Long Island New York Real Estate News
A new report released by the United Nations says that global temperatures are rising faster than predicted a few years ago, and could lead to massive sea level increases if nothing is done.
The report, released late last month when world leaders gathered in New York for the UN Climate Summit, stated that increased temperatures will cause melting ice caps, which will raise sea levels around the world. And that will have profound impacts in many coastal communities, including here on Long Island.
“The climate emergency is a race we are losing — but it is a race we can win if we change our ways now,” U.N. Secretary General António Guterres said in the report. “Even our language has to adapt: What once was called ‘climate change’ is now truly a ‘climate crisis.’ … We are seeing unprecedented temperatures, unrelenting storms and undeniable science.”
According to the report, if greenhouse gas emissions are sharply reduced and global warming is kept below two degrees Celsius, sea levels could still rise by one to two feet by 2100. However, if nothing is done, the report says that rise could be two to nearly four feet.
An interactive map by the National Oceanic and Atmospheric Administration (NOAA) shows the impact of sea level rise around the country. Here on Long Island, a two-foot increase would inundate many coastal communities. Long Beach would see even more flooding than it does now. The northern bay-side of many South Shore beaches would be gone. The entire Long Island coastline would move further inland than it is now, destroying many homes.
A four-foot sea rise, though, would be much worse. The entire community of Island Park would be underwater. Sections of Long Beach would be uninhabitable. The southern end of Westhampton Beach would be gone.
The North Shore wouldn’t escape the deluge, either. Sunken Meadow Park would sink. The Nissequogue River would dramatically expand and flood its banks.
On June 14, 2019, many property owners took a significant financial loss on their real estate investments, with many of their buildings dropping as much as 25% in value overnight. This came on the heels of changes to the 2019 Housing Stability and Tenant Protection Act. Let’s dive a little deeper on just why the Act may have had such a dramatic impact on real estate values.
The commercial building resale value, which is tied to potential rental income, decreased because most regulated apartments will now remain regulated. This affects a landlord’s ability to charge market-value rents. Furthermore, major capital improvements will now be capped at what could be passed on to the tenant. Some investors see this as a major blow to the local real estate market and might consider developing outside of New York State. Landlords are concerned about affording much-needed building improvements, while tenants are rejoicing that they don’t have to worry as much about their rent being drastically increased. Will this lead to fewer real estate transactions? And what of the impact on mortgage brokers, title companies, construction workers and others? Real estate professions should keep a close eye on the fallout from this legislation.
This Act certainly provides some new challenges for the real estate sector, and the impacts on valuations and tax revenues are unclear at best. Many observers say this is a natural progression toward tenant parity, while real estate investors are asking “what’s next on the legislative horizon?”
While affordable housing initiatives are welcome, even applauded, the hope is that this does not cause the unintended consequence of investors drifting away from real estate, further decreasing capital improvements and property values. This would be a lose-lose scenario.
Map of Bethpage Plume
Throughout my years working in the Long Island, New York real estate industry some of my clients sellers and buyers have asked me about this Bethpage toxic plume and if it would impact homeownership. Since Bethpage NY is one of the many locations I work in I consolidated some articles to help consumers research the Bethpage Plume
Town of Brookhaven
HOME DOWN PAYMENT ASSISTANCE PROGRAM
FOR FIRST-TIME HOMEBUYERS
2018 PROGRAM GUIDELINES
Important: Please retain this copy of the program guidelines after you send in the application as it contains important program information.
APPLICATIONS MUST BE SUBMITTED BY (January 2, 2019)
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|Household Size||Maximum Allowable Income*||Minimum Annual Income|
|8 or more||$123,250||$45,000|
*Please note that the maximum allowable income includes all income such as overtime, bonuses, pensions, social security, 401- K distributions, tips, etc. Your gross income cannot exceed the maximum annual income for your household size. When reviewing your application, the Town of Brookhaven must project the income that will be earned for the upcoming 12- month period; this is done by calculating your pay using your current pay stubs a letter from your employer verifying your salary or an Employment Verification Request.
be purchased within the Town of Brookhaven cannot exceed $362,790.
Manufactured homes must be placed on real property owned or to be owned by the purchaser.
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Applicants must purchase a home within the Town of Brookhaven, the Villages of Bellport, Lake Grove, Shoreham, Patchogue and Port Jefferson.
adequate financial resources and credit to qualify for a mortgage. To help you with the home buying process, it is required that all applicants obtain one-on-one/in person mortgage counseling
through the Long Island Housing Partnership (LIHP). This organization has a great deal of knowledge in this field and can advise you on many aspects of purchasing a home and securing a mortgage. Even though it is the responsibility of the applicant to secure a mortgage, LIHP can refer you to banks that offer first-time homebuyer mortgage products. They can also assist you with
clearing up any credit problems you might have. Therefore, you are advised to schedule an appointment as soon as possible. All applicants are required to provide a mortgage counseling certificate with their application as proof that the counseling was completed.
Applicants will be notified when all available Purchaser Certificates have been issued and a
waiting list has been established. Eligible applicants who are issued Purchaser Certificates will have 90 days from the date the Certificate is issued to submit a fully executed Contract of Sale to
the Town of Brookhaven. Failure to return a fully executed Contract of Sale by that date shall result in the automatic nullification of the Purchaser Certificate. As Purchaser Certificates are nullified, new Certificates will be offered to eligible applicants on the waiting list in order.
After entering into a contract to purchase an owner occupied, single-family residence, applicants
have 90 days to secure a mortgage with a recognized lending institution and close on the subject property. If the purchase is for new construction, the applicant will have 300 days to close on the
subject property. The Town of Brookhaven recommends that your attorney or representative include a clause in your contract that nullifies it in the event that you are found to be ineligible for the Down Payment Assistance Program.
