Affordable Housing Resources

Hometown Heroes Program

The “Hometown Heroes Program” provides down payment and closing cost assistance to first time, income qualified home buyers who are first responders, teachers, active-duty military, military veterans and in law enforcement.

Purpose Highlights
Florida has allocated $100 million statewide and 300 affordable housing units to Islamorada through The Live Local Act, signed into law on March 29, 2023.

Significance for the Community
This new “Hometown Heroes Program” supports Florida’s workforce by helping workers and their families live where they work. This state program provides another opportunity for first time home buyers in the Village to purchase affordable housing, in local communities, military communities and military bases.

The Village’s Affordable Housing Fund aids first-time home buyers through the existing First-Time Buyer program with $10,000 subject to a 10-year deed restriction.

A first-time home buyer is able to pursue the new Hometown Heroes state program and the Village’s First-Time Buyer local program concurrently, if they qualify for both, to live locally. 

Eligibility Criteria 
Per The Florida Housing Corporation, “Hometown Heroes Program Details” are as follows:

1 “Eligible full-time workforce, employed by a Florida-based employer can receive lower than market interest rates on an FHA, VA, RD, Fannie Mae or Freddie Mac first mortgage, reduced upfront fees, no origination points or discount points and down payment and closing cost assistance.” 

2 “Borrowers can receive up to 5% of the first mortgage loan amount (maximum of $35,000) in down payment and closing cost assistance.”

3 “Down payment and closing cost assistance is available in the form of a 0%, non-amortizing, 30-year deferred second mortgage. This second mortgage becomes due and payable in full, upon sale of the property, refinancing of the first mortgage, transfer of deed or if the homeowner no longer occupies the property as his/her primary residence. The Florida Hometown Heroes loan is not forgivable.”

Program’s Positive Impact
These programs are two avenues to address our critical shortage of workforce housing.

Islamorada Offers Down Payment Assistance For Affordable Housing

Islamorada, Village of Islands is offering $10,000 in down payment assistance to working-class families and individuals looking to purchase a home in Islamorada.

Residents of Monroe County and those employed in Monroe County meeting the current affordable housing income limits may qualify for the program.

Qualified individuals interested in purchasing an affordable home are encouraged to download the First-Time Homebuyer Down Payment Assistance Program Application for Preapproval Letter. The applicant must qualify for a home loan and will be required to provide at least 3.5% of the purchase price of the home at closing. After all necessary documents are submitted and the application is approved, the $10,000 assistance from the Village will be available at closing.

Every year the buyer lives in the home and does not default on the program, the balance of the loan is reduced, or “forgiven”, by 10% ($1,000) up to a maximum reduction of 90% ($9,000). When the homeowner who used the program decides to sell the home at any time after 10 years, only $1,000 will be required to be repaid to the Village. Prior to 10 years, the homeowner will owe the balance of what hasn’t been “forgiven” every year. For example, if the homeowner sells the home seven years after purchase, he or she would owe the Village $3,000.

The Village Council, Achievable Housing Citizens Advisory Committee (AHCAC), and the Islamorada Local Planning Agency worked on the details of the Down Payment Assistance Program for approximately two years. The program was approved by the state and made available for qualified applicants in August 2016. “The purpose of this program is to help people in Islamorada become homeowners,” AHCAC Chairman Keith Douglass said. “The Village wants to provide assistance so that our teachers, police officers, firefighters, and other individuals can afford to live and stay here in Islamorada. They are essential to our community and critical for our quality of life.”

For more information about the Affordable Housing Down Payment Assistance Program, contact the Planning Department Administrative Assistant at 305-664-6498.

Wet Net Villas Workforce/Affordable Rental Housing

Wet Net Villas is a 36-unit development located on the Overseas Highway at Mile Marker 81. The project is designed to serve as high-quality, affordable rental housing for the Village's workforce. The units are situated in 18 duplexes with carports for each unit. All units include 3 bedrooms, 2 bathrooms, and spacious living areas.

Information about qualifications for the Wet Net Villas and application information to be placed on the waiting list to lease a unit can be obtained by calling 305-440-2917.

Wet Net Villas
Phone: 305-440-2317
Address: 81101 Overseas Hwy, Islamorada, FL 33036

Habitat for Humanity Windley Point Project - Rental and Home Ownership Project on Windley Key Completed in 2020.

Habitat for Humanity of the Upper Keys constructed a 16-unit affordable housing project named Habitat at Windley Point. The property is located at 84762 Overseas Highway on Windley Key in Islamorada. The $1.5 million-dollar property was purchased with funds from Islamorada's Affordable Housing Fund and the Monroe County Land Authority and conveyed to the Village for the affordable/workforce housing project.

Construction of the $3.5 million-dollar project took two years. The complex will offer eight rental units and eight units for home ownership. Each is an elevated 2-story home with two bedrooms and 2 and a half bathrooms and space to park two cars underneath.

Visit Windley Point and other Habitat for Humanity Websites or send Email Director Habitat Upper Keys or call 305-453-0050.