Hey there! Navigating the world of homeownership can be a bit overwhelming, especially when you’re trying to find the right support. If you’re considering planting roots in Tamarac, Florida, the city’s First-Time Homebuyer Purchase Assistance Program is designed to make that journey a bit smoother. Let’s dive into the details to see how this program might be the helping hand you need.

Program Overview

• Program Name: City of Tamarac First-Time Homebuyer Purchase Assistance Program
• Source of Funding: This program is funded by the City of Tamarac, with additional support from federal initiatives. In January 2024, Congresswoman Sheila Cherfilus-McCormick secured $350,000 in Community Project Funding to expand the program. Source

Eligibility Criteria

• First-Time Homebuyer Status: Applicants and their spouses must not currently own a home or have owned one within the last three years. Exceptions may be made for single parents displaced due to a recent divorce (within the last three years), considered on a case-by-case basis. Source
• Income Limits: Household income must not exceed the limits set by HUD, which change annually. Source
• Primary Residence: The purchased property must be within the City of Tamarac and serve as the applicant’s primary residence.
• Homebuyer Education: Applicants must complete an 8-hour HUD-approved First-Time Homebuyers Class. Source

Benefits

The program provides financial assistance for down payment and closing costs based on household income:

• Up to $85,000 for households earning ≤50% of the Area Median Income (AMI).
• Up to $75,000 for households earning ≤80% of AMI.
• Up to $40,000 for households earning ≤120% of AMI.

Assistance is structured as a 15-year, 0% interest, deferred payment second mortgage. No payments are required if the homeowner remains in the property for the full term.

Potential Drawbacks

• Occupancy Requirement: The home must be owner-occupied. Renting or moving out before 15 years may trigger repayment.
• Property Restrictions: Homes with illegal structures or code violations are ineligible.
• Buyer Contribution: Buyers must contribute at least 1% of the purchase price toward closing costs.

Application Process

1. Pre-Approval: Obtain a pre-approval letter for a first mortgage with fixed interest rates and no pre-payment penalty. Source
2. Homebuyer Education: Complete the HUD-approved First-Time Homebuyers Class. Source
3. Find a Home: Secure a property in Tamarac that meets program requirements.
4. Submit Application: Provide identification, income verification, and purchase contract. Source
5. Processing: Applications are reviewed on a first-ready, first-served basis (3-4 weeks for approval).
6. Closing: Upon approval, coordinate with the closing agent to finalize the purchase.

Additional Notes

Program Status: As of 2024, the Down Payment Assistance Program is closed. Check the official website for future updates. Source

Funding Availability: The program has been expanded thanks to additional federal funding. Source

Pros & Cons

Pros:

• Significant Financial Assistance: Up to $85,000 for eligible applicants.
• 0% Interest Deferred Loan: No payments required if the buyer remains in the home for 15 years.
• Increased Funding: Additional federal funding has expanded the program’s reach.

Cons:

• Occupancy Requirement: Must live in the home for 15 years or face repayment.
• Limited Availability: The program is currently closed but may reopen with future funding.
• Property Restrictions: Homes with unpermitted structures are ineligible.

Embarking on the journey to homeownership is a significant milestone, and programs like Tamarac’s First-Time Homebuyer Purchase Assistance Program are here to support you every step of the way. Stay informed, prepare diligently, and take advantage of the resources available to make your dream home a reality.