HSB 599

The bill establishes a first-time homebuyer grant fund within the authority. The bill authorizes the authority to provide grants from the fund to first-time homebuyers with a household income that does not exceed percent of the national average to assist them in paying down payment and closing costs for a single-family or multifamily residence. The bill appropriates $250,000 to the fund beginning July 1, 2020, and each fiscal year thereafter. The bill requires a first-time homebuyer seeking an award from the fund to submit an application to the authority. The bill provides that the authority is to establish criteria for the review and approval of applications by rule and that the authority may determine and collect a reasonable application fee. In addition, the bill directs that such application fees be used exclusively for costs associated with the review and approval of the applications. _____ must serve as the first-time homebuyer’s primary residence; the first-time homebuyer must complete a financial literacy program; and the maximum purchase price for the residence to be purchased must not exceed the amount determined by the authority. The bill limits the amount the authority may award to a first-time homebuyer from the fund to $2,500. The bill directs the authority, to the extent possible, to track when a first-time homebuyer sells a residence that was purchased using moneys from the fund. The bill also requires first-time homebuyers to notify the authority of the sale of the residence purchased and repay moneys to the fund in certain circumstances.67 multiplied by the difference between less the number of months the first-time homebuyer owned the residence. The bill provides that these payments are to be deposited in the fund. The bill requires the authority to adopt rules as necessary for implementation and administration of the grant fund.