Bill > HB717

This bill establishes a first-generation homebuyer trust fund and program designed to help individuals who have never owned residential property purchase their first home. The bill defines a "first-generation homebuyer" as someone who has not previously owned residential property and meets specific criteria, such as having parents without property ownership, being a former foster youth, an emancipated youth, or qualifying as a homeless youth. The trust fund will be created in the State Treasury and administered by the Kentucky Housing Corporation, with money coming from state appropriations, gifts, grants, and federal funds. The program will offer forgivable loans up to $5,000 for down payments, closing costs, mortgage insurance, or interest rate buy-downs to eligible applicants with household incomes at or below 120% of the county median income. Recipients must complete financial education and homebuyer counseling, and agree to occupy the property as their primary residence for at least three years. If the property is sold or converted to non-owner occupancy within three years, the loan must be repaid. The bill prohibits discrimination in the sale or availability of housing and requires the Kentucky Housing Corporation to submit annual reports to the Legislative Research Commission detailing the trust fund's performance and impact.