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Hometown Heroes Loan Program - Learn How to Get up to a $35,000 Grant in Volusia County, Florida

Homeownership is one of the most important and exciting steps in building your future and achieving your financial goals. However, achieving this goal can be challenging if you don't have enough money saved up for a down payment and closing costs or sufficient credit to get approved for a loan.

Fortunately, the Hometown Heroes Loan Program allows eligible full-time community workforce, employed by a Florida-based employer to access grants of up to $35,000 to help make homeownership possible.

If you're looking to buy a home in Volusia County, Florida, but you can't afford the total cost, the Hometown Heroes Loan Program may be able to help.

This program will provide you with the home financing assistance you need in grant funding through participating lenders.

This article will walk you through everything you need to know about this program, including income limits for the county listed, program requirements, and more. Read on to learn more.

Hometown Heroes Loan Program Requirements

Let's look at what you'll need to do to qualify for this loan program! The qualifications differ depending on how much money you want to borrow, and other factors depending on the lender.

Before applying, it's essential to be aware of these program requirements to help you meet them as closely as possible.

Income Limit Requirements

A household income limit of $128,250 is considered within a reasonable range to qualify for a Hometown Heroes Loan Program in Volusia County, Florida. If your family's income falls within that amount, you may qualify for a mortgage loan.

Suppose you have additional debt and/or assets (such as retirement accounts). In that case, these amounts will be subtracted from your total household income before being compared against the program's maximum annual income limits.

It's important to note that you must prove your income when applying for a home loan. If you don't have enough documentation or proof of your annual salary, you may be denied even if you meet other eligibility requirements.

If you want to qualify for a mortgage with the Hometown Heroes Loan Program in Volusia County, your income cannot exceed the maximum income limit requirements in the area. The income limits are based on Area Median Income (AMI) percentage.

A Household is defined as all persons who occupy a housing unit and share living expenses such as food and utilities. Household income includes gross income from all sources plus any money received by other persons on behalf of your household members.

Gross income includes all wages, salaries, tips, commissions, and taxable interest on your IRS Form 1040 or W-2.

Maximum Loan Limits

If you're looking to take out a home loan in Volusia County, Florida, you have many home loan options at your disposal.

Each home loan comes with different benefits and requirements based on the loan program you choose, and the maximum amount you can borrow will depend on your down payment, credit score, your home's appraised value, and the involved lender.

A typical program participant can expect to receive a loan of up to 80% of their home's appraised value.

However, some lenders may offer larger loans at higher interest rates. So it's essential to talk with a mortgage broker or a HUD-approved housing counselor to determine what options are available through different lenders and how they affect your monthly payment.

However, below are the existing hometown heroes loan limits under the government-backed and non-government-backed lenders, including Veteran Affairs (VA), FHA, USDA-RD, HFA Preferred, and HFA Advantage.

Hometown Heroes Loan Limits for FHA & USDA-RD

The eligible loan amounts offered by the Federal Housing Administration (FHA) is $472,030.  USDA-RD does not have a Cap on Loan Limit.

Hometown Heroes Loan Limits for VA, HFA Preferred, and HFA Advantage

Hometown Heroes Loan Limits for Veteran Affairs (VA), Housing Finance Agency (HFA) Preferred, and HFA Advantage in Volusia County, Florida, are $726,200.

Higher loan amounts mean you can purchase the home of your dreams even if it's located in a highly-priced area.

Eligible Borrowers for Hometown Heroes Loan Program

The hometown heroes loan program provides eligible community workforce with competitively low-interest rates on loans to help them buy a home or refinance an existing mortgage in Volusia County, Florida.

Borrowers can receive up to 5% of the first mortgage loan amount (maximum of $35,000) in down payment and closing cost assistance. 

Down payment and closing cost assistance is available in the form of a 0%, non-amortizing, 30-year deferred second mortgage.

If a borrower is employed full-time (must document 35+ hrs. per week) by a business located in Florida, meets program requirements, and can credit qualify for a mortgage, many more First Time Homebuyers should be able to qualify for this program.

  • Borrower(s) must be employed full-time by a Florida-based employer and work 35 or more hours per week.

  • The property the borrower(s) is purchasing will be their primary residence and they will be a Florida resident.

  • The borrower(s) are first-time homebuyers which means, a borrower(s) must have had no present ownership Interest in a principal residence at any time during the three-year period prior to the date on which the Mortgage Loan is executed.

  • All Borrowers must have a minimum FICO of 640 and maximum DTI of 50%.

There will no longer be an occupational requirement.

Florida Tax Exemption Benefits

One of the top benefits of using the Hometown Heroes Program is tax exemption, saving you thousands of dollars.

Under Section 420.513(1) of the Florida Statutes, this program provides an exemption from documentary stamp tax and intangible tax for first and second mortgages and notes used to secure loans for housing financed through Florida Housing's Homebuyer Programs.

This means that when you purchase a home through these programs, you won't have to pay the documentary stamp tax and intangible tax on your mortgage, saving you a substantial amount of money.

