Purchase Assistance for New Construction

Habitat for Humanity Home under construction

Loan funds are available to help homebuyers purchase a newly constructed home with down payment and closing costs assistance from the city of Clearwater. The program is available to income eligible households who meet program criteria and must be built by a qualified developer or builder who will construct the home through partnership with the city.

Assistance is provided in the form of a loan, 50% of which will be amortized over 20 years, payment on the other 50% will be deferred and forgiven at loan maturity, so long as no event of default exists. If the borrower defaults on any of the terms of the mortgage, the deferred amount will become due and payable. If the home is sold prior to the maturity date, the entire outstanding balance will be due to the city.

Payments will begin on the 50% amortized balance after a five-year deferral period. The property to be purchased must be the borrower’s principal residence and must be located within the city limits of Clearwater. For loans approved after July 1, 2024. The maximum sales price is $481,176 for both newly constructed and existing homes.

 

Online

Step 1.Check your eligibility

Borrowers/Participants must meet program income guidelines. When determining household income, all household members are counted, regardless of who is determined eligible/qualified for the first mortgage loan. All household income of people 18 years and older who will reside in the property must be included.

The borrower is not required to be a first-time home buyer to qualify for assistance, but they cannot own another property at the time of closing. Borrowers/Participants must provide documentation of their household income and assets along with other program requirements.

Homebuyers must contribute at least 1% of the sales/purchase price toward the closing from their own funds. Homebuyers must not have received assistance from the city of Clearwater in the past unless the assistance has been paid in full, a satisfaction of mortgage executed and recorded in public records or unless there is some form of hardship (divorce, permanent layoff, physical or mental disability, fire, flood or natural disaster or the death of a family member).

Homebuyers and residents must be U.S. citizens or permanent resident aliens.

Check Your Income Eligibility

Step 2.Check a property's eligibility

The property must be located within city of Clearwater incorporated limits. You can use the Pinellas County Property Appraiser tool to see if the home you’d like to buy is within city of Clearwater limits. The tax code of CW, CWD or CWDO will appear if your property is eligible.

Step 3.Contact a bank or mortgage lender

Contact a lender to prequalify for a first mortgage. 

Step 4.Contact a qualified developer

To benefit from the Purchase Assistance for New Construction Program, the home must be built by a qualified developer or builder who will construct the home through partnership with the city. However, if you are working with a developer or builder that is not on this list, your project may still qualify. Below is a list of qualified single-family home builders familiar with this program:

Habitat for Humanity of Pinellas and West Pasco Counties
14010 Roosevelt Blvd, Suite 704
Clearwater, FL 33762
Phone: (727) 536-4755
Hours: Monday – Friday, 9 a.m. to 5 p.m.

Tampa Bay Neighborhood Housing Services
608 North Garden Ave.
Clearwater, FL 33755
Phone: (727) 442-4155

Suncoast Housing Connections
2139 N.E. Coachman Road, Suite 1
Clearwater, FL 33765
Phone: (727) 442-7075 

Step 5.Complete a homebuyer education workshop

All borrowers must attend a Department of Housing and Urban (HUD)-certified Homebuyers Education Workshop.

Prior to entering the world of homeownership, completing a homebuyer education course is highly recommended, and depending on the type of assistance to be provided, it may be mandatory. If you are interested in exploring this type of opportunity, contact one of our partners that provides HUD-certified homebuyer education counseling.

Workshops are usually eight hours long and held over one or more sessions during a single weekend. At the end of the workshop, you will receive a certificate of completion. This certificate is good for two years. 

Below is a list of HUD-approved agencies that are currently contracted through the city of Clearwater:

For more information, contact Terry Malcolm-Smith, Housing Programs Administrator at (727) 444-7167.

Q: I (and/or my family) am homeless or at risk of becoming homeless. Where can I find help?

A: For assistance with people experiencing homelessness, call 211.

 

Q: I am being treated unfairly by my landlord (e.g. facing wrongful eviction, poor living conditions, etc.). Where can I find help? 

A: Contact Gulf Coast Legal Services. Depending on qualifications, they may be able to provide low-cost or free legal services. 

 

Q: Where can I find an affordable apartment to rent? 

A: For a full list of affordable housing options, visit the Affordable Housing Options page.

 

Q: I am pregnant (or a new mom) and need housing and other resources. Where can I find help? 

A: Click here for contact information for the Kimberly Home Pregnancy Resource Center. 

 

Q: How do I know if I qualify for assistance under the City’s programs? 

A: Most of the City’s funding is reserved for households with total household income at or below 80% of Area Median Income (AMI). A small portion of funding is available for households earning up to 120% AMI. Click here for current income limits.

 

Q: I am a homeowner in Clearwater and my home needs repairs. How can I find assistance?

A: Visit the Apply to the Homeowner Rehabilitation Loan Program page.

 

Q: I have a Clearwater address. How do I know if I live within the incorporated limits of Clearwater?

A: Your residence must be located in the CW, CWD, or CWDO Tax District. You can verify your tax district on the Pinellas County Property Appraiser’s website. Click here (Property Appraiser Search) and select “Search Our Database” then select “By Address” and enter your address. If you see a Tax District that is not CW, CWD, or CWDO you do not qualify for our programs.