City of Clearwater Purchase Assistance Program

Special Alert

Maximum Purchase Price


Contact Info:

https://www.myclearwater.com/Business-Development/Affordable-Housing-for-Developers-and-Public-Service-Providers 100 S. Myrtle Ave, Clearwater, FL 33756 727-562-4870


Credit Score Requirements

Based on 1st mortgage requirements. NOTE: The City or its designee will require a copy of the lender’s credit report. A standard, factual report from all three repositories is acceptable. (The City or its designee will not pull another credit report if one has already been obtained by the lender. We do not want to affect the borrower’s credit score by having too many reports obtained). If the credit is approved and accepted by the first mortgage lender, the City will also accept the credit.

Deferred Payments?

— / 105% HOME funds can be layered with other Down Payment Assistance Programs; however, the loan to value may not exceed 105%.

Accepted First Mortgage Type:

Freddie Mac, Freddie Mac HFA Advantage, Freddie Mac Home Possible, Fannie Mae, Fannie Mae HFA Preferred, Fannie Mae HomeReady, FHA 203(b), VA, USDA / RD

Homeowners Education Class:


Is Forgivable?

Funds will be awarded as a 50% amortized loan and 50% deferred loan, secured by a recorded subordinate mortgage and note. 50% of the loan is deferred for the loan term and forgiven at maturity, if no event of default exists. The 50% amortized loan portion will be deferred for five (5) years, with monthly payments commencing at the end of the deferral period. The loan will be amortized for a period of 20 years (240 months). The maximum monthly payment is $93.75. These loans will allow for prepayment in full, or in part, at any time, without penalty. Down Payment Assistance (DPA) loans are interest-free.


Clearwater The property must be located within the city limits of Clearwater (which are properties that have a tax code of CW, CWD or CWDO on the Pinellas County Property Appraiser website).

Income Limitations:

Yes, based on Compliance Income (including household income) Income limits from HUD 2022 80% AMI guidelines Assistance is available to households whose maximum income is at or below 80% of Area Median Income (AMI). All household income of persons 18 years and older, who will reside in the property, must be included. Income limits are published annually and are available from the local HUD office or on-line at http://www.huduser.org.

Maximum Assistance

$45,000 The maximum assistance that a borrower can obtain from the City’s Purchase Assistance program is not to exceed $45,000 for existing and newly built homes.

Education Requirements Info:

Borrowers must have completed at least eight (8) hours of education through a HUD-approved housing counseling agency prior to receiving assistance. Below is a list of HUD-approved agencies that are currently contracted through the City of Clearwater.  Bright Community Trust  2561 Nursery Road, Suite D  Clearwater, FL 33764  Phone: (727) 475-1365  Website: https://www.thebrightway.org/  Clearwater Neighborhood Housing Services  608 N. Garden Ave.  Clearwater, FL 33755  Phone: (727) 442-4155  Suncoast Housing Connections (FKA – Tampa Bay Community Development Corp.)  Down Payment Assistance, & Homeowner Education Classes  2139 NE Coachman Road  Clearwater, Florida 33758  (727) 442-7075 For a list all HUD-approved agencies visit: https://hudgov-answers.force.com/housingcounseling/s/

Eligible Property Types:

Single Family Detached Condo Townhome/PUD

Income By Household Size:

HH1HH2HH3HH4HH5HH6HH7HH8 $46,000$52,600$59,150$65,700$71,000$76,250$81,500$86,750 *Income limits as of 05/26/2023

Qualifying Ratios:

Housing Ratio: At Least 20% Total DTI: Up To 51% Ratios will be based on total monthly household income. The Principal, Interest, Taxes and Insurance (PITI)/Housing Ratio must never be less than 20 percent. If the Principal, Interest, Taxes and Insurance (PITI) ratio is below 20 percent, the borrower is not eligible to receive any assistance from the City. The City of Clearwater only calculates a debt ratio, and it should not exceed 51 percent (based on monthly household income as determined by the City or its designee). With compensating factors, this ratio can be slightly increased, but all exceptions must be approved by the City of Clearwater housing assistant director prior to issuance of an approval letter.
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