A Clear Guide to Florida Housing Finance Authority Programs
Down payment assistance is one of the most misunderstood tools in Florida home financing. Buyers often hear phrases like “free money” or “no down payment needed” and assume it’s simple. The reality? Florida Housing programs are powerful—but only when used correctly.
The Florida Housing Finance Authority (commonly referred to as Florida Housing) offers several statewide programs designed to help eligible buyers achieve homeownership responsibly. These programs are not giveaways. They are structured, regulated, and best used with a clear strategy.
Let’s break down the primary programs available, how they work, and who they are actually designed to help.
Understanding Florida Housing at a High Level
Florida Housing programs are first-mortgage–based assistance programs. That means:
You must use a Florida Housing–approved first mortgage
Assistance comes in the form of second mortgages or forgivable loans
Income limits and purchase price caps apply
Buyers must complete a homebuyer education course
These programs are most commonly paired with:
Conventional (HFA Preferred / HFA Advantage)
FHA
VA
USDA loans
The assistance is not automatic—it’s layered strategically.
1. Florida Assist (FL Assist)
What It Is:
Florida Assist provides up to $10,000 in down payment and closing cost assistance.
How It Works:
0% interest
Deferred payments
Repayable when the home is sold, refinanced, or paid off
Key Characteristics:
No monthly payment
Simple structure
Must be used with a Florida Housing first mortgage
Best For:
Buyers who need help covering upfront costs but expect to build equity and possibly refinance later.
Important Consideration:
Because it must be repaid upon refinance, this program is not ideal for buyers who expect to refinance quickly.
2. Florida Homeownership Loan Program – Second Mortgage (FL HLP)
What It Is:
Provides up to $10,000 as a second mortgage with fixed payments.
How It Works:
3% interest rate
Fully amortizing
Monthly payment required
Key Characteristics:
Predictable repayment
Lower upfront cost burden
Must qualify with the additional payment included in DTI
Best For:
Buyers with stable income who can comfortably manage a small additional monthly payment.
Straight Talk:
This program offers flexibility, but the extra payment reduces purchasing power slightly.
3. Forgivable Second Mortgage (FL HLP Forgivable)
What It Is:
Up to $10,000 in assistance that is forgiven over time.
How It Works:
Forgiven at 20% per year
Fully forgiven after 5 years
No payments during the forgiveness period
Key Characteristics:
Ideal for long-term homeowners
Strict occupancy requirements
Best For:
First-time buyers planning to stay in the home at least five years.
Reality Check:
Sell or refinance early, and the remaining balance becomes due.
4. HFA Preferred (Conventional) & HFA Advantage
What They Are:
Florida Housing’s conventional loan options with reduced mortgage insurance.
Key Benefits:
Lower MI than standard conventional loans
Down payment as low as 3%
Can be paired with assistance programs
Best For:
Buyers with good credit who want conventional financing but need help with upfront costs.
5. FHA, VA, and USDA Pairings
Florida Housing assistance can also be paired with:
FHA loans (popular for lower credit scores)
VA loans (for eligible veterans)
USDA loans (rural areas only)
Each pairing has different caps and qualification nuances.
Key Eligibility Rules Buyers Must Understand
Across all Florida Housing programs:
Income limits apply (vary by county and household size)
Purchase price limits apply
Primary residence only
Homebuyer education required
These programs are designed for responsible, owner-occupied homeownership, not stretching beyond comfort.
The Truth Most Buyers Aren’t Told
Down payment assistance:
Often comes with slightly higher interest rates
Can limit refinancing flexibility
Requires careful planning
Used correctly, it’s a bridge. Used incorrectly, it becomes a bottleneck.
That’s why guidance matters.
How I Help Buyers Decide if Florida Housing Is the Right Fit
At the Marzinke Lending Team, we don’t default to assistance programs—we analyze them.
We look at:
Long-term ownership plans
Payment comfort
Refinance likelihood
Overall financial picture
Sometimes Florida Housing is the perfect solution. Sometimes it’s not—and saying “no” is just as valuable as saying “yes.”
Final Word from Dave
Down payment assistance isn’t about getting you into a home at any cost.
It’s about getting you into the right home, with a sustainable plan, and clear expectations.
If you’re considering buying in Collier or Lee County and want to understand whether Florida Housing programs make sense for you, a clear strategy conversation now can prevent frustration later.