Coconut Creek adopts workforce homebuyer assistance framework on first reading

Coconut Creek commissioners approved on first reading Ordinance 2026-016, establishing a workforce homebuyer purchase assistance program designed to help qualified purchasers (up to 140% of area median income) buy homes within the city.

Dan Nelson, the city's grants administrator, explained the ordinance and program mechanics: assistance will be provided through no-interest, forgivable loans recorded as a second mortgage, distributed at closing. Successful applicants are selected through a publicly advertised lottery, must obtain conditional lender approval during a prequalification phase, and generally have one year to close (with a possible six-month extension). If the homeowner retains the property for 10 years, the assistance is forgiven and converted into a grant; if the property is sold before the 10-year recapture period, the full amount is due and returned to the Affordable Housing Trust Fund for future programs.

Staff said funding for programs will come from the city's Affordable Housing Trust Fund and developer contributions; programs will be implemented through resolutions or developer agreements and will include audit rights and regulatory authority retained by the city. During Q&A, commissioners asked how often funds are repaid when homes are sold within the 10-year period and how recapture is handled; staff said repaid funds routinely return to the trust fund and are collected at closing by title companies through the recorded second mortgage.

Commissioners emphasized the importance of public clarity that the program utilizes dedicated trust fund dollars (derived from nonresidential development linkage fees and developer contributions) rather than general taxpayer revenue. One commissioner asked for future resolutions to make technical terms and amounts clear to the public.

Next steps: staff will implement the program framework through resolutions and program-specific criteria (lottery, eligibility, and application windows) and will return any developer-specific agreements to the commission for approval.