Bay County First-Time Homebuyer Program

Qualified first-time homebuyers in Bay County can receive up to $50,000 or $75,000 in purchase assistance through the ReHouse Bay / SHIP program. This funding is intended to cover the down payment and eligible closing costs, making homeownership more affordable for low-to-moderate income households.

Income limits depend on household size. For 2026, a family of four can earn up to approximately $112,920 (120% AMI) to qualify for standard assistance. In some specific funding scenarios, the limit may extend to 140% AMI (approx. $131,740). Applicants must provide income documentation for all household members.

The assistance is structured as a 0% interest, deferred second mortgage. It is forgiven annually at a rate of 10% beginning in year 6. If you occupy the home as your primary residence for the full 15-year term, the loan is completely forgiven. If you sell or move before then, you may qualify for prorated forgiveness.

Yes, mobile and manufactured homes are eligible if they were built after June 30, 1994. The home must be installed by a licensed installer, and if purchasing a new mobile home, it must be bought from a dealer. Modular homes are also eligible eligible properties under the program guidelines.

The maximum sales price or assessed value for a home purchased with Bay County SHIP assistance is currently set at $481,176.00. This limit applies to all eligible property types, including single-family homes, townhomes, and condominiums.

This specific program covers unincorporated Bay County and the cities of Callaway, Lynn Haven, Mexico Beach, Parker, and Springfield. If you are purchasing a home inside the Panama City city limits, you must apply through the City of Panama City’s separate housing department, as they manage their own SHIP funds.

While the county program focuses on income and first-time buyer status, you must be "mortgage ready" and obtain pre-approval from a participating lender first. Most lenders require a credit score of 640 or higher for FHA, USDA, or Conventional loans that pair with this assistance.

Yes. The funds provided by ReHouse Bay / SHIP can be applied toward both the down payment and reasonable closing costs associated with the purchase. This significantly reduces the amount of cash a buyer needs to bring to the closing table.

Yes, completion of a HUD-approved first-time homebuyer education course is a mandatory requirement before closing. Bay County accepts certificates from approved providers, and the certificate is generally valid for up to three years from the date of completion.

The timeline varies based on funding availability and application volume. Once you have a contract on a home and lender pre-approval, the county review typically takes 30-45 days. However, due to high demand, there may be a waitlist period before your file can be fully processed.