What's happening
This bill creates a Mortgage Assisted Population Recovery Program to provide homebuyer incentives in New York counties with declining populations.
Why it matters
Targets population decline directly by incentivizing new or returning residents. the program is specifically designed to attract people who either move into declining counties from elsewhere or are first-time homebuyers, thereby potentially reversing outmigration trends.
Makes homeownership more accessible in struggling areas. by increasing allowable household income and home purchase price limits, the bill could open the market to a wider range of buyers and encourage investment in regions hit hardest by population loss.
Ties incentives to measurable demographic change. counties only qualify if they’ve experienced population decline according to official census figures, and lose eligibility after sustained growth, ensuring resources are focused where demographic recovery is most needed.
Aligns with existing oversight and restrictions. participants and properties must follow all standard post-purchase rules and limitations for assistance programs, which may help prevent abuse and ensure long-term stability in these communities.
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Who cares
Headline styles
Help Homebuyers in Declining Areas
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to housing, construction and community development
- Returned to senate
- Died in assembly
- Referred to housing
- Delivered to assembly
- Passed senateVote 62–0
- Ordered to third reading cal.1808
- Committee discharged and committed to rules
- Referred to housing, construction and community development
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
649
2019-2020 Regular Sessions
IN SENATE (Prefiled)
January 9, 2019
Introduced by Sen. KENNEDY -- read twice and ordered printed, and when printed to be committed to the Committee on Housing, Construction and Community Development
AN ACT to amend the private housing finance law, in relation to creating the mortgage assisted population recovery program
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The private housing finance law is amended by adding a new section 45-d to read as follows:
§ 45-d. Mortgage assisted population recovery program. 1. There is hereby created within the agency a mortgage assisted population recovery program. The program shall make available all mortgage and down payment assistance funding incentives offered by the agency for homebuyers in economically distressed target areas, as designated by the agency through census tracks determined by the United States bureau of the census, to homebuyers in those counties that have experienced negative population growth from January one, two thousand to the latest available annual estimates of the resident population. Such incentives shall include, but may not necessarily be limited to, higher household income and home purchase price limits, as offered by the agency for homebuyers in such economically distressed targeted areas.
2. (a) Homebuyer eligibility. In addition to the limitations on household income and home purchase price described in subdivision one of this section, an eligible homebuyer must (1) have established residency outside the county in which the subject property is located, and which has experienced negative growth from the two thousand decennial census for the twelve month period prior to application to the program, or (2) be a first-time homebuyer, and (3) use the property purchased through the mortgage assisted population recovery program as his or her primary residence. An eligible homebuyer, the eligible homebuyer's spouse, the
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD02125-01-9
S. 649 2
eligible homebuyer's domestic partner as defined by section twenty-nine hundred ninety-four-a of the public health law, or any individual whose name appears on the mortgage or deed of the property that is the subject of the mortgage assisted population recovery program at the time of purchase by the eligible homebuyer, shall be ineligible for the program thereafter.
(b) County eligibility. Any county eligible for the mortgage assisted population recovery program under subdivision one of this section, which experiences twenty-four consecutive months of population growth as determined by the latest available annual estimates of resident population by the United States bureau of the census, shall be ineligible for the program, unless and until such county experiences six consecutive months of population decline.
3. All post-purchase restrictions and limitations which apply to the agency's funding assistance programs for homebuyers in designated economically distressed target areas shall apply to the eligible homebuyer and the property subject to the mortgage assisted population recovery program.
§ 2. This act shall take effect immediately.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the private housing finance law, in relation to creating the mortgage assisted population recovery program
Purpose
To provide an incentive for first-time homebuyers and potential out-of- area homebuyers to purchase homes in counties that have suffered popu- lation loss.
Summary of provisions
Section 1 amends the Private Housing Finance Law by adding a new Section 45-d, creating the Mortgage Assisted Repopulation Program. The Program requires the State of New York Mortgage Agency (SONYMA) to make the mortgage and down payment incentives it offers potential homebuyers in economically distressed areas available to potential homebuyers in coun- ties that have suffered population loss from the 2000 decennial census to the present. Homebuyer eligibility includes first-time homebuyers and potential homebuyers who have been established residents outside the respective county for at least a year prior to their application to the program. A homebuyer, the homebuyer's spouse, the homebuyer's domestic partner, or the homebuyer's co-signatory on the mortgage or co-owner on the property deed can take advantage of the program only once. Qualify- ing counties that experience 24 consecutive months of population growth will be removed from the list of qualified counties.
Read the full memo (604 words)
Section 2 is the effective date.
Justification
Post-industrial cities nationwide face higher residential vacancy rates and declining populations, even as other cities are seeing population increases.{1} With its history of industrial strength, the situation in upstate New York reflects this trend. Upstate localities are losing population, especially younger and working-age residents.(2) Twenty- eight upstate counties have suffered population loss since the 2000 decennial census, ranging from Greene County in the Hudson Valley, which has seen a relatively small decline of .04%, to Hamilton County in the State's North Country, which has seen a decline of over 12% during the same period. {3} Although federal programs exist to encourage home buying in certain federally-targeted areas classified as distressed, {4} expanded state programs could attract new residents to upstate cities, towns, and villages through location-based mortgage assistance, direct state incentives for housing and home-ownership in vacant areas, or other programs.{5} The Mortgage Assisted Population Recovery Program seeks to address this problem by expanding the home buying incentives that are currently directed at distressed areas to those counties that have experienced population loss from the 2000 decennial census to the 2018 estimated population, as determined by the U.S. Bureau of the Census. Eligible buyers must either be first-time homebuyers or have had established residences outside the eligible county for at least a year prior to application to the program. The Program is designed to add another incentive for young homebuyers to stay in the area rather than move away, and attract both those who have moved away back to New York.
Legislative history
2016: S.6287 Referred to Housing, Construction and Community Development 2017-18: S.1812
Fiscal implications
To be determined.
Effective date
This act shall take effect immediately. {1} See Vey, J., The Brookings Institution Metropolitan Policy Program, Restoring Prosperity: The State Role in Revitalizing America's Older Industrial Cities (2007) at 25. {2} McMahon, E.J. "The Graying of the Empire State." Empire Center. 8/16/2012; Ellis, K. "Panel examines New York's 'rural brain drain." 4/19/2011; Federal Reserve Bank of New York. "Upstate at a Glance." December 2007. {3} U.S. Bureau of the Census. {4} see http://portal.hud.gov/hudportal/HUD?src./program offices/housing/sfh/reo/abtrevt (describing the FHA Revitalization Area Sales Programs); currently many New York State mortgage incentives incorporate definitions from these federal programs. See, e.g., http://www.nyshcr.org/topics/home/purchasingahomeinatargetarea.htm. {5} For example, Maryland has initiated a variety of mortgage incen- tives, grants and other assistance to attract new residents and homebuy- ing throughout Baltimore. See http:/livebaltimore.com/financial- incen- tives/.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.