The Sunshine State has some many programs for low income Floridians. According to a recent Homeownership Program Index, Atlanta-based Down Payment Resource, a databank for homebuyer programs, the U.S. has 2,406 homeownership programs available to help prospective homebuyers. Most of those are ready to help, with 84 percent currently having funds available. However, in Florida, the numbers are even stronger. In Florida alone, there are 231 buyer-aid programs. 13 of them are not funded, but a whole 94.4% have funds available.
However, there is sentiment that many low income citizens and low income Floridians don’t know about the help available to them.
“Renter surveys reveal the lack of understanding among consumers about downpayments and current requirements,” says Rob Chrane, CEO of Down Payment Resource. “It’s important for prospective buyers to research their home loan and downpayment options.”
These programs are especially helpful for first-time homebuyers, while 63 percent of homebuyer help programs actually require that the person is a first-time homebuyer.
Types of Programs for Low Income Floridians
- Downpayment and closing cost programs make up 70 percent. This could go towards a second mortgage, for example, with a very-low or no interest rate, in which the payment may be deferred or forgiven incrementally for each year the buyer remains in the home, according to Florida Realtors.
- Mortgage Credit Certificate makes up 8 percent, which reduces the amount of federal income tax a homebuyer pays each year.
- First mortgage loans make up 9 percent, which vary from offering below-market interest rates, lower or no mortgage insurance, or even 100 percent financing.
- Additional programs make up 13 percent, including employer assisted housing and Individual Development Accounts.
So, if you are a low income Floridian who wants to buy a home, do not be intimidated by the finances! Clearly, there are many options available to you. Check out the beautiful properties available in Miami, and then contact an agent with any questions or concerns!