St. Pete launches homebuyer, voluntary buyout programs through Sunrise recovery initiative

St. Petersburg is rolling out two new housing programs aimed at helping residents recover from Hurricanes Idalia and Helene and reducing the city’s long-term vulnerability to future storms.

The Homebuyer Assistance Program and Voluntary Buyout Program are the latest additions to Sunrise St. Pete, the city’s federally funded disaster recovery initiative.

City officials announced that applications are now open under the Non-Profit Community Support Services Program, which will provide about $1.25 million for mental health and related services. The city initially announced that program on July 14, and its first funding opportunity opened Monday.

All three programs are funded through the U.S. Department of Housing and Urban Development’s Community Development Block Grant-Disaster Recovery program. Sunrise St. Pete was created to support housing recovery, neighborhood resilience and community revitalization following the two hurricanes.

The Homebuyer Assistance Program offers eligible households up to $80,000 toward a down payment, closing costs or reducing the principal on a home purchased within St. Petersburg. The funding will be provided through a 0% interest deferred loan. The program is meant to help residents overcome barriers to homeownership as housing costs remain a challenge throughout the Tampa Bay region. 

The Voluntary Buyout Program targets a different housing problem: homes located in areas facing repeated disaster risks.

Eligible owners within Disaster Risk Reduction Areas can voluntarily sell their properties to the city at their post-disaster fair market value. The program also includes Safe Housing incentives intended to help qualifying property owners relocate to a safer home in St. Petersburg.

Properties purchased by the city will not return to private development. Instead, they will be preserved as open space or used for flood mitigation, stormwater management and other resilience projects. The approach is meant to permanently reduce the number of homes exposed to repeated flooding and support property owners with the transition.

Residents can use the city’s Sunrise St. Pete website to determine whether their property is eligible and express interest in participating in the program.

Meanwhile, a third city program will distribute funding to nonprofit organizations providing essential services during the city’s long-term recovery efforts.

The city is seeking organizations that can provide case management, assertive outreach and clinical mental health services to St. Petersburg residents, and requests applications focused on mental health services and wraparound care. 

Applications are due Aug. 28 at 3 p.m. The city tentatively expects the St. Petersburg City Council to consider funding awards Nov. 19.

Eligible applicants must hold nonprofit status, have operated in St. Petersburg for at least three years and demonstrate experience providing similar services.