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Daytona Beach · Volusia County FHA

Daytona Beach FHA Home Loan

FHA loans for Daytona Beach homes and condos, with 3.5% down, for buyers whose income does not come in a simple salary: seasonal and event work, tips, overtime, Social Security, pensions and disability benefits.

~$320KMedian sale, mid-2026
~77 daysTypical time to sell
+15%FHA gross-up on non-taxable income
$541,287Volusia FHA limit
BeachsideMidtownDowntown and Beach StreetMainland neighborhoodsLPGA corridorNear Daytona Beach Shores

We specialize in Daytona Beach FHA home financing.

Daytona Beach runs on tourism, events, healthcare, education and a large retiree population, so incomes here come in many forms. FHA is flexible about what it counts, as long as the income is stable and documented. That flexibility, together with a median near $320,000 and Volusia County’s lower insurance costs, makes Daytona one of Florida’s more approachable FHA markets.

On Mortgage compares FHA lenders and documents your income the way underwriters need it. See all programs on the Daytona Beach mortgage rates page, or call our Daytona Beach mortgage broker team.

Daytona Beach FHA Loan Benefits: Affordable Homeownership Starts Here

Alongside 3.5% down at a 580 score and gift funds, FHA’s treatment of income is one of its biggest advantages for Daytona buyers:

Income typeHow FHA generally treats it
Seasonal or event workCounted with a two-year history of the seasonal job and reasonable assurance it will return
Tips and commissionsAveraged over two years when reported on tax returns
Overtime and bonusesAveraged over two years if likely to continue
Part-time or second jobCounted with a two-year history, not necessarily with the same employer
Social Security, pensions, disabilityCounted if expected to continue at least three years; non-taxable portions can be grossed up by 15%

General FHA guidance. Lenders document each type differently; we tell you exactly what to gather.

Daytona Beach FHA Loans for First-Time Homebuyers

Many Daytona buyers are retirees or near-retirees buying their first Florida home. For them, the gross-up matters. Because Social Security and many disability benefits are partly or fully untaxed, FHA lets lenders increase that income by 15% for qualifying, which raises the payment you can be approved for:

Monthly Social Security of $2,600Without gross-upWith 15% gross-up
Qualifying income$2,600$2,990
Maximum total debts at a 43% ratio$1,118$1,286
Room for a housing payment after $300 of other debts$818$986

Illustration at a 43% total debt ratio; automated underwriting may approve higher. The gross-up applies to the non-taxable portion of income, documented with award letters and tax returns.

For younger first-time buyers, the same flexibility applies to hospitality and event-season work around the speedway and the beach. If you have done the same seasonal job for two years, that income can count even though it is not year-round.

On Mortgage: Your Daytona Beach FHA Loan Expert

We specialize in FHA loans for first-time buyers and families in Daytona Beach and across Volusia County, from beachside condos to mainland neighborhoods. Beachside condos deserve care: storms in 2022 damaged many oceanfront buildings and seawalls, and some are still working through repairs and assessments. FHA can only finance a condo in an approved project or through single-unit approval, and buildings with major pending work often do not qualify. We check before you make an offer.

FHA mortgage insurance at the Daytona median:

$320,000 purchaseBase loanUpfront MIP (1.75%, financed)Monthly MIPHow long MIP lasts
3.5% down$308,800$5,404$142 (0.55% a year)Life of the loan
5% down$304,000$5,320$127 (0.50% a year)Life of the loan
10% down$288,000$5,040$120 (0.50% a year)11 years

What a Daytona Beach median-priced purchase pays in FHA premiums.

2026 Daytona Beach FHA Loan Limits

Volusia County, which includes the Daytona Beach metro, uses FHA’s national floor for 2026. That is comfortably above local prices:

Volusia County, 2026FHA loan limitHighest price at 3.5% down
Single-family, condo or townhome$541,287$560,900
Two-unit$693,050$718,100
Three-unit$837,700$868,000
Four-unit$1,041,125$1,078,800

Volusia County FHA base loan limits for 2026.

FHA Financing in Daytona Beach

FHA works for both condo and single-family buyers in Daytona Beach. With 3.5% down, you can reach beachside condos in approved buildings, older homes in Midtown and the historic districts near downtown, and family neighborhoods on the mainland. Newer homes along the LPGA corridor are also FHA-eligible when the builder meets FHA’s construction requirements.

Nearby Daytona Beach Shores, a separate city to the south, is almost entirely oceanfront condos; the same building checks apply there.

Market Snapshot

~$320,000Median sale price, mid-2026
~77 daysAverage time to a sale
$541,287FHA one-unit cap
Below averageInsurance compared with Florida

Daytona Beach’s median sale sat around $320,000 in mid-2026, and homes took about 77 days to sell on average. With prices well below the FHA limit and insurance lower than on the southeast coast, FHA buyers here often qualify for more than they expect. You will see FHA next to conventional before choosing.

Why Choose On Mortgage for Your Daytona Beach FHA Loan

Tailored strategies, fast approvals and local insight to help your Daytona Beach FHA loan close smoothly.

Income done right

Seasonal, tip and retirement income documented correctly.

Beachside condo checks

Repairs, assessments and approval reviewed.

New or resale

FHA on mainland homes and new construction.

Frequently Asked Questions: FHA Loans

Can I qualify for FHA with seasonal income in Daytona Beach?

Yes, typically with a two-year history of the seasonal work and reasonable assurance that it will continue. Lenders average the income over that period.

Does FHA count Social Security and pension income?

Yes, when it is expected to continue for at least three years. Non-taxable income, such as much of Social Security, can be grossed up by 15% for qualifying.

Can I buy a beachside Daytona condo with FHA?

If the building is FHA approved or the unit qualifies for single-unit approval. Buildings with major storm repairs or large pending assessments often do not qualify until the work is done.

What is the FHA limit in Daytona Beach for 2026?

Volusia County uses the national floor of $541,287 for one unit, well above the local median.

Are tips counted as income for FHA?

Yes, if they are reported on your tax returns. Lenders generally average two years of reported tips.

Our Reviews

What Florida borrowers say after closing with On Mortgage. Five stars on Google (130 reviews) and Zillow (92 reviews).

“We cannot say enough amazing things about Caroline! As a first-time homebuyer, this was such a huge and exciting milestone for us, and we’re so grateful that we had her by our side throughout the entire process. Caroline was incredibly knowledgeable, patient, responsive, and supportive from beginning to end.”

Laura Rodriguez Sunrise, FL · Zillow

“I had an amazing experience working with Ms. Caroline Da Silva throughout my entire home-buying process. From day one, she was professional, knowledgeable, responsive, and always there whenever I had questions. She kept me updated every step of the way and made everything easy to understand.”

Jordan Gomez Lehigh Acres, FL · Zillow

“Caroline was great. Always responsive and available whenever I needed assistance or had questions. 10/10 would recommend to any veteran or anyone for that matter.”

Brian Sanchez Pompano Beach, FL · Zillow

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Price a Daytona Beach FHA loan

Tell us how you earn and what you want to buy. On Mortgage will document your income correctly, check the property and compare FHA lenders. Call or start online today.