Overview
Florida's median home price sits near $400,000 after several years of rapid appreciation, and the state's lack of an income tax keeps more of each paycheck available for a mortgage — a real advantage for first-time buyers. The trade-off is on the carrying-cost side: property insurance in Florida is among the most expensive in the country thanks to hurricane risk, and it can rival or even exceed the property tax bill. The Florida Housing Finance Corporation (FHFC) administers the state's main assistance programs, all of which pair down payment help with a fixed-rate first mortgage.
For most first-time buyers the headline option is the Florida Hometown Heroes Housing Program, which provides up to 5% of the loan amount (capped at $35,000) as a zero-interest, non-amortizing second mortgage with no monthly payment — you repay it only when you sell, refinance, or pay off the first mortgage. Despite the name, eligibility now reaches more than 50 occupations, from teachers and nurses to many full-time Florida workers, provided household income stays under 150% of the area median. Buyers who don't qualify for Hometown Heroes can use the Florida Assist Second Mortgage, which offers up to $10,000 on the same deferred, 0%-interest terms.
State Programs
Florida Hometown Heroes Housing Program
Deferred down payment and closing cost assistanceFlorida Assist Second Mortgage
Down payment and closing cost assistanceSalary Connect (HFA Preferred)
Forgivable down payment assistanceFederal Programs Available in Florida
These nationwide programs can be combined with Florida state assistance for maximum benefit.
FHA Loan Program
Low down payment mortgageVA Home Loan
Zero down payment mortgageUSDA Rural Development Loan
Zero down payment mortgageTips for First-Time Buyers in Florida
The Salary Connect (HFA Preferred) option adds up to 5% of the first mortgage as a forgivable second, useful for buyers who want help that disappears over time rather than a deferred balance due at sale. Beyond the state programs, most Florida counties run a State Housing Initiatives Partnership (SHIP) fund — locally administered dollars that can stack with FHFC assistance and vary widely by county in both amount and rules. Because SHIP money is limited and typically first-come, first-served, it's worth contacting your county housing office early in the process.
Budgeting in Florida is less about income tax — there isn't one — and more about insurance and property tax. Effective property taxes average a moderate 0.91% of value, but homeowners insurance has climbed steeply, and policies in coastal counties can run several thousand dollars a year, with separate windstorm and flood coverage often required by lenders. Before you commit to a price range, get an insurance quote for the specific home, not a statewide average, and confirm whether it sits in a FEMA flood zone. Florida's homestead exemption can shave up to $50,000 off your assessed value, and the Save Our Homes provision caps annual assessment increases on a primary residence at 3%.
Florida's metros and military communities add another layer of options. Counties around Miami, Orlando, Tampa, and Jacksonville administer their own SHIP-funded assistance, and veterans or active-duty buyers near NAS Jacksonville, MacDill Air Force Base, Eglin, or NAS Pensacola should compare a zero-down VA loan with the state programs. A HUD-approved housing counselor can help you sequence the application — many of these programs require the same homebuyer education course, so completing it early keeps every door open.
Frequently Asked Questions
For educational purposes only -- not financial or tax advice. Program details, eligibility requirements, and benefit amounts are subject to change. Verify all information directly with the administering agency before applying. Last verified: June 15, 2026.