Hey there! Navigating the path to homeownership can feel overwhelming, but there are programs designed to make this journey smoother, especially for first-time buyers. While the City of Pinellas Park doesn’t have its own dedicated first-time homebuyer program, residents can benefit from several county-wide initiatives aimed at assisting new homeowners.

Pinellas County Housing Finance Authority (HFA) First-Time Homebuyer Program

This program is tailored for individuals who have never owned a home, haven’t owned one in the past three years, or are veterans. It offers competitive interest rates on various loans, including FHA, VA, RD, and Freddie Mac HFA Advantage Conventional loans. Additionally, there’s down payment and closing cost assistance available through the Home Key Plus 2nd Mortgage. For Pinellas County, this assistance amounts to $12,000.

To get started, you’ll need to complete a Homebuyer Education class and then connect with a lender from the Approved Lender List. Learn more here.

Eligibility Criteria:

• First-Time Homebuyer Status: Must be a first-time homebuyer, a veteran, or someone who hasn’t owned a home in the last three years.
• Credit Score: Minimum FICO score of 660.
• Income Limits:
  • For 1-2 family members: Up to $95,500 in non-target areas; $114,600 in target areas.
  • For 3+ family members: Up to $109,825 in non-target areas; $133,700 in target areas.
• Purchase Price Limits: Maximum of $510,939 for non-target areas and $624,481 for target areas.

Benefits:

• Financial Assistance: Up to $12,000 for down payment and closing costs.
• Competitive Interest Rates: 6.00% for FHA, VA, and RD loans; 6.50% for Freddie Mac HFA Advantage Conventional loans.
• Deferred Second Mortgage: The assistance is a 0% interest, deferred second mortgage, repayable upon selling, refinancing, or if the property is no longer the primary residence.

Potential Drawbacks:

• Repayment Requirement: The deferred loan must be repaid when you sell, refinance, or no longer occupy the property as your primary residence.
• Funding Availability: Assistance is subject to funding availability, so it’s essential to check the current program status.

Application Process:

1. Homebuyer Education: Complete an 8-hour HUD-approved Homebuyer Education class.
2. Pre-Approval: Contact an approved lender with your education certificate to get pre-approved for a mortgage.
3. Home Search: Work with a realtor to find your new home.
4. Closing: Finalize the purchase and receive the keys to your home.

Additional Resources:

• Homebuyer Education Class Providers: The City of Pinellas Park provides a list of HUD-approved agencies offering these classes. Find providers here.

Embarking on the journey to homeownership is significant, but with the right resources and support, it becomes an achievable dream. If you have further questions or need assistance, feel free to reach out!

Program Availability:

This program is available to residents of Pinellas County, including the City of Pinellas Park.

Sources:

• Pinellas County Housing Finance Authority First-Time Homebuyer Program
• Homebuyer Education Class Providers

Pros and Cons:

Pros:

• Substantial Financial Assistance: Provides up to $12,000 for down payment and closing costs, reducing the initial financial burden.
• Competitive Interest Rates: Offers favorable rates, making monthly payments more affordable.
• Educational Support: Mandatory Homebuyer Education classes equip buyers with essential knowledge.

Cons:

• Repayment Obligation: The assistance is a deferred loan, not a grant, requiring repayment under certain conditions.
• Credit Score Requirement: A minimum FICO score of 660 may be a barrier for some applicants.

Application Process:

1. Verify Eligibility: Ensure you meet the program’s criteria, including income limits and credit score.
2. Complete Homebuyer Education: Enroll in and complete an approved 8-hour Homebuyer Education class.
3. Obtain Pre-Approval: Contact an approved lender with your education certificate to get pre-approved for a mortgage.
4. Find a Home: Work with a realtor to locate a suitable property within the program’s guidelines.
5. Finalize the Purchase: Proceed with closing, utilizing the program’s assistance for down payment and closing costs.

Type of Assistance:

This program provides down payment and closing cost assistance in the form of a deferred, non-amortizing, 0% interest second mortgage.

Program Availability:

The program is currently active and accepting applications.

Post Category and Subcategory:

• Category: Florida First-Time Homebuyer Program
• Subcategory: Pinellas County