The city of Miami maintains an active program for residents to acquire a home for the first time.
On the official website of such entity, you can find all the information on the matter broken down by steps that go from the eligibility criteria, to the maximum value that the city can lend to acquire a property.
The City’s First Time Homebuyer Program offers zero percent (0%) deferred loans to first-time homebuyers in the City of Miami, if they qualify based on their income category.
As a fundamental detail, the applicant for this program must reside in the purchased unit at all times. The term of the loan must be 30 years and if the owner sells and/or transfers the house before the term of the City mortgage is up, he is able to take a number of actions to protect his interest.
Steps (better informed on the city page)
Step 1. Check eligibility
Eligible Properties: Single Family Residences; townhouses, condominiums
The property must be located in the City of Miami;
Property must meet HUD housing quality standards
Eligible Buyers: Must not have owned a home in the last 3 years;
Family income less than or equal to 80% of the area median income adjusted for family size.
You must be able to afford a monthly payment based on income and debt.
Must provide at least $500 of personal funds for down payment/closing costs.
Maximum Home Sales Price: Not to exceed $352,000 for existing homes and new construction homes.
Step 2. Pickup Request
Pick up an application for the First Time Homebuyer Program at the Department of Housing and Community Development or at any of the City’s Neighborhood Improvement Team (NET) locations.
Step 3.Gather Documents
Gather all the necessary documents. You are responsible for the documents the applicant must provide, while the lender is responsible for their part of the checklist.
Step 4.Attend the workshop
Attend a homebuyer counseling workshop with one of our approved agencies.
Step 5. Contact the lender
Contact a participating lender to obtain a loan commitment and be prequalified for a mortgage loan, subject to the City’s down payment amount.
Step 6.Identify the property you want to buy
Search for a home in the City of Miami based on your pre-approved loan amount and within the maximum sales price limit (for existing homes and new construction homes: $352,000).
TIP: Make sure the property is within the city limits. Do a property search in Dade County. After entering the address, check the folio number and make sure it starts with the number “01”. If the property you want is not in the City of Miami, you will not get a loan.
Step 7. Secure Mortgage Commitment
Once you have confirmed a lender (see above), you will need to provide them with a full mortgage commitment.
Step 8. Send documents
Once you have completed your First Time Homebuyer Program application, and have gathered all of your documents (above), you will need to submit them to your lender.
Your lender will then submit all of your documents (as well as any required documents) as a loan package to the City.