First-Time Home Buyer Programs in Florida and Miami-Dade: what you qualify for

Start with the payment, not the price

The number that matters is not the list price. It is what leaves your account every month once the home is yours. In Miami-Dade that figure has more parts than most first-time buyers expect.

• Principal and interest. The mortgage itself. Our mortgage calculator shows how rate and term move it.
• Property taxes. Florida reassesses when a home sells, so the seller’s tax bill is not your tax bill. Budget from your own purchase price. If the home becomes your permanent residence, the homestead exemption removes $25,000 of assessed value from all taxes and up to an additional $25,000 from non-school taxes, and the Save Our Homes cap then limits annual assessment increases to 3 percent or the rate of inflation, whichever is lower. Applications are due by March 1.
• Homeowners insurance. Wind coverage is a real line item on the coast, and the age of the roof drives the quote.
• Flood insurance. In a FEMA Special Flood Hazard Area, the area with at least a 1 percent annual chance of flooding, flood insurance is a condition of any federally backed mortgage under the Flood Disaster Protection Act of 1973. Outside those zones it is usually optional.
• HOA or condo fees. Monthly dues plus any special assessment already approved. Ask for the budget and the reserve study before you fall in love with the view.

Get pre-approved, and know what the letter means

The Consumer Financial Protection Bureau is blunt about it: lenders use “prequalification” and “preapproval” differently. Some issue a letter from unverified information you type in; others verify first. Either way, the letter says the lender is generally willing to lend up to a certain amount based on certain assumptions. It is not a guaranteed loan.

Ask for the verified version. Expect the lender to pull credit and request pay stubs, W-2s or tax returns, bank statements and identification. In a market where many sellers see cash offers, a verified letter is what makes a financed buyer credible.

Two loan facts worth knowing early:

• HUD states an FHA-insured loan allows a down payment as low as 3.5 percent of the purchase price. FHA’s handbook makes that maximum financing available to borrowers with a decision credit score at or above 580; between 500 and 579 the loan is limited to 90 percent of value.
• Florida Housing and Miami-Dade County run assistance programs that can cover part of the down payment or closing costs. They have income limits, education requirements and stacking rules; our down payment assistance guide walks through them.

Sign a written buyer agreement before you tour

Since August 2024, MLS policy requires an agent who is working with you, identifying properties or arranging showings, to have a written buyer agreement in place before touring a home. Touring includes walking through in person and a live video tour by the agent. Attending an open house hosted by the seller’s agent does not trigger it.

The agreement must state compensation as a specific, objectively ascertainable amount. It cannot say “whatever the seller offers” or a range. Duration, area, exclusivity and how you can end it are all negotiable.

Florida law adds its own layer. Under the statute, every licensee is presumed to be a transaction broker unless a single-agent or no-brokerage relationship is established in writing. A single agent owes you loyalty and confidentiality; a transaction broker owes limited confidentiality and fair dealing. Know which one you are signing.

Tour with a checklist

Every showing is a chance to collect facts, not just impressions. Bring the same short list to every property.

For any home

• Flood zone. Look up the address in our Flood Zone tool before the showing. Zone X is minimal or moderate risk; A, AE, V and VE are the high-risk zones where a federally backed loan requires coverage.
• Roof age and type. Ask for the permit or the last replacement date. Insurers ask the same question.
• Electrical, plumbing and water intrusion. Note the panel, the water heater and any staining on ceilings or baseboards.
• Permits and open violations. Unpermitted additions become your problem after closing.

For condos and co-ops

• Milestone inspection. Florida law requires a structural inspection by a licensed architect or engineer for condominium and cooperative buildings three habitable stories or taller once they reach 30 years from their certificate of occupancy, or 25 years where the local authority requires it, and every 10 years after that. Ask for the phase-one report.
• Miami-Dade recertification. The County’s own program now runs on the same clock: 30 years for most buildings, 25 for those within three miles of the coast, then every 10 years. Single-family homes and duplexes are exempt. You can search the County’s recertification portal by folio.
• Budget, reserves and assessments. A pending assessment changes the payment as surely as the interest rate does.

The AS IS contract and the inspection period

Most Miami-Dade offers are written on the Florida Realtors / Florida Bar “AS IS” Residential Contract. AS IS does not mean you buy blind. It means the seller has no contractual obligation to make repairs, and in exchange you get a strong right to walk away.

• Inspection Period. The contract gives you a number of days after the Effective Date to inspect. If the blank is left empty, it is 15 days. During that window you may terminate in your sole discretion by written notice and the deposit is returned. Miss the deadline and you accept the property’s condition.
• Deposits. The initial deposit goes to the escrow agent on signing or within 3 days if that box is checked; any additional deposit is due within 10 days if the blank is empty.
• Financing. If you check the financing contingency, you must apply within 5 days and obtain loan approval within the Loan Approval Period, 30 days if left blank. If approval does not come, you can cancel in writing before the period ends and recover the deposit.

Use the inspection period well. Hire a licensed inspector, order a wind mitigation report and a four-point if the insurer wants one, and get quotes for anything material. What you find becomes a credit, a price reduction or a reason to leave.

Appraisal and final loan approval

Once the lender orders the appraisal, three outcomes are possible: the value supports the price, the value comes in short, or the lender asks for repairs. The contract defines loan approval as approval of the loan plus an appraisal satisfactory to the lender, so a low appraisal is a financing issue you can act on inside the Loan Approval Period. Options include a price reduction, covering the gap in cash, or terminating before the deadline.

Between contract and closing, keep your file boring. Do not change jobs, open credit, move large sums between accounts or make big purchases. Underwriters recheck everything right before funding.

Closing costs and closing day

Under the standard contract the seller pays the documentary stamp tax on the deed and the buyer pays the taxes and recording fees on the note and mortgage, plus loan costs, appraisal, inspections, survey, the lender’s title policy and insurance. Who pays the owner’s title policy is a checkbox in the contract and follows local custom.

The Florida rate on notes and mortgages is 35 cents per $100. On deeds it is 70 cents per $100 statewide; Miami-Dade charges 60 cents per $100 plus a 45-cent surtax that does not apply to single-family dwellings. Our closing costs calculator puts these into one estimate.

At closing you review the disclosure, wire the balance, sign the note and mortgage, and receive the keys once the deed is recorded. Then one more deadline: file your homestead application with the Property Appraiser by March 1 so the exemption and your own assessment cap start on the next tax roll.

This guide is general information about how purchases in Miami-Dade typically work, not legal or tax advice. Program rules and contract forms change; confirm the current version with your lender, closing agent or attorney.