This bill directs the Maine State Housing Authority to administer a program offering grants of up to $15,000 to help reduce mortgage rates for first-time home buyers with incomes within federal limits. The grants are intended for owner-occupied single-family residences and can be used to lower the interest rate on the purchase loan. Additionally, the bill allows Maine taxpayers to deduct private mortgage insurance payments from their state income tax for their primary residence in the state. These changes aim to make homeownership more affordable for lower and moderate-income residents while providing tax relief for mortgage insurance costs.
This bill defines and regulates "shared appreciation agreements" for residential property in Maine. It directly affects homeowners who enter such agreements (where a provider gives money in exchange for a share of future property value) and the providers offering these agreements. Key provisions ban liens on property, restrictions on renting or refinancing, excessive fees, mandatory arbitration, and require providers to pay for the homeowner's independent legal counsel before signing. The bill caps repayment amounts at 200% of the initial advance and makes agreements violating these rules unenforceable, with violations triggering license revocation for providers.
LD 1444 requires mortgage lenders (mortgagees) to provide homeowners (mortgagors) with a 35-day written notice before starting a foreclosure action on a primary residence. This notice must detail the homeowner's right to cure the default by paying overdue amounts, including interest and fees, before foreclosure proceedings begin. The bill mandates that lenders prove strict compliance with this notice requirement in court; failure to do so results in dismissal of the foreclosure case and bars future foreclosure attempts on that property. The law applies retroactively to all past foreclosure judgments, orders, or dismissals in Maine. It directly affects homeowners facing foreclosure and lenders seeking to enforce mortgage defaults.
LD 255 provides $3.5 million in one-time state funding to help mobile home residents purchase their mobile home parks. The bill creates a "manufactured and mobile home park preservation and assistance program" that directly supports residents seeking to buy their parks from owners. This funding, allocated from the General Fund for fiscal year 2025-26, aims to prevent displacement by enabling community ownership. The program is specifically designed to assist residents in low-income mobile home communities where park ownership changes could lead to higher rents or forced relocation. The funding is a one-time allocation with no ongoing annual budget.
LD 845 establishes a First-time Home-buyer Program administered by Maine's Finance Authority to assist residents who haven't owned a primary home in the past three years. The program provides affordable mortgages with a maximum 5% down payment, interest rates below market rates, and 30-year loan terms, while setting county-specific home price limits based on local housing markets. The Finance Authority must allocate loans equitably across all 16 counties, report annually on loan distribution and program effectiveness starting in 2027, and may accept federal grants or private funding to support operations.
LD 1486 establishes the First-Generation Homeowner Down Payment Assistance Program, administered by the Maine State Housing Authority. It provides forgivable loans covering up to 10% of a home's purchase price to first-generation homeowners (defined as those whose parents/guardians never owned a home) with household incomes at or below 100% of the local median income. Loans are forgiven at 20% per year over five years, with administrative costs capped at $3,200 per loan. The program is funded by an annual $10 million appropriation from the General Fund to support eligible homebuyers.
LD 1479 creates a faster eviction process for senior homeowners (65 or older) who rent a room in their home through a "home-sharing agreement." The bill defines this as a tenancy where a senior homeowner leases a room to a tenant in their occupied residence. Under the law, landlords must give written notice of the violation, requiring tenants to leave within seven days. If tenants don't vacate, they're treated as trespassers, their belongings are considered abandoned, and landlords can request law enforcement assistance for eviction.
LD 1167 creates a Maine State Housing Authority pilot program to provide grants of up to $80,000 per unit to nonprofit housing developers for rehabilitating 15 existing aging housing units. The program targets first-time home buyers with incomes not exceeding 120% of the area median income, requiring them to occupy the unit and agree to return a graduated percentage of sale profits (25%-75%) if sold within the first three years. Grants cover specific repairs like lead paint mitigation, energy efficiency upgrades, structural fixes, and accessibility improvements. The program is funded with a one-time $1.2 million appropriation from the General Fund for the 2025-26 fiscