St. Petersburg Housing Down Payment Assistance Program
$75,000
About the Program
The City of St. Petersburg offers financial assistance to first-time homebuyers purchasing a new or existing single-family residential housing unit, condominium, townhome, or cooperative apartment located within the City’s municipal boundaries.
Program Requirements
The buyer should be willing and able to meet the following conditions before applying for a loan to assist with buying a home:
- Contribute an amount equal to 1% of the sales price.
- Attend a first-time homebuyer educational training class provided by a HUD-approved housing counseling agency and receive a certificate of completion for that class.
- Housing purchase price cannot exceed $544,233.
- House must be located within the city’s municipal boundaries.
- Have the property inspected by a licensed home inspector and have all deficiencies cured prior to closing.
- Obtain a primary mortgage loan that is affordable over the term of the loan.
- Apply for and be approved for homestead exemption after the property is purchased. For information regarding tax exemptions, visit the Pinellas County Property Appraiser site.
Income Eligibility
To be eligible for Housing Down Payment Assistance, a homebuyer’s total annual household income, as defined by the U. S. Department of Housing and Urban Development (HUD), cannot exceed the maximum annual income limit. View the current income limits .
Income includes salaries, child support, alimony, social security, pensions, public assistance, income-producing assets, or income from any other source.
*Funding for households with income between 81% and 140% of the Area Median Income (AMI) is limited.
Loan Terms
Housing down payment assistance is provided in the form of a 0% interest, secondary mortgage. The loan amount is 20% of the property’s sales price, with $5,000 for closing costs, up to $75,000.
Homebuyers at or below 80% AMI loans are 100% forgiven after 10 years of continued occupancy, and no monies will be owed to the City. For Homebuyers up to 81% - 140% AMI purchasing a home outside of the South St. Petersburg Community Redevelopment Area, the affordable repayment period begins one month post-closing date.
Homebuyers purchasing a home within the South St. Petersburg Community Redevelopment Area 80% - 120% AMI loans are 100% forgiven after 10 years of continued occupancy and no monies will be owed to the City. Homebuyers 121% - 140% AMI payments are deferred for five years and the remaining five-year payment is based on 50% of the total loan.
Application Process
Lenders, apply for the Housing Down Payment Assistance Program in the application portal below. The application should be submitted by the lender on behalf of the homebuyer seeking assistance. Lenders should download and review the Lender Tool Kit prior to applying. Homebuyers should not submit the application. Have your lender apply on your behalf.
- Submitted and pending applications currently in Neighborly will be processed for assistance. However, the city is over the spending limit for applications over 80% AMI, so applications between 81% AMI and 140% AMI may be limited.
- If the home to be purchased is within the SSCRA, we are still accepting applications for up to 140% AMI.
- The City will send a notification when applications outside the SSCRA are being accepted again.
- To see a map of the CRA, click here
How To Apply
The City’s Purchase Assistance Program, funded by the State Housing Initiatives Partnership (SHIP), is reopening for new applications. Due to reduced state funding, available assistance is limited and will prioritize designated populations per SHIP guidelines.
Applications will be reviewed on a first-qualified, first-complete, first-served basis. Priority will be given to:
- Households earning less than or equal to 80% AMI over those earning 81–140% AMI
- Individuals with special needs (per Florida Statute 420.0004(13) )
- Essential services personnel
Please help prospective homebuyers prepare complete applications early. Thank you for your continued support in expanding homeownership in St. Petersburg.
*SHIP Purchase Assistance Funds Paused
Please note that SHIP Purchase Assistance Funds are currently very limited. The program is not accepting applications citywide at this time. There are no changes to the CRA-funded Purchase Assistance Program.
Education
Homebuyers receiving assistance through the City’s Housing Down Payment Assistance Program are required to attend and receive a certificate of completion for an 8-hour Homebuyer Education Class provided by a HUD-approved housing counseling agency
Homebuyer education classes and counseling services are available through any of the housing counseling agencies listed below:
- Tampa Bay Neighborhood Housing Services
727-442-4155 x106 - St. Petersburg Neighborhood Home Solutions
727-821-6897
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