Down Payment Assistance Loans are funded through the Town of Southampton’s Community Housing Fund (CHF). CDLI only administers part of the program for application, processing, and underwriting under the following guidelines established by the Town.

• Loan amount up to 3% of the home’s purchase price

  • to be applied toward the down payment of the recipient’s purchase of an owner occupied, residential property located within the Town of Southampton.

  • Zero percent (0%) interest and payable at the sale of the home or refinance transaction.

• Purchase Price not to exceed $1,665,600.

• Eligibility Criteria:

  • Be a First-Time Homebuyer. Defined by Southampton Town Code §140-40 as an eligible individual who has not owned a primary residential property and is not married to a person that has owned a residential property during the three year period prior to his or her purchase of the primary residential property, and who does not own a vacation or investment home. 

  • Be an Eligible Individual.  Defined as a household income that does not exceed 100% of the income limits as established by the State of New York Mortgage Agency low interest rate loan program in non-target categories for Suffolk County in effect on the contract date for the sale of such property. (see the chart that follows).

  • Purchase Community Housing. Defined as a primary residential property for an eligible individual that does not exceed 150% of the purchase price limits established by the State of New York Mortgage Agency (currently, a maximum purchase price of $1,665,600).

  • Attend a mortgage counseling session. Given by The Community Development Corporation of Long Island (CDLI) which is a HUD certified not-for-profit housing agency and submit proof of attendance (a certificate of completion).

  • Have NOT entered into a Contract of Sale to purchase a home prior to being issued a Purchaser Certificate by the Southampton Town Department of Housing and Community Development. The recipient(s) of a certificate has (have) 180 days to submit a fully executed Contract of Sale to the Town of Southampton. Failure to comply will trigger the nullification of the Purchaser Certificate

  • HOMEBUYER CONTRIBUTION: The applicant is required to have a minimum of 2% of the projected purchase price deposited in the bank at the time of application. Applicant’s liquid assets cannot exceed the purchase price of the house.

    
    

* PLEASE CONSULT THE TOWN OF SOUTHAMPTON FOR APPLICABLE TOWN CODE PROPERTY AND ZONING REQUIREMENTS