Mortgage Loans in St. Augustine, FL: FHA, Conventional, Investor and HomeTown Heroes
You can get a mortgage in St. Augustine through William Ledesma at Bold Mortgage, a division of PRMG. He works with buyers in St. Augustine and across Florida by phone, video and e-sign, together with local agents. Your main options are FHA, conventional, DSCR and other investor loans, plus Florida HomeTown Heroes help for first-time buyers.
Buying a home in St. Augustine: what to know
St. Augustine is the county seat of St. Johns County in Northeast Florida. Founded by Spain in 1565, it is the oldest continuously inhabited city of European origin in the continental United States. You see that history everywhere: the Castillo de San Marcos, St. George Street, the Bridge of Lions over the Matanzas River, the Lightner Museum and Flagler College, housed in Henry Flagler's former Ponce de Leon Hotel.
Neighborhoods are very different from each other. The historic downtown has homes from the 1800s and early 1900s on narrow streets. Lincolnville, south of downtown, is a historic neighborhood with Victorian era homes and a key place in civil rights history. North of the Castillo, Fullerwood Park and the Abbott Tract offer older homes near the water. Across the Bridge of Lions, Davis Shores on Anastasia Island has mid-century homes and canal lots. Nearby, Vilano Beach and the separate city of St. Augustine Beach add beach homes and condos. West toward I-95, master-planned communities like World Golf Village offer newer homes with HOAs.
Tourism is the biggest economic driver. Other major employers include Flagler Health+ and its Flagler Hospital, the St. Johns County school district, Flagler College, the Florida School for the Deaf and the Blind, and Northrop Grumman at Northeast Florida Regional Airport. Many residents also commute to Jacksonville.
Buyers include families drawn by St. Johns County schools, retirees, second home buyers, people who want to live in a historic home, and investors focused on tourism. The mix of very old homes, beach condos and new construction means your loan choice depends a lot on which part of town you pick.
FHA loans in St. Augustine
FHA loans let you buy with 3.5% down with a 580 or higher credit score. With 500 to 579, you need 10% down, and many lenders set higher minimums (overlays). The 2026 FHA limit for a one-unit home in St. Johns County is $580,750. Limits are higher for 2 to 4 unit properties.
FHA charges an upfront mortgage insurance premium, usually added to the loan, plus a monthly premium. With less than 10% down, the monthly premium usually stays for the life of the loan.
FHA can be harder on historic homes. The appraiser checks for peeling paint on homes built before 1978, roof condition, wood rot, foundation issues and safe wiring. Repairs may be needed before closing. For condos on Anastasia Island or near the beaches, the building must be FHA-approved or qualify for single-unit approval.
Conventional loans in St. Augustine
Conventional loans start at 3% down for qualifying first-time buyers and 5% down otherwise. Under 20% down you pay PMI, which can be removed once you have enough equity. The 2026 conforming limit in St. Johns County is $832,750 for one unit. Above that, you need a jumbo loan, which is common for waterfront and some historic homes.
Conventional loans also cover second homes, often with 10% down. They tend to be more flexible than FHA on older homes with minor issues, though the home still must be safe and livable. Beach and riverfront condos must meet warrantability rules.
Investor and DSCR loans in St. Augustine
DSCR loans qualify you on the property's rent instead of your personal income. Expect 20 to 25% down. They work well for self-employed investors and buyers using an LLC. Conventional investment property loans and bank statement loans are other options.
Rental demand comes from tourism, Flagler College students and staff, hospital workers and families relocating to St. Johns County. Visitors come year round for the historic sites, beaches and events. Short-term rentals are a big topic here, so check city zoning and licensing rules before you buy for short-term rental, and read any HOA or condo rules.
Florida HomeTown Heroes and down payment help in St. Johns County
Florida HomeTown Heroes is a Florida Housing Finance Corporation program for first-time buyers (generally no primary home owned in the past 3 years) who work full time for a Florida-based employer. It gives 5% of your first mortgage, with a minimum of $10,000 and a maximum of $35,000. It is a 0% interest second mortgage with no monthly payment. You repay it when you sell, refinance, transfer the deed, pay off the first mortgage, or stop living in the home.
