based in St. Johns, 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 12th Hometown Heroes Week 2 Update
Sources today (July 12th, 2024) report that approximately $30 million of the allocated $100 million as 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 over these past 2 weeks – last year’s record looks to be beat in 2024. If this is a program of interest to you – look to apply and lock in funds sooner rather than later.
How to Utilize Hometown Heroes?
- The intended property must serve as your primary residence and be occupied by a FL 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 1-time participation in the program
- The 1st mortgage must be through Florida Housing
Florida is showing great commitment to first time buyers. If you are interested in Hometown Heroes, please contact me. I am happy to connect you with a lender who can support your first time home purchase.