Florida housing assistance
Hometown Heroes
Florida’s Hometown Heroes Loan Program Relaunches August 18, 2025: A Comprehensive Guide
Florida’s Hometown Heroes Loan Program is scheduled to officially relaunch on August 18, 2025, reopening access to down payment and closing cost assistance for eligible Florida-based workers in essential and community-serving roles. The program is administered by Florida Housing Finance Corporation and is designed to help stabilize local communities by enabling full-time workers to purchase homes in the areas where they live and work.
For 2025, the program offers up to $35,000 in assistance structured as a 0% interest, fully deferred second mortgage. There are no monthly payments. Repayment is required only if the property is sold, refinanced, or transferred. The assistance is not a grant and is not forgivable, which is an important distinction for buyers evaluating long-term financial implications.
The official program launch date is August 18, 2025. Applications, reservations, and funding requests cannot be submitted before that date. Although Florida’s fiscal year begins on July 1, reservations are only permitted after the program receives final approval and participating lenders complete required training. Buyers who attempt to act early without proper preparation risk missing the narrow funding window once applications open.
Program Funding and Availability
Florida has allocated approximately $50 million statewide for the 2025 Hometown Heroes Program. This represents roughly half of the funding available in 2024. In the prior year, program funds were exhausted in approximately 50 days. Given the reduced allocation and continued housing affordability pressures, demand in 2025 is expected to exceed available funding quickly.
Because funding is limited and not guaranteed, buyers must be fully prepared at launch. This includes having lender pre-approval, employment documentation, income verification, and any required education completed in advance. Sellers should also be aware that buyers using the program may require additional time for underwriting and reservation confirmation.
How Much Assistance Is Available
Eligible buyers may receive assistance equal to up to 5% of the first mortgage amount, subject to a minimum of $10,000 and a maximum of $35,000. The exact amount depends on the loan size and program eligibility.
The assistance can be applied toward down payment and closing costs. In some circumstances, it may also be used to cover eligible costs related to repairs or upgrades required at closing, depending on lender and program guidelines.
Loan Structure and Repayment Terms
The Hometown Heroes assistance is structured as a second mortgage with the following terms:
• 0% interest
• Fully deferred for up to 30 years
• No monthly payments
• Repayment required at sale, refinance, or deed transfer
Because the loan is not forgivable, buyers should consider how the deferred balance may affect future refinancing or resale decisions. The program is intended to improve initial affordability, not eliminate long-term financial responsibility.
Who Is Eligible
Eligibility is limited to full-time Florida-based workers in approved occupations that support public service and community stability. For 2025, eligible roles are expected to include healthcare professionals, educators, first responders, public safety personnel, court and government staff, child care workers, and active-duty military members or veterans.
Borrowers must generally be first-time homebuyers, defined as individuals who have not owned a home in the past three years. Veterans are exempt from the first-time buyer requirement.
Employment must be full-time, defined as at least 35 hours per week, with a Florida employer that has a physical work location in the state. Hybrid work arrangements may qualify if properly documented. Fully remote positions without a Florida work location are not eligible.
Self-employed individuals may qualify if they operate a Florida-based business within an eligible occupation and can provide appropriate documentation, such as tax returns or CPA verification.
Income Limits and County Variations
Income limits vary by county and program structure and are based on a percentage of Area Median Income (AMI). In Palm Beach County, the income limit for 2025 is expected to be approximately $175,650. Other counties differ, with Broward County estimated around $172,950 and Miami-Dade County around $185,850.
It is critical for buyers to understand how income is calculated. Some program structures count the income of all adults aged 18 and older residing in the household, while others consider only the borrower’s income. Misunderstanding this distinction is one of the most common reasons buyers are disqualified after initial review.
Bond vs. TBA Program Options
Florida Housing is expected to offer two structures under the Hometown Heroes umbrella: the Bond Program and the TBA (To Be Announced) Program.
The Bond Program typically offers lower interest rates but applies stricter income caps and counts the income of all adult household members.
The TBA Program generally allows higher income limits and counts only borrower income, but interest rates may be slightly higher.
Choosing the appropriate structure depends on household composition, income sources, and long-term affordability goals. Lender guidance is essential when evaluating which option is most appropriate.
Eligible Loan Types and Property Requirements
The program supports FHA, VA, USDA, and conventional loans. Conventional borrowers who meet income requirements may benefit from reduced private mortgage insurance.
Eligible properties include single-family homes, townhomes, condominiums, and manufactured homes on permanent foundations. The home must be used as the buyer’s primary residence. Investment properties and second homes are not eligible.
Fees, and Closing Requirements
Once approved and reserved, buyers must close within 60 days. One 30-day extension may be granted, allowing a maximum of 90 days to close. This timeline is particularly important for new construction purchases, which may not align with program deadlines.
The program caps broker fees at approximately $500 and lender fees at $1,700. There are no origination fees or discount points. Florida also waives documentary stamp and intangible taxes for qualifying transactions, which can save buyers approximately $2,000–3,000 at closing.
At least one borrower must complete an approved pre-purchase homebuyer education course, valid for two years. Veterans may be exempt from this requirement.
Why Sellers Should Pay Attention
For sellers, the Hometown Heroes Program expands the pool of qualified buyers, particularly in moderate price ranges. However, transactions involving the program may require additional coordination, documentation, and time. Sellers should expect buyers to need full pre-approval before contract acceptance and should be prepared for program-specific timelines.
Preparing Before August 18, 2025
Buyers interested in the Hometown Heroes Program should begin preparation well before the launch date. This includes confirming occupational eligibility, reviewing county income limits, completing homebuyer education, and securing lender pre-approval.
Because funding is limited and demand is high, readiness at launch is critical. Buyers who wait until the program opens to begin preparation may find funds exhausted before they are able to reserve assistance.
Final Considerations
The Florida Hometown Heroes Loan Program is a targeted affordability tool designed to support workers who contribute directly to their communities. It is not a universal solution and carries long-term considerations that buyers should evaluate carefully. When used appropriately, it can meaningfully reduce upfront barriers to homeownership.
For buyers, sellers, and professionals alike, understanding the structure, limitations, and timelines of the program is essential to navigating it successfully.
For personalized guidance, eligibility review, or preparation support, contact Tori Easterling.
(561) 820-5079