Are there other home ownership assistance programs for first time home buyers in Tampa aside from the US government’s first time homebuyer tax credit program which has long expired?
Yes, there are other programs, although they’re not as clear-cut or as readily available as the expired tax credit program. But if you’re resourceful and your income is at a level eligible for assistance, the possibility is high that you can find at least one helpful program in Tampa.
Here are programs that you can explore, some of which are also available to prospective home buyers who are not first time home buyers, but who are previous home owners:
1. Mortgage Assistance through a Deferred Payment Loan
This loan is a second mortgage administered by the city of Tampa through its Housing and Community Development Division. It’s funded by the State of Florida State Housing Initiatives Partnership (SHIP), the Home Program and the Neighborhood Stabilization Program.
The loan has no interest and payment can be deferred to up to the 30th year, but it’s due and payable if you default on the first mortgage, if you don’t pay your real estate tax or if you don’t maintain it as a homesteaded property.
The maximum loan amount available for each qualified applicant is $40,000 for low-income applicants and $25,000 for moderately-low-income applicants. However, not everyone gets the maximum amount, with the Tampa Housing and Community Development Division analyzing your financial situation before deciding on the amount.
If the HUD income basis is used, your household income should not be higher than 80 percent of your area’s median income. If the state income basis is used, your income should not be higher than 120 percent of your area’s median income. The HUD income limit for a family of four members is $47,750 while the state income limit is $71,280.
The home must be bought at or below $165,000 and it must be used as the borrower’s homestead. It must be a single-family unit, a condo or a townhome and can be a new construction or an existing home. A home appraisal needs to be done, with existing home needing home inspection using the Housing Quality Standards inspection format.
2. First Time Home Buyer Programs Offered by Small Banks, Credit Unions and Nonprofits
There are banks and credit unions that offer discounts on their mortgage rates and closing costs like Third Federal Savings and Loan. There are also nonprofits like Solita’s House that help you become a smart home buyer and that refer you to lenders that have programs for first time home buyers.
There are Tampa real estate professionals who can help you find the home you desire and use one of the programs above to help you with your down payment.