Bill > A07484

This bill establishes a home equity protection insurance program through a state agency that will provide insurance for one-to-four family residences (including condominiums and cooperatives) owned by individuals meeting specific income qualifications. The program will insure the full property value, determined by purchase price, purchase price plus rehabilitation costs, or an appraisal. If a homeowner sells their insured property after living in it for at least three years and the sales price is lower than the insured amount, the agency will pay the difference. The agency will create a dedicated insurance fund, maintaining a reserve of at least 20% of the total insured amounts, and will invest fund moneys in special time deposit accounts, certificates of deposit, or government obligations. The agency can decline to pay claims if the property value loss is predominantly due to the homeowner's neglect of the property's physical condition. Importantly, homeowners will pay a premium for this insurance, with the specific amount to be determined by the agency. The program aims to provide financial protection for qualifying homeowners against potential equity loss when selling their property.

Housing and Urban Affairs

https://www.nysenate.gov/legislation/bills/2025/A7484