Most Florida down payment help comes with strings: income caps, a first-time buyer rule, a list of eligible jobs. If you earn a solid living or owned a home a few years back, you can get shut out of all of it. There's another option. It pairs an FHA loan with a second loan that pays your down payment and can cover closing costs too, with no income limit and no first-time buyer requirement. Here's how it works and who it fits.
The big programs are built for a specific buyer. Florida's Hometown Heroes program has county income limits, a first-time buyer rule with a couple of exemptions, and a requirement that you work full-time for a Florida employer. County SHIP money has its own income caps and dries up when the funding cycle does. Our Hometown Heroes guide covers that program in detail, and if you qualify, it's worth a hard look.
But a lot of people fall in the gap. A nurse and a boat captain whose combined pay lands above the county cap. Someone who sold a home two years ago and has been renting while they figure out the next move. A family moving down from up north who still owned a house there recently. Good income, good credit, and the only thing between them and a Florida home is the cash to close.
You close with two loans. The first is a regular FHA 30-year fixed mortgage. The second is a smaller loan that pays your down payment and, depending on the version, some of your closing costs. You still pay a few things up front, like the inspection, the appraisal and your earnest money deposit. The earnest money is the one piece that can come back to you at closing. Nothing else comes back as cash.
There are three versions. Which one fits depends on your credit, your budget and how long you plan to stay.
The honest catch. On the repayable versions the second loan carries a higher rate than your first mortgage, and the forgivable version isn't available on the largest high-balance FHA loans. I price all three side by side against a plain FHA loan so you can see the real cost over time, not just the cash you save at closing.
Single-family homes, townhomes, PUDs, two-unit properties and condos in FHA-approved buildings all work. So do manufactured homes that meet FHA rules, but not single-wides. Three- and four-unit properties, co-ops and homes still under construction are out. New construction is fine once it's finished.
Keep the FHA loan limit in mind. FHA caps the loan size by county, and in most of Florida that cap sits well below the price of a canal-front home. This program usually fits a starter home, a townhome or a condo better than a house on the water. Our FHA loan page lists the current limits.
This program solves the cash to close. It doesn't change what the home costs to carry every month, and on the coast that's where deals fall apart.
Insurance, HOA dues and the second loan all show up in the monthly number. Run it first.
Yes. FHA lets the seller and other interested parties pay up to 6% of the price toward your closing costs, prepaids and discount points. Pair that with the down payment help and many buyers bring very little to the table. The seller can also pay for a temporary rate buydown on the first mortgage. You still qualify at the full note rate.
Program terms, eligibility and availability can change without notice. All loans are subject to credit approval, property eligibility and lender guidelines. This is not a commitment to lend.
Is there down payment assistance in Florida with no income limit?
Yes. This FHA down payment assistance option has no income limit and no first-time buyer requirement. You need a 620 credit score (660 if underwritten by hand), the home has to be your primary residence, and one buyer completes a homebuyer education course.
Do I have to be a first-time home buyer to get down payment assistance in Florida?
Not for this program. Repeat buyers qualify as long as the home will be their primary residence. Hometown Heroes and most county programs do have a first-time buyer rule.
Can I combine this with Hometown Heroes?
No, they don't combine. Hometown Heroes uses its own first mortgage. If you qualify for both, I'll compare them and show you which one leaves you better off.
Is down payment assistance free money?
It's a second loan. The forgivable version is forgiven if you live in the home through the forgiveness period without selling or refinancing. The repayable versions are paid back monthly.
Can I use it to buy a condo in Florida?
Yes, if the building is on FHA's approved condo list and isn't in litigation.
Does it cover closing costs?
It can. The assistance can go toward your down payment, your closing costs or both, and the seller can still contribute toward closing costs under FHA limits.
Florida mortgage broker based in the Lower Keys. I work with first-time and repeat buyers across coastal Florida and check every assistance program they qualify for before they shop, so the cash to close and the monthly cost are both clear from day one. Licensed in Florida.
Send me your rough numbers. I'll show you every assistance program you qualify for, side by side, with the real monthly cost of each. 30 minutes.