Down Payment Help for First-Time Home Buyers
As home prices continue to climb in the Tampa area, ponying up the traditional 20% down payment can seem more and more daunting to first-time home buyers. Luckily, quite a few programs exist to help you overcome the down payment hurdle.
Hillsborough County Home Ownership Program
First-time home buyers may be eligible for 0% interest second mortgage from the Housing Finance Authority of Hillsborough County. This mortgage can be used towards your down payment or closing costs.
The Florida Assist Second Mortgage Program
If you are using a Florida’s Housing first mortgage loan to buy your home, you may also be eligible for down payment assistance through the Florida Assist Second Mortgage Program. You could receive up to $7,500 towards your down payment in the form of a 0%, non-amortizing, deferred second mortgage.
3% HFA Preferred Grant
If you’re eligible for the HFA Preferred Plus Non-Repayable Grant, you could receive 3% of the purchase price of the home you’re buying to apply towards your down payment and closing costs. The nice thing about this option is that it’s a grant and not a mortgage, so it does not have to be repaid.
If you are an active-duty military member, veteran, or a surviving spouse, the The U.S. Department of Veterans Affairs (VA) guarantees part of a VA home loan, which doesn’t require a down payment. In addition, a minimum credit score is not required, and you don’t have to carry private mortgage insurance either. VA rules limit your closing costs as well. By the way, you don’t even have to be a first-time home buyer to take advantage of a VA Home Loan!