New York 2025-2026 Regular Session

New York Senate Bill S09120

Introduced
2/4/26  

Caption

Establishes the senior homeowner foreclosure and rehabilitation revolving loan program to permit the New York state mortgage agency to make low-interest loans, deferred payment loans, or forgivable loans, or a combination thereof, to eligible senior homeowners for eligible assistance; directs SONYMA to prioritize senior homeowners at imminent risk of foreclosure; properties with essential systems in need of immediate repair or replacement, including heating and boilers; and senior homeowners with documented financial hardship that limits their ability to maintain the property or make mortgage payments.

Summary

S09120 would create a new senior homeowner foreclosure and rehabilitation revolving loan program within the State of New York Mortgage Agency (SONYMA). The program is designed to help eligible homeowners age 62 and older who own and occupy a single-family residence in New York by providing low-interest loans, deferred-payment loans, forgivable loans, or a combination of these forms of assistance. The aid may be used to prevent foreclosure, repair or replace essential home systems such as boilers, heating, plumbing, and electrical systems, and address health and safety hazards that affect habitability. The bill sets eligibility rules and program administration standards. Applicants must show financial need, use the property as a primary residence, and comply with housing, building, and fire codes. The agency may secure loans with a mortgage or other security interest, and it may impose affordability covenants for a period tied to the assistance provided. The program would be funded through legislative appropriations and other public or private contributions, with funds kept continuously available and not allowed to lapse. SONYMA would also be required to report annually on program activity and would be subject to audit by the state comptroller.

Impact

This bill would amend the Public Authorities Law by adding a new section authorizing SONYMA to operate a targeted housing assistance program for senior homeowners. It would expand the agency’s role beyond traditional mortgage finance into foreclosure prevention and home rehabilitation assistance for older residents, while establishing reporting, audit, and administrative limits. The measure would affect senior homeowners, especially those facing foreclosure or major repair costs, and could also influence housing preservation, neighborhood stability, and code compliance for owner-occupied single-family homes.

Sentiment

The bill appears generally supportive and remedial in tone, with a focus on helping older homeowners remain in their homes and maintain safe housing. The caption and text emphasize foreclosure prevention, essential repairs, and protections against displacement, suggesting a policy goal of stabilizing vulnerable seniors. No committee transcript or vote record is available in the provided materials, so there is no recorded opposition or formal vote-based sentiment to assess.

Contention

The main policy tensions likely concern program cost, funding source, and the use of public resources for loans that may be deferred or forgivable. Another possible point of debate is the balance between providing flexible assistance and imposing safeguards such as affordability covenants, security interests, and eligibility verification. Because no committee discussion or voting history is provided, no specific legislator or stakeholder opposition is identifiable from the record.

Companion Bills

No companion bills found.

Previously Filed As

NY A11422

Establishes the senior homeowner foreclosure and rehabilitation revolving loan program

NY S09117

Establishes the small homeowner rehabilitation revolving loan program administered by the New York state housing finance agency consisting of moneys appropriated by the legislature, repayments of principal and interest on loans made from the program, interest earnings, private or philanthropic contributions, and any other moneys made available for its purposes; authorizes the New York state housing finance agency to make low-interest loans, deferred payment loans, or forgivable loans, or a combination thereof, to eligible small homeowners for eligible rehabilitation and repair projects; provides for eligibility requirements and tenant protections.

NY HB1808

Creating an affordable homeownership revolving loan fund program.

NY A3479

Establishes mortgage payment relief and foreclosure protection for certain homeowners impacted by the remnants of Hurricane Ida.

NY A05697

Establishes the New York state diplomas to homeownership assistance program; provides awards of up to fifteen thousand dollars to eligible applicants for repayment on student loans; makes an appropriation therefor.

NY S09256

Increases the maximum income for eligibility for the senior homeowners' exemption to $100,000.

NY SB1261

IHDA-HOMEOWNERSHIP PROGRAMS

NY HB1745

HOPE for Homeownership Act Humans over Private Equity for Homeownership Act

NY S02627

Establishes the homeowner protection program; provides that the department of law shall establish the homeowner protection program to ensure the availability of free housing counseling and legal services to homeowners for the purposes of mitigating threats to homeownership; provides that the department of law shall provide grants to eligible not-for-profit housing counseling organizations and legal services organizations to provide services under the program.

NY A01625

Establishes the homeowner protection program; provides that the department of law shall establish the homeowner protection program to ensure the availability of free housing counseling and legal services to homeowners for the purposes of mitigating threats to homeownership; provides that the department of law shall provide grants to eligible not-for-profit housing counseling organizations and legal services organizations to provide services under the program.

Similar Bills

No similar bills found.