All applications are subject to underwriting as part of the review process. Underwriting calculations will be done using information from the bank’s mortgage application (1003). Ratios must fit within the programs parameters. Housing Debt to Income, Total Debt to Income and Mortgage Amount to Appraised Value.
|Front End Ratio: DTI (Housing Debt to|
|Back End Ratio: TDTI (Total Debt to|
|Loan to Value : LTV (Mtg amt to Appraised|
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residential property to be purchased must pass a Housing Quality Standards (HQS) Inspection BEFORE RECEIVING HOME FUNDS. This inspection is provided by the Town of Brookhaven and
is solely for the purpose of ensuring that the home is in decent, safe and sanitary condition in
accordance with HUD regulations. The inspection will be scheduled upon receiving a mortgage commitment. WITHOUT EXCEPTION, this program will NOT fund homes that FAIL THE HQS INSPECTION. The Town of Brookhaven and the Long Island Housing Partnership is not
responsible to any person, party, entity, applicant, buyer, seller, etc., for the loss of any deposit and/or down payment on a home which has not passed the HQS Inspection. THIS INSPECTION DOES NOT TAKE THE PLACE OF A HOME INSPECTION ORDERED BY THE PURCHASER.
In order to receive the assistance, eligible applicants will be required to sign a Town of Brookhaven Payment Voucher and a Note & Mortgage to secure the terms of the grant. Please note those applicants purchasing a co-op will be required to sign a Note & Security Agreement and the Town of Brookhaven will file a UCC-1 statement in order to secure the grant assistance. Before submission, please make sure your application and all accompanying documentation is complete and accurate. Once received by LIHP any changes to your application could place your application at risk of being moved to the end of the application list.
CONTRACT AGREEMENT” in order to verify that this restriction is not being violated. This document will be sent to you when the Purchaser Certificate is issued.
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The Down Payment Assistance is a zero-interest deferred payment loan that will be forgiven at the end of the ten (10) year term providing that the house is not sold, transferred or rented out. Recipients will be required to verify that they are still living in the funded property for the ten (10) year term of the Note & Mortgage.
No interest in the subject property has been sold, rented or transferred. There is a required ten
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If you sell before the ten (10) year period or the residence goes into foreclosure, the amount of HOME Direct Homebuyer Subsidy to be recaptured will be reduced by 20% at the end of each year of the affordability period. The following chart assumes an original subsidy of $20,000 as an example:
|Amount to be recaptured:||Occupancy Period of:|
|$20,000||Up to 12 months|
|$16,000||13 months to 24 months|
|$12,000||25 months to 36 months|
|$8,000||37 months to 48 months|
|$4,000||49 months to 60 months|
|$ 0||At the end of 60 months|
Applications received shall be evaluated and certified on a first come, first served basis based on the availability of funds.
A letter from LIHP, detailing the eligibility or ineligibility, will be sent to each applicant after a full review of the applicant has been conducted.
Applications can be completed and submitted online at: www.lihp.org/downpayment.html, or by being mailed to or submitted to the LIHP office in Hauppauge.
To apply online: the application fee of $75.00 can be paid through the secure online payment processor transaction. Upon completing the online application you will be directed to the payment section. Follow the payment instructions to make payment by debit or credit card. Upon payment you will be sent an email confirming payment and an application receipt. Your application cannot be accepted as complete until payment is received and the supporting documentation listed on the Checklist of Required Documentation is submitted. The supporting documentation can be submitted by uploading the scanned documents directly to the online application, or you may scan and upload documents using our Document Transmittal form available on our website at www.lihp.org/doctransmit.html, or mail the documentation to LIHP office in Hauppauge. DO NOT fax or email your documents. Failure to submit a complete application with all required documents can result in a delay in the review of your application.
To apply by mail or in person: please send the completed application and supporting documents listed on the Checklist of Required Documentation, accompanied by a check or money order for the $75.00 application fee made payable to Long Island Housing Partnership (do not send cash) to:
The Long Island Housing Partnership
180 Oser Avenue, Suite 800
Hauppauge, NY 11788
Attention: Town of Brookhaven Down Payment Assistance Program
This is a first-come, first-served program and only complete applications will be accepted. Applications will not be considered complete until the supporting documentation listed
on the Checklist of Required Documentation and the Application Fee payment is received.
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DO NOT FAX OR EMAIL YOUR DOCUMENTS.
You may upload your documents to us via a secure document transmittal form located on our website (www.lihp.org) under the “About Us” tab. Direct link for transmittal form: http://www.lihp.org/doctransmit.html You may also mail your documents to us or deliver documents in person to:
Long Island Housing Partnership
180 Oser Avenue, Suite 800
Hauppauge, NY 11788
Attention: Town of Brookhaven Down Payment Assistance Program
The LIHP staff is available to assist with the application, and answer questions about eligibility requirements. We also provide free mortgage counselling. If you have any questions regarding the guidelines or need language assistance including translation and/or oral interpretation services, please call the Long Island Housing Partnership at (631) 435-4710 before applying.
PLEASE RETAIN THESE GUIDELINES AFTER YOU SEND IN YOUR APPLICATION AS THEY CONTAIN IMPORTANT PROGRAM INFORMATION.
May new home sales gain 2.2% from April
Sales of new single-family houses in May 2015 were at a seasonally adjusted annual rate of 546,000, which is up 2.2% from April, according to estimates released jointly today by the U.S. Census Bureau and the Department of Housing and Urban Development. — From Housing Wire
3 ways to tame student loan debt and afford a mortgage
It’s no secret that student loans can make buying a home a challenge. But what exactly is the problem, and how can buyers overcome it? The problem is that student loans can be included in the buyer’s debt-to-income ratio, or DTI. — From Bankrate