Hurricane Michael Homeownership Funding Completely Committed in Less than Four Months
TALLAHASSEE, FL — In less than four months, a total of $5 million in down payment (DPA) and closing cost assistance has been committed to assist more than 335 homebuyers through Florida Housing Finance Corporation’s (Florida Housing) new homeownership programs in the following Hurricane Michael impacted counties: Bay, Calhoun, Franklin, Gadsden, Gulf, Holmes, Jackson, Liberty, Taylor, Wakulla and Washington. These homebuyers also received over $50 million in first mortgage financing through Florida Housing’s Homebuyer Loan Program. Launched in early June, Florida Housing made the funding available to assist impacted counties and the victims who were displaced or impacted by the storm.
The Hurricane Michael Recovery Loan Program offered below market 30-year fixed rate first mortgages coupled with up to $15,000 in down payment (DPA) and closing cost assistance for qualified homebuyers. DPA loans were at zero percent interest, non-amortizing and forgivable at 20 percent per year over five years. The DPA loan is fully forgivable if an active duty serviceperson is officially reassigned and must sell the home. Also, those eligible did NOT have to be a first-time homebuyer to qualify for this program, though the home must be owner-occupied.
Governor Ron DeSantis said, “I’m pleased with the work of the Florida Housing Finance Corporation to help the people of Northwest Florida get back on their feet following the wrath of Hurricane Michael. Many homes were destroyed, and it is reassuring that these funds were distributed so quickly so that Floridians can stay connected to their communities. We will continue to utilize all available resources to ensure these areas fully recover.”
Florida Housing Executive Director Trey Price said, “Florida Housing saw a tremendous opportunity to inject millions of dollars of our own funding into the Panhandle single-family market, which saw thousands of homes heavily damaged. We heard local concerns that people would leave the area entirely and wanted to offer an incentive to stay and be a part of the rebuilding effort. We were excited to see the response – originating ten times the number of loans in under four months as we had in all of 2018.”
The Hurricane Michael Recovery Loan Programs that were available are the following:
- Hurricane Michael Florida First: a 30-year, fixed rate first mortgage;
- Hurricane Michael Florida Military Heroes: a 30-year, fixed rate mortgage designed to help both veterans and active duty military personnel;
- Hurricane Michael HFA Preferred Conventional Loan Program: a 30-year, fixed rate first mortgage; and
- Hurricane Michael HFA Advantage Loan Program: a 30-year, fixed rate first mortgage.
Additional information can be found on our website at www.floridahousing.org.