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The City of Delray Beach has released an important update for first time homebuyers by announcing funding availability through the State Housing Initiatives Partnership (SHIP) Purchase Assistance Program. This program can make homeownership more accessible for buyers who meet the income requirements and are ready to purchase a primary residence within city limits. For many individuals and families who have been waiting for the right opportunity, this announcement may open the door to taking a significant step toward long term financial stability.
The SHIP Purchase Assistance Program offers up to 75,000 dollars in support for income eligible first time homebuyers. The funds can be used for a variety of qualifying activities including acquisition, acquisition with rehabilitation, new construction, down payment assistance, and closing cost assistance. This flexible approach allows buyers to apply the funding in the way that best supports their purchase goals and their specific housing needs.
One of the most valuable aspects of this program is the structure of the loan. Assistance is provided as a zero percent interest deferred payment loan that is secured by a recorded mortgage and promissory note. The loan term is either ten or fifteen years depending on the amount the applicant receives. If the homeowner meets all program requirements throughout the entire term, the loan is fully forgiven at the end of that period. For first time homebuyers who are budgeting carefully and planning for long term financial health, the opportunity to receive significant assistance without future repayment is incredibly meaningful.
Before applying, every applicant must obtain a mortgage loan pre approval from a lender. This step helps ensure that applicants are ready to move forward with a purchase and gives the city the ability to assess applications based on complete and accurate financial information. Mortgage pre approval also positions buyers to act quickly once the application window opens and helps streamline the overall process.
Applications may be submitted by email to the Community and Neighborhood Services Division or in person at City Hall. The program operates on a first submitted, first qualified, first served basis. Because funding is limited, early submission is very important. The application period begins on Monday, March 2, 2026, at 8:00 AM and remains open until March 30, 2026, at 5:00 PM. The window will close earlier if all funds are committed before the deadline. Applicants can find the official application and required documents on the First Time Homeownership Program page.
Only complete applications will be reviewed. This means applicants must gather all supporting documents before submitting. Preparing in advance increases the likelihood of being approved before funds run out. Interested buyers should take time to thoroughly review the checklist provided on the city website to avoid delays.
Income eligibility is based on household size. The city has published the maximum income limits at 140 percent of the Area Median Income (AMI). For example, the limit for a one person household is 114,660 dollars and the limit for a five person household is 176,820 dollars. These guidelines make the program accessible to many working households who may not qualify for other affordability initiatives but still face significant barriers to homeownership.
Several requirements must be met for eligibility. Applicants cannot have owned a home within the past three years. The home being purchased must be located within Delray Beach city limits. Applicants must meet lender credit standards and present a pre approval letter. Attendance of a HUD approved homebuyer education class for a minimum of six hours is required, and a certificate of completion must be submitted. Applicants must also contribute at least 2 percent of the home purchase price with their own funds. Additionally, total housing expenses must not exceed 40 percent of the applicant’s gross monthly income to ensure responsible budgeting and long term affordability.
The SHIP Program follows the guidelines outlined in Florida Statutes Sections 420.907 through 420.9079 and Rule Chapter 67-37 of the Florida Administrative Code. The City of Delray Beach reserves the right to modify or withdraw the Notice of Funding Availability if regulations change or funds become limited.
The HUD definition of a first time homebuyer covers more than just individuals who have never owned property before. An applicant qualifies if they have not owned a principal residence during the past three years. There are additional scenarios that still qualify. A single parent who previously owned a home with a former spouse, a displaced homemaker who only owned a home with a spouse, an individual who owned a residence not permanently attached to a foundation, or someone who owned a property that could not meet building code without reconstruction are all considered eligible under the first time homebuyer definition.
This program represents an important investment in the future of Delray Beach. By making homeownership more achievable for local residents, the city is supporting neighborhood stability, long term economic growth, and opportunities for families to build equity. For many renters who have been waiting for a viable path into the housing market, this announcement may be exactly the step they need.
If you believe you may qualify or if you want help navigating the application process, reviewing eligibility, or preparing for a home search, our team is here to guide you every step of the way. Whether you are ready to apply on March 2 or simply want to understand your options, contact me directly and I will help you move forward with confidence.