You need a 640 minimum credit score and homebuyer education. St. Johns County income limits apply. Funding is released in rounds and can run out, so William checks availability the day you are under contract. A fully signed contract is needed to reserve funds. Details are at Florida Housing.
St. Johns County also receives SHIP (State Housing Initiatives Partnership) funds for local down payment help. Ask the St. Johns County housing office what is available.
Insurance, flood and condo rules that affect your loan in St. Augustine
Much of St. Augustine is low and close to the water. Downtown, Davis Shores and other areas flooded during Hurricanes Matthew in 2016 and Irma in 2017, and high tides can bring street flooding. Many homes are in flood zones. In a high-risk zone, flood insurance is required for your loan. Ask about past flooding and get a flood quote before you offer.
Older and historic homes usually need a 4-point inspection and a wind mitigation report. Old wiring, older plumbing and aging roofs can make insurance hard to get. Check for termites too, since many historic homes are wood frame. If private carriers decline, Citizens Property Insurance is the state backstop.
In the historic districts, exterior changes usually need city review, so plan repairs with that in mind. For condos, Florida's post-Surfside laws require milestone inspections and structural integrity reserve studies for many buildings three stories or taller. Buildings with big repairs or low reserves may not qualify for conventional or FHA loans. In newer communities west of town, include HOA dues and any CDD fees.
Your action plan
- Book a clarity call with William. Tell him if you want a historic home, a beach condo or a new build. No hard credit pull to start.
- Get pre-approved so your offer stands out.
- Pick your program based on a side-by-side comparison.
- Check HomeTown Heroes and St. Johns County help if you are a first-time buyer.
- Shop with a local agent who knows flood history and historic district rules.
- Order inspections, get insurance quotes, lock your rate and close.
St. Augustine mortgage FAQs
Where can I get the best conventional loan rates in St. Augustine?
Rates depend on your credit, down payment, property type and loan amount. Compare Loan Estimates from several lenders on the same day. Bold Mortgage offers multiple loan programs, and William gives you a side-by-side comparison so you can see your real costs.
How do I qualify for an FHA loan in St. Augustine?
You generally need a 580 or higher score for 3.5% down, steady documented income and debt that fits FHA rules. The home must be your primary residence and meet FHA property standards. The 2026 St. Johns County one-unit limit is $580,750.
Where can I apply for investor or DSCR mortgage programs in St. Augustine?
You can apply with William Ledesma at Bold Mortgage, who works with St. Augustine investors by phone and video. He compares DSCR, conventional investment and bank statement options for the property. Approval depends on the property, credit, reserves and down payment.
Can I use Florida HomeTown Heroes in St. Augustine?
Yes, if you qualify. You must be a first-time buyer working full time for a Florida-based employer, with a 640 or higher score, homebuyer education and income under the St. Johns County limit. William checks fund availability as soon as you have a signed contract.
Can I get a mortgage on a historic home in downtown St. Augustine?
Yes, but plan for extra checks. Get a full inspection, a 4-point, a termite inspection and insurance quotes early. If the home needs work, ask William whether a conventional loan or a renovation loan fits better. Remember that exterior changes in the historic districts usually need city review.
About William A. Ledesma
William A. Ledesma is a Florida licensed mortgage loan officer and Florida HomeTown Heroes specialist with Bold Mortgage, a division of PRMG. He helps buyers, homeowners and investors in St. Augustine and across Florida, in English and Spanish. Every client gets a clear action plan from pre-approval to closing.
- Call or text: (786) 387-3676
- Email: will@williamledesma.com
- Office: 4960 SW 72nd Ave, Suite 400, Miami, FL 33155
- Client reviews: Read reviews from William's clients
More Florida mortgage guides: Daytona Beach, Palm Coast, Jacksonville, Gainesville. Lea esta guía en español.
William A. Ledesma, NMLS #1232716. Bold Mortgage is a division of Paramount Residential Mortgage Group, Inc. (PRMG), NMLS #75243, Florida Mortgage Lender Servicer License MLD1608. Equal Housing Opportunity. This page is general information, not a commitment to lend. All loans are subject to credit approval, underwriting guidelines and property eligibility. Loan limits, program terms and down payment assistance funding can change without notice.
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