67-57.060. Eligible Homebuyer Requirements

(1) In order to receive a HOP Loan under the HOP program, the Eligible Homebuyer must:

(a) Have an Adjusted Income that does not exceed eighty percent (80%) AMI;

(b) Qualify as an Eligible Homebuyer at the time of the execution of the purchase contract;

(c) Occupy the Unit as their principal residence;

(d) Provide a minimum down payment of $500, except when participating in a Self-Help program;

(e) Not have Personal Assets in excess of $30,000 and Retirement Assets in excess of $100,000, excluding equity contributions toward the Unit;

(f) Completed pre-purchase homebuyer education course, which includes face-to-face homebuyer education if provided by a HUD-approved counseling agency, a unit of local government that provides pre-purchase homebuyer education in Florida, or a counseling agency designated by a unit of local government to provide homebuyer education on their behalf.  Online courses are permitted if provided by a HUD-approved agency, a unit of local government that provides pre-purchase homebuyer education in Florida, a mortgage insurance provider, or an Agency or GSE sponsored course. Certificates of Completion are acceptable for 2 years from the date of completion; and,

(g) Comply with the HOP Homebuyer Underwriting Guidelines (4/1/19), which are adopted and incorporated herein by reference and available at https://www.floridahousing.org/programs/homebuyer-loan-program-wizards/homeownership-pool-(hop)-program/related-references-and-links or from https://www.flrules.org/Gateway/reference.asp?No=Ref-10688.

(2) The Eligible Homebuyer must maintain the following types of insurance, naming the Corporation as an additional insured:

(a) Replacement cost hazard insurance;

(b) Title insurance in the amount of the HOP Loan; and,

(c) Flood insurance if the Unit is located within the 100-Year Floodplain.

(3) Repayment of principal on the HOP Loan shall be deferred until maturity or if the homebuyer sells, transfers or disposes of the Unit either voluntarily or involuntarily, or ceases to occupy the Unit as a principal residence pursuant to 24 CFR §92.254(4) or section 420.5088, F.S.

(4) The Corporation will consider resubordinating its HOP Loan to a First Mortgage loan when a refinancing occurs. In making a determination, the Corporation will review the following terms of the new transaction: loan type, term of the loan, fixed interest rate percentage, principal balance of the loan, reason for the request and whether or not the terms of the new loan are beneficial to the homebuyer.

(a) The homebuyer is subject to the following:

1. The homebuyer must have resided in the property for at least one year,

2. No additional debt can be refinanced into the new First Mortgage, with the exception of Unit repairs or improvements which require that these funds be escrowed, and

3. The homebuyer cannot receive any cash out as a result of the refinancing.

Rulemaking Authority 420.507(12), (14) FS. Law Implemented 420.507(23), 420.5088, 420.5089(2) FS. History–New 6-26-06, Amended 10-14-07, 6-17-08, 7-2-19.