How the Florida Hometown Heroes program works in 2026

Short answer

Florida Hometown Heroes gives eligible full-time workers up to 5% of the first mortgage amount, with a minimum of $10,000 and a maximum of $35,000, for down payment and closing costs, as a 0% interest, non-amortizing second mortgage with no monthly payment that is repaid when you sell, refinance, or move out. For 2026, Florida Housing limits eligibility to health care workers, school staff, first responders, public safety and court employees, child care workers, active military and Florida National Guard, and veterans, all employed full time by a Florida-based employer, buying a primary residence as first-time buyers (no ownership in the last three years) with a 640 minimum credit score. Income and loan limits are set per county.

What you get

Hometown Heroes is run by the Florida Housing Finance Corporation. As of October 2026 the assistance is:

• 5% of the total first mortgage amount, minimum $10,000, maximum $35,000.
• Delivered as a second mortgage at 0% interest, non-amortizing, 30-year deferred term. No monthly payment.
• Not forgivable. The full balance is due when you sell, transfer the deed, refinance or pay off the first mortgage, or stop living in the home as your primary residence.
• Usable for down payment and closing costs. It cannot be used as a stand-alone assistance loan; it must pair with a Hometown Heroes first mortgage.

The first mortgage is an FHA, VA, USDA-RD, or conventional (Freddie Mac HFA Advantage or Fannie Mae HFA Preferred) loan made by a Florida Housing-approved lender, with no origination or discount points charged by the program. Rates are set by Florida Housing daily and vary; call for today's pricing.

Example: on a $400,000 FHA loan, 5% is $20,000. With FHA's 3.5% down payment of about $14,500 on a $414,500 home, the assistance covers the down payment and leaves about $5,500 toward closing costs.

Who is eligible in 2026

Florida Housing narrowed the program for 2026. The borrower must:

• Work full time for a Florida-based employer in one of these groups: health care workers; school staff; first responders; public safety or court employees; child care workers; servicemembers in the U.S. military or reserves, Coast Guard, or Florida National Guard; or veterans employed full time by a Florida-based employer. Florida Housing publishes the eligible occupations list (revised July 13, 2026).
• Be a first-time homebuyer: neither you nor your spouse may have owned a principal residence in the three years before closing. Veterans and buyers in federally designated targeted areas are exempt from this rule.
• Buy a primary residence in the community where you work or serve.
• Have a credit score of 640 or higher (660 for manual underwrites).
• Keep debt-to-income at or under 50% with an automated approval (43% manual, 45% for manufactured homes).
• Complete a Florida Housing-approved homebuyer education course before closing (certificates valid two years). Veterans and active-duty, Reserve, or Guard members are exempt unless using the conventional HFA options.
• Fall under the county income limit and county loan limit in Florida Housing's 2026 limits table.

Income and loan limits for Miami-Dade and Broward

Limits are set by county and by loan type, and Florida Housing revises them during the year. The 2026 table (revised July 13, 2026, effective with reservations as of May 6, 2026) is published on Florida Housing's Hometown Heroes page and is the only figure that counts for your file.

For scale, when the program reopened on August 18, 2025, the household income limits reported for the 2025 program year were $185,850 in Miami-Dade and $172,950 in Broward (NBC 6, August 2025). The 2026 figures are county-specific and may differ, so we confirm them against the current table the day we reserve your funds.

The loan limit caps the first mortgage, not the price. Buyers in Miami-Dade often pair Hometown Heroes with FHA, whose 2026 loan limit here is $667,000, but the program's own county loan limit can be lower, and the lower one controls.

Income is counted the Florida Housing way, which can differ from how your lender qualifies you. We run both.

How the process works

1. Pre-qualify with a participating lender. Hometown Heroes can only be originated by lenders approved by Florida Housing. We confirm your occupation, employer, first-time buyer status, credit, and county limits.

2. Homebuyer education. Complete the approved course early; it takes a few hours online.

3. Go under contract. Funds are reserved once you have an executed purchase contract, in the order reservations come in. Funding is limited each year, and the 2025 round was reported at $50 million, so timing matters.

4. Underwriting. The first mortgage is underwritten to FHA, VA, USDA, or conventional rules plus Florida Housing's overlays (640 score, DTI caps, income limits).

5. Closing. You sign a first mortgage and a second mortgage. The second has no payment. Keep the note; you repay it when you sell or refinance.

There is no fee to apply for the assistance itself. Florida Housing warns that anyone charging an upfront fee for Hometown Heroes should be reported to its Inspector General.

Is Hometown Heroes the right fit?

The assistance is real money, but it is a loan, and the first mortgage rate is set by Florida Housing rather than shopped across lenders. For some buyers, a conventional 3% down loan with a seller credit, or an FHA loan with a gift, ends up cheaper over the years you plan to stay. The trade-off depends on how long you will keep the home, the rate difference that day, and whether you have other sources for the down payment.

Also know that when you refinance the first mortgage, the second comes due. If you expect to refinance within a few years, factor the $10,000 to $35,000 payoff into that plan. Our refinance break-even guide covers the math.

We are a Florida Housing-participating broker and we quote Hometown Heroes next to FHA, VA, and conventional options on the same day so you can see the real difference. Call 305-425-1990 or see FHA loans and purchase.

QMS Lending is an independent mortgage broker in Doral, FL (NMLS #1781090), founded in 2018, with access to 100+ lenders. All loans are subject to credit approval and program guidelines. Rates vary daily; call 305-425-1990 for today's pricing. Equal Housing Opportunity.