Town of Southampton Community Housing Fund Down Payment Assistance Program for First-Time Homebuyers

What is Town of Southampton Community Housing Fund Down Payment Assistance Program for First-Time Homebuyers?

Town of Southampton Community Housing Fund Down Payment Assistance Program for First-Time Homebuyers is a deferred second loan for homebuyers in Southampton, New York, administered by Town of Southampton Department of Housing and Community Development.

• The Town of Southampton Community Housing Fund (CHF) offers first-time homebuyers a no-interest, deferred-payment loan of up to 3% of a home's purchase price toward the down payment for a primary residence in the Town of Southampton. The loan is repaid when the home is sold, transferred, refinanced or rented; recipients must occupy the home as their primary residence and recertify annually. This program does not fund closing costs.
• No-interest deferred loan up to 3% of purchase price toward down payment.
• Funding comes from Town of Southampton Community Housing Fund (0.5% real estate transfer tax).

How much assistance does it provide?

Town of Southampton Community Housing Fund Down Payment Assistance Program for First-Time Homebuyers provides assistance worth 3% of the purchase price, as set by the program.

• Buyer contribution: Applicant must have a minimum of 2% of projected purchase price in the bank at application; liquid assets cannot exceed the purchase price.
• The program can be combined with other assistance, subject to the rules of each.
• Amounts are the program's published maximums, not an offer — Town of Southampton Department of Housing and Community Development determines any individual award.

Do you have to pay it back?

Town of Southampton Community Housing Fund Down Payment Assistance Program for First-Time Homebuyers is deferred, so no payments are due until the home is sold, refinanced, or the first mortgage is paid off.

• Repayment is triggered by Repaid when home is sold, transferred, refinanced or rented out.
• The assistance is recorded in subordinate position.
• Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

Town of Southampton Community Housing Fund Down Payment Assistance Program for First-Time Homebuyers is open to first-time homebuyers and buyers who will live in the home as their primary residence.

What are the income limits?

Town of Southampton Community Housing Fund Down Payment Assistance Program for First-Time Homebuyers sets its income limit as follows: Max gross annual household income: $184,680 for 1-2 persons; $215,460 for 3+ persons (100% of SONYMA non-target income limits for Suffolk County).

• The limit applies to total household income, not only the borrower’s.
• Area median income figures are published by HUD and updated annually, so check the current table for the county before relying on a number.

What kind of home can it be used for?

Town of Southampton Community Housing Fund Down Payment Assistance Program for First-Time Homebuyers caps the purchase price at $1.7M.

• Eligible property types include single_family, two_family, condo, and townhome.
• New construction is eligible.

Where does it apply?

Town of Southampton Community Housing Fund Down Payment Assistance Program for First-Time Homebuyers serves buyers purchasing in Southampton, New York.

How do you apply?

Applications for Town of Southampton Community Housing Fund Down Payment Assistance Program for First-Time Homebuyers go through Town of Southampton Department of Housing and Community Development, which publishes the current terms and the application steps on its own site.

1. 1

   Take a homebuyer education course

   Required by the program, through Community Development Corporation of Long Island (CDLI) - one-on-one mortgage counseling.

2. 2

   Contact Town of Southampton Department of Housing and Community Development to reserve funds

   Funds are reserved through Purchaser Certificate; 180 days to submit executed contract of sale, then 90 days to close; one-time extension at Town discretion; first-come, first-served waiting list., and are subject to availability.

3. 3

   Work with a lender who handles the program

   Hey Prescott is not a lender and does not accept applications; this page describes the program so a buyer can take it to a lender or housing counselor.