The NY First Home bill A5616/S4058 passed both the New York State Assembly and Senate before the end of the 2017 legislative session. The legislation would allow individuals to deposit up to $5,000 per year ($10,000 for couples) of after-tax dollars into a tax-free savings account, to pay for the down payment and closing costs, in the case of a first-time homebuyer. In addition, the principal amount would be treated as a state income tax deduction. To view the legislation, click HERE.
In the early morning hours Saturday, June 18, 2016, the NY State Legislature passed S8159, a bill that would require servicers to maintain vacant and abandoned property that they do not own, for the many years that a foreclosure takes in the state of New York. Federally and state chartered depositories are exempt from the requirement if they either originate, own, service, or maintain their mortgages, or a portion thereof; and have less than 3/10 of 1% of the total loans in the state which they…
CLARIFICATIONS AND CORRECTIONS On April 13, 2017 CFPD Director Richard Cordray signed a proposed rule to make a number of clarifications, corrections, and changes to the revised HMDA regulation. The proposal also establishes transition rules for reporting certain loans purchased by financial institutions and includes additional information about reporting the census tract of a property using a new geo-coding tool the CFPB plans to provide online. To obtain a copy of the proposal, click HERE.
The NYSDFS published a cybersecurity rule that goes into effect on March 1, 2017. However, some parts of the regulation phase in anywhere from 180 days to 2 years in the future. The rule impacts banks, insurance companies, and other financial services institutions regulated by the Department. To view the press release and link to the regulation, click HERE.
One hour after Donald Trump became President, the Department of Housing and Urban Development announced it has withdrawn the reduction of Mortgage Insurance Premiums, which would have been effective with closing/disbursements on or after January 27, 2017. HUD will issue a subsequent Mortgagee Letter at a later date, should there be a policy change.
On December 7, 2016 the New York State Department of Financial Services released the Final Rule pretaining to vacant and abandoned property. The legislation is effective on December 20, 2016. The New York Mortgage Bankers Association has performed a complete analysis of the changes in the Final Rule, as opposed to the Proposed Rule. The NYMBA Analysis, Proposed Rule and Final Rule can be obtained by clicking on the following links: PROPOSED RULE FINAL RULE NYMBA ANALYSIS
On Friday evening, April 1, 2016 the New York State Budget was passed. The budget included the following language: PART LL “Section 1. Paragraph (b) of subdivision 9 of section 210-B of the tax law, as added by section 17 of part A of chapter 59 of the laws of 2014, is amended to read as follows: (b) Carryover or refund. In no event shall the credit herein provided for be allowed in an amount which will reduce the tax payable to less than the fixed dollar…