Florida's $8K program , don't confuse it with Uncle Sam's

By
Real Estate Agent with The Keyes Company 3195704

That is right we have two 8K programs out there, and we need to know how they differ and not confuse them. The Federal Government has offered the First Time Home Buyer a tax credit off their federal tax return, even if you don't owe taxes you will still get the up to $8K back.  This offer was to stimulate the housing market. The problem was that a large percent of first time home buyers did not have the money for a down payment. They could only apply after the closing, but with out the down payment the closing would never happen.

The State of Florida Legislature created the Florida Home buyers Opportunity Program (FLHOP) to loan the same amount that the Federal Government was giving homeowner in there program, it basically a bridge loan due when the homeowner gets his tax return. So the first difference is that one is a credit the other is a loan that must be paid back.

I need to mention that one other program is available to get you down payment through Federal Housing Administration (FHA).  They have a bridge loan program also but you need to still come up with 3.5% for a down payment and will also pay back when you get your refund back.

Florida's program FLHOP was suppose to be up and running July 1, 2009, but funding issues are delaying the program until Aug it looks like. So no need to rush to you Local Housing Administrator to apply for FLHOP, but you can call them and see what the process is to get the loan. Below is a link to find your local administrator.  http://apps.floridahousing.org/StandAlone/FHFC_ECM/AppPage_SHIPLGContacts.aspx 

It is a good idea to promote this program since once the money is paid back to the local governments, if can be kept in the and used in the local economy.  So the money will serve more then one purpose in your community and that is a very good reason to spread the word.

All of the programs offer only 10% of the purchase price so if you are not buying a home for $80,000 or more you will not get the full $8K that is offered. As for the Federal Program you will need to fill out IRS Form 5404 and turn it in with you tax return. You can down load the form from this link.  www.irs.gov/pub/irs-pdf/f5404.pdf

If you have any questions fell free drop you question in this form and I try and find you an answer as soon as possible. http://www.chucksellsmiami.com/contact.html 

C. "Chuck" Mixon, Keyes Compay

Cutler Bay and Palmetto Bay, FL

Comments (0)