Log In   ·   Become A Member
http://www.hamptons.com/gallery/ads/2082.gif

New Legislation Looks To Aid First-Time East End Homeowners

Anastasia Lennon

The legislation applies to the towns of East Hampton, Southampton, Riverhead, Shelter Island, and Southold. (Photo: Nicole Barylski)

This month, New York State Assemblyman Fred Thiele introduced legislation that, if enacted, will authorize East End towns to establish community housing revolving loan funds to help first-time home buyers. The legislation is an attempt to prevent the "affordability gap" - to use Thiele's words - from growing in the coming years. The revolving loan funds would allow prospective, first-time buyers to receive a loan of up to 50 percent of the purchase price.

The legislation applies to the towns of East Hampton, Southampton, Riverhead, Shelter Island, and Southold and applicants for loans must be residents of or employed in the town in order to be eligible. It is estimated that this fund could provide up to $20 million annually to homebuyers.

Thiele cites an increase in Hamptons' median home prices of 7.6 percent in 2017, changes in federal tax laws, and popularity of home-sharing services such as Airbnb as factors contributing to this growing gap. "The demand for luxury and seasonal housing has driven housing costs beyond the reach of most moderate income and working class local residents," stated Thiele.

"We are losing the most precious resource that makes our communities special. Many residents, including young families who are educated in our local schools, are leaving the area for places with more affordable housing costs," said Thiele. Rather than build more homes to increase affordability and accessibility (which may not be the most viable option given "environmental constraints" on the East End), Thiele sees a solution with the revolving fund - a "tool" that will help middle class and working class residents of the East End.

Increasing housing costs have impacted business and volunteer organizations as well. "Local employers are having difficulty hiring and retaining employees. Local volunteer emergency services agencies are experiencing difficulty in recruitment and retention of volunteers. Schools are experiencing declining enrollments." explained Thiele. Additionally, with a recent change in federal tax law, deductions are now capped at $10,000 for state and local taxes, which will make the purchasing of a home more difficult for first-time buyers.

The legislation stipulates that a loan be re-payed if the home is put up for sale. Payments will be received by the loan fund and used to assist other homebuyers. The town can also use the fund to provide counseling to first-time buyers. If a town decides to establish a revolving loan fund, there would be a mandatory referendum before the town can pass a local law authorizing the fund.

As this legislation is only in its early stages, Thiele hopes to receive feedback from the community that will inform the finalizing of this bill. "It is my intent to meet with the Towns and all stakeholders in the coming weeks and months to gain as much public input as possible. I will incorporate that input into final legislation before any action is taken in Albany."

The next steps in this process include introducing the bill to the State Assembly, meeting with towns and stakeholders, reviewing the language used in the bill, legislative action, and a referendum.




Related Articles:

Be the first to comment on this article. (Just fill out the form below)
 

Submit Your Comment

Please note, you are not currently logged in. Your comment will be submitted as a guest.
To submit your comment as a member, please click here.
Your Name:
Location:*
Comments:*
* Comments will be reviewed and posted in a timely fashion
* All fields are required
Question:*
What color is a firetruck?
(For spam prevention, thanks)
 
 
 
http://www.hamptons.com/gallery/ads/1213.gif
http://www.hamptons.com/gallery/ads/1782.gif
http://www.hamptons.com/gallery/ads/2158.gif
http://www.hamptons.com/gallery/ads/2150.gif
Gary R. DePersia, Corcoran Real Estate
With over $2 billion in transactions on the East End and since 1995, Gary DePersia is consistently ranked among the top producers in the Hamptons. A year-on-year member of The Corcoran Group President’s Council, he has qualified as a national list maker since 2007. In 2008 he was Corcoran's top broker on the East End by sales volume and rental units; and ranked as the nation’s 4th top broker. In the 2017 REAL Trends & The Wall Street Journal list of America’s top real estate professionals, he was designated #26 nationally, #4 in the Hamptons and #3 at Corcoran overall by volume with nearly $200 million of transactions for the past year. His office operates with four licensed assistants allowing him to build a business stretching from Southampton to Montauk and Sagaponack to Shelter Island. gdp@corcoran.com

East End Tick Control
The East End's only New York State licensed dedicated tick and mosquito control specialists!

Bridgehampton National Bank
For over 100 years Bridgehampton National Bank has been the East End's hometown bank. Many success stories...one bank, BNB!

Hamptons Carpet One Floor & Home
We pay less,and so do you.With over 1,000 stores in our buying group, we can get the lowest prices from the best flooring manufacturers — and pass the savings on to you.Visit our other locations: Hamptons Carpet One Floor & Home, 675 North Sea Road,Southampton, NY 11968

CP Complete- Landscape Design & Construction
Paul Guillo And Chris Hall Two Of The Most Respected Names In The Community Together, they are partners in CP Complete. They bring their years of experience and integrity to creating and renovating luxury backyards.

CP Complete- Landscape Design & Construction
Paul Guillo And Chris Hall Two Of The Most Respected Names In The Community Together, they are partners in CP Complete. They bring their years of experience and integrity to creating and renovating luxury backyards.

D+J Concepts is known for a high-end cutting edge approach to design.
D+J Concepts is known for a high-end cutting edge approach to design with a balance between functionality and imagination. We skillfully and tastefully transform ordinary spaces into classic modern styles, which are understated, and luxe. We’re known for our modern transitional style incorporating antiques and modern elements for an unexpected edge.

Hamptons luxury real estate specialist for 33 years, Andrea Ackerman offers outstanding expertise in the field.
Hamptons luxury real estate specialist for 33 years, Andrea Ackerman offers outstanding expertise in the field. Trusted, experienced and successful, Andrea has solidified herself as the go-to broker of the Hamptons and a wholehearted advocate for her clients. A pioneer in the real estate industry on the East End of Long Island, she is driven by her passion for the business. Andrea is based in the Bridgehampton office of Brown Harris Stevens as a licensed real estate associate broker and consultant. Formerly, a principal partner and Senior Director at Brown Harris Stevens, Andrea now assists in developing their corporate strategy for the Hamptons region, advising other brokers and sales associates, as well as being one of the top producers and listors.