Pensacola and Escambia County SHIP Homebuyer Program

On a $290,000 home at Pensacola's median price, an FHA first mortgage with 3.5% down needs a $10,150 down payment. A family of four earning $70,000 falls in the low income tier (under $74,600), so it could receive up to $32,500 in SHIP funds. Staff size the award to the actual financing gap, and if the full $32,500 is used, $3,250 is forgiven each year for 10 years.

Estimated closing costs in the Pensacola area run $6,000 to $8,500, bringing cash needed to $16,150 to $18,650 before any seller credits. SHIP can cover that full amount, leaving only the required buyer contribution of $750 under the plans, or $2,000 under the county's 2026 application guide. A home inspection the buyer pays for counts toward that contribution.

A buyer purchasing an existing home inside an Escambia County Community Redevelopment Area, such as Brownsville or Warrington, may add CRA funds of up to $25,000 at or below 80% of AMI. The county's CRA plan allows layering with SHIP, so combined assistance could reach $57,500, subject to funding and county approval. New construction in a CRA raises the CRA amount to $40,000.

Escambia County's CRA Affordable Housing Funding Plan lets NED layer CRA funds on top of SHIP for homes in designated CRA districts. CRA awards run $25,000 for an existing home or $40,000 for new construction at or below 80% of AMI, $18,750 or $30,000 up to 120%, and $12,500 or $20,000 up to 140%. Florida Housing's FL Assist ($10,000) and Hometown Heroes (up to $35,000) are second mortgages tied to a Florida Housing first mortgage, so ask your lender whether either can sit alongside SHIP.

The City of Pensacola's other homebuyer programs are not available to stack. The HOME Homebuyer Program ($12,500) closed to applications July 17, 2024, and the Pensacola Homebuyer Incentive Program (up to $30,000 in ARPA funds) ran out of money November 27, 2024. Each CRA award is one-time per applicant and per property. For county SHIP or CRA questions, call Escambia County NED at (850) 595-0006; for city SHIP, call 850-858-0350.

Pensacola Habitat for Humanity sells homes in partnership with the county to buyers at or below 80% of AMI, and its April 2025 sale of 14 homes required pre-qualification from a SHIP-approved lender plus the eight-hour workshop. Gift funds and seller-paid closing costs can also cut cash to close, and an inspection you pay for counts toward the SHIP minimum contribution.

The biggest advantage is size: up to $45,000 for very low income buyers is more than four times FL Assist's $10,000 and above the $35,000 cap on Hometown Heroes. The loan carries 0% interest, requires no monthly payment, and shrinks 10% a year until it disappears after year 10, while both Florida Housing seconds must be repaid in full. Moderate earners up to $111,840 for a family of four still qualify for $20,000. The essential service personnel waiver also opens the program to teachers, nurses and first responders who have owned a home before.

The biggest limitation is funding. The city's homebuyer page says SHIP homebuyer funding has not been determined, and the county funds buyers first-come, first-served only while money lasts, with nothing reserved until formal approval. Leaving or refinancing before year 10 triggers repayment of the unforgiven balance. Buyers must also be mortgage-ready with a SHIP-approved lender, hold under $25,000 in liquid assets for the county, skip manufactured homes, and stay under the $510,939 price cap. If funds are out, compare FL Assist ($10,000) and Hometown Heroes (up to $35,000) by calling Florida Housing at (850) 488-4197.