Bill > S2720

Introduced Session

This bill would establish a loan program for first-time homebuyers who move to parts of the State with the highest numbers of abandoned properties. This bill would help encourage the revitalization of these areas. The loan program that would be created by the bill would provide interest-free, deferred second mortgage loans to eligible applicants to cover the cost of qualified repairs to residential properties in eligible areas. An eligible applicant is a first-time homebuyer who purchases and occupies a residential property in an eligible area, and who meets certain other criteria. An eligible area is any one of the 10 municipalities with the highest numbers of abandoned properties in the State, and all areas within five miles of the boundaries of the municipality. A qualified repair encompasses basic rehabilitation repairs to a residential property, including but not limited to improvements to the plumbing, heating system, electrical system, roof, windows, doors, insulation, or exterior, including painting. The maximum amount for a loan issued pursuant to a program under this bill would be $10,000. A loan may be deferred up until the time of sale or transfer of title of the residential property. The bill requires the Executive Director of the New Jersey Housing and Mortgage Finance Agency to adopt rules and regulations on or before the first day of the ninth month next following the effective date of the bill. Lastly, the bill appropriates $5 million from the General Fund to the New Jersey Housing and Mortgage Finance Agency to effectuate the purposes of the bill.

AI Summary

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Jim Holzapfel (R)*, 

Introduced in the Senate, Referred to Senate Community and Urban Affairs Committee (on 02/15/2024)

Official Document