HOUSING OFFICIALS SCURRY TO ENACT HOUSING PROGRAM BY DEADLINE

By MICHAEL PELTIER
THE NEWS SERVICE OF FLORIDA

THE CAPITAL, TALLAHASSEE, July 7, 2009... On paper it's so simple. Buy
your first home and get an $8,000 tax credit from Uncle Sam. Can't
afford the down payment? The State of Florida will loan it to you. But
you must act quickly. The deal ends December 1.

That, in a nutshell, is the crux of a $30 million state-backed program
to help first-time homebuyers purchase their piece of the American
Dream.

But local officials charged with overseeing the federally-backed effort
peppered state officials with questions on Tuesday as they gear up to
begin offering the program in less than three weeks.

State lawmakers earlier this year set aside $30 million to help
qualified buyers tap into the tax credit program without having to come
up with the down payment on their own. Homeowners would, in turn, repay
the state after receiving the federal tax credit.

Some local housing officials say they may not be ready to open their
doors Aug. 1 as they deal with questions about eligibility, repayment
and whether the state will get caught holding the bag for the Florida
Home Buyer Opportunity Program, or FHOP.

Representatives from the Florida Housing Finance Corp., acknowledged
Tuesday that some communities are more ready than others to help lead
prospective buyers through the process.

"The approval process varies quite a bit. For many it will be possible
to do this," said Rob Dearduff special programs administrator and local
government liaison. "For others it will be more difficult."

The federal program allows buyers with adjusted gross incomes below
$75,000 who have not owned a home in three years to take up to $8,000 in
federal tax credits. Homebuyers can amend their 2008 federal tax returns
to do so. For those who can't afford the down payment, the state program
kicks in.

Marla Martin, spokeswoman for the Florida Association of Realtors, said
members are concerned that local housing programs won't be ready when
prospective buyers start calling in. Questions raised on Tuesday did
little to ease those fears.

"Even with the money available Aug. 1, is it going to be possible to
start?" Martin asked. "It sounds like there are a lot of details to be
worked out."

Despite expected glitches, housing advocates say Florida may be in
better shape then most other states because it already has a system in
place to provide financial assistance and advice to prospective buyers.

Duval County officials, for example, have already begun rolling out
their program in anticipation of funds being available Aug. 1. Others
are waiting to see if the state collects enough tax revenue to pay for
the program before they raise hopes too high.

"Some are really on top of this and are ready to go," said Stan
Fitterman, a member of the Florida Housing Coalition. "Others are very
leery to start until the check is in the bank."

--END--
07/07/09