The Florida documentary stamp tax is a real estate transfer tax levied at a rate of $0.70 per $100 paid for the property in most counties, except Miami Dade, where it is $0.60 per $100.

With the Hometown Heroes Program, you can exclude this tax when you meet the program's criteria. Additionally, the Florida intangible tax, which is calculated at 2 mills per dollar of the note's just value secured by the mortgage, is also exempted.

For each $100,000 of your home purchase price, this exemption can potentially save you approximately $2,000 in documentary stamp tax and intangible tax.

Beachgoers on Daytona Beach in Florida

Crucial Things You Need to Know About Volusia County, Florida

If you have recently moved to Volusia County, Florida, there are many things you need to know about the area before settling in and feeling at home.

Everything from the weather, exciting attractions, shopping, history, and community organizations can impact your day-to-day life in Volusia County. So it's essential to research what will be best for you and your family.

To help with that process, here are some of the top five things you need to know about Volusia County, Florida.

The Cost of Living

Volusia County has a lower cost of living than most areas in Florida, making affordability one of its most significant selling points. Many of the amenities in the county are reasonably priced and within reach of anyone with a decent-paying job.

It's easy to rent an apartment in a lovely part of town, dine out at a good restaurant, and buy what you need without breaking your budget.

The average cost of a home in Volusia County is $196,369. That's lower than many other places on Florida's east coast but a little higher than some people can afford.

Fortunately, as a resident, you have access to multiple home financing options and grants to help you afford the home of your dreams.

With homeownership made more accessible, it's no wonder why more and more people are flocking to Volusia County every year.

Best Areas to Purchase a Home

If you're looking for an affordable area to purchase a home, many great options are available for a first-time home buyer in Volusia County.

Some of the top picks include but aren't limited to Deltona, DeLand, Port Orange, DeBary, Ponce Inlet, Ormond Beach, South Daytona, Orange City, De Leon Springs, Holly Hill, and Lake Hellen.

These neighborhoods have seen considerable development over recent years and are now a perfect location for those looking for the best housing and proximity to Daytona Beach and other attractions.

If that's still too expensive and you don't mind moving further inland, other areas offer plenty of great house choices at lower price points.

Best Public and Private schools

If you have children, then one of your top concerns regarding relocating will be selecting a great school for them.

If you're moving to Volusia County, Florida, many options for schooling are available for your kids. Private schools are plenty in Ormond Beach and Port Orange.

The best public elementary school is Ormond Beach Elementary School, where most students from kindergarten through eighth grade attend classes.

Middle school students attend Roper Middle School, while high school students attend Spruce Creek High School.

Family Friendliness

The value of living in a community that cares about its children is priceless. The county boasts everything from community events and opportunities for kids to explore STEM programs.

If you're looking to raise a family, Volusia County is also an excellent choice because of its low crime rate, affordability, great healthcare system, and sound school system.

An hour away from Orlando's theme parks, Daytona Beach is a great family vacation spot with some of Florida's best beaches.

The city is home to more than 140 miles of shoreline, making it easy for kids and adults to find their perfect stretch of sand.

Other family-friendly activities include visiting Seabreeze Amusement Park or playing mini-golf at Wild Adventures Golf.

Benefits for Young Professionals

As a young professional, one of your biggest concerns is probably money: getting enough of it and keeping track of it.

Fortunately, there are a lot of resources available in Volusia to help with that. The county has a variety of programs aimed at helping young professionals and entrepreneurs. If you're a low-income resident in Volusia, you might qualify for some benefits.

This could include discounted or free health care coverage through Healthy Families Florida or Florida food stamps through SNAP—that can go a long way toward helping keep your finances on track.

Volusia County is a beautiful place for young professionals. It may be a little challenging to land your first professional job, but it will be easier to advance up career ladders in a less competitive market once you get one.

In addition, there are plenty of opportunities for young people who want to start their own business and gain experience running their own company. Whatever you choose to do, as long as you have passion and dedication, it's possible to succeed in any field.

Towns/Cities Eligible for Hometown Heroes Loan Program

Check out the following towns/cities in Volusia County, Florida that are eligible for the popular Hometown Heroes Loan Program.

  • New Smyrna Beach
  • De Leon Springs
  • Ormond Beach
  • Daytona Beach
  • Port Orange
  • Orange City
  • Cassadaga
  • Lake Helen
  • Barberville
  • Edgewater
  • Glenwood
  • Debary
  • Deland
  • Deltona
  • Oak Hill
  • Osteen
  • Pierson
  • Seville

Bottom Line

Are you in the process of purchasing your dream home? And are you having trouble coming up with enough cash to make it happen?

Hometown Heroes' loan program may be able to help. The Hometown Heroes loan program in Volusia County, Florida was created to help eligible community workers buy homes in the area by offering them up to $35,000 grants.

Don't miss out on this excellent opportunity to buy your dream home if you're eligible.

With over 50 years of mortgage industry experience, we are here to help you achieve the American dream of owning a home. We strive to provide the best education before, during, and after you buy a home. Our advice is based on experience with Phil Ganz and Team closing over One billion dollars and helping countless families.

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