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IN HB1165

IN HB1165
Down payment assistance.


summary

Introduced
01/08/2025
In Committee
01/08/2025
Crossed Over
Passed
Dead
04/24/2025

Introduced Session

2025 Regular Session

Bill Summary

Down payment assistance. Provides that a person that otherwise meets the qualifications to receive down payment assistance under a down payment assistance program offered by the Indiana housing and community development authority (authority) may pair down payment assistance with a first mortgage issued by a community development financial institution (CDFI) without regard to whether the CDFI is a participating lender for purposes of the authority's mortgage programs and down payment assistance programs.

AI Summary

This bill expands down payment assistance options for homebuyers by allowing them to use assistance programs from the Indiana Housing and Community Development Authority (IHCDA) with first mortgages issued by Community Development Financial Institutions (CDFIs), even if those CDFIs are not currently participating lenders in the authority's mortgage programs. The bill defines a CDFI as an organization certified by the federal Community Development Financial Institutions Fund under the Riegle Community Development and Regulatory Improvement Act of 1994. It specifically identifies two existing down payment assistance programs—the Next Home program and the First Step program—and allows for potential future programs. By removing the requirement that mortgage lenders must be pre-approved participants, the bill provides more flexibility for homebuyers to access down payment assistance, potentially making homeownership more accessible by allowing them to work with a broader range of financial institutions while still receiving state assistance.

Committee Categories

Business and Industry

Sponsors (1)

Last Action

First reading: referred to Committee on Financial Institutions (on 01/08/2025)

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