How the Neighborhood Stabilization Program (NSP) Works

Lee County buys foreclosed homes in target areas at below appraised value, then rehabilitates properties into desirable homes. Lee County then sells the home to qualified homebuyers, providing a soft second mortgage and reasonable closing cost assistance to help subsidize buyer costs.

Lee County received federal funding in 2008 and 2010 to promote these homeownership opportunities in the County. The latest Quarterly Performance Reports (QPR) are available, which demonstrate this program's success to date.

Eligible Homebuyers

Homebuyers must have annual household income at or below income levels, attend homebuyer education class from a HUD Approved Housing Counseling Agency, be able to obtain a commitment for a mortgage from a lending institution, and occupy property as their primary/principal residence.

Purchasing a Home

Home ownership opportunities are available in the following target areas:

Bonita SpringsLehigh Acres
Cape CoralNorth Fort Myers
Fort MyersSouth Fort Myers
Homes currently available for purchase​

How the Assistance Works

The LEE County NSP will provide assistance in the form of a second mortgage plus reasonable closing costs and down payment assistance to help pay for an NSP home. The amount of assistance (NSP subsidy) is based on income category. The second mortgage is provided as a zero interest forgivable loan to cover the difference in the purchase price and what the buyer otherwise could borrow. The second mortgage will be 100% forgivable after fifteen years.

If you stay in your NSP home as your primary residence for 15 years, then you will not have to repay the Lee County mortgage. If you choose to sell, rent, or refinance without Lee County’s approval before 15 years have passed, then you could be subject to repayment.

Assistance levels are based on income categories.

Income Category Percent of Sales Price
Low Up to 50%
Moderate 50.01 to 80%
Middle 80.01 to 120%

Down Payment Contribution Requirements

Down payment contribution requirements are also income-based.

Income Category MINIMUm Buyer Contribution
Low $500
Moderate $1,000


Steps to Purchasing a Home:

  1. Consult the information sheet about additional eligibility requirements and important program information.
  2. Complete the required eight (8) hour Homebuyer Education Class.
  3. Contact a lender to get pre-approved for a first mortgage.
  4. Review available properties on the Lee County NSP website at and contact a Realtor®.  Your realtor can also search the Multiple Listing Service (MLS) for NSP properties.  When NSP homes are available, they are listed on Wednesdays.
  5. Take the mortgage pre-approval letter to your licensed Realtor® to prepare and submit a purchase contract to Lee County. Purchase offers, NSP Sales Addendum, and NSP Sales Addendum-HUD Homes (if applicable) must be emailed to:; Attn. Robert Clemens, Broker, Division of County Lands.
  6. Once the potential NSP homebuyer has been notified that the contract has been conditionally accepted, they must then contact Lee County Department of Human and Veterans Services within two (2) business days, and they will have a total of seven (7) business days from the time Lee County accepts the pending offer to submit their NSP application to Lee County
  7. Continue working with the Department of Human and Veterans Services to finalize the NSP application.
  8. Obtain a home inspection if desired (Lee County strongly recommends).
  9. Attend closing at the Title Agency to complete the purchase of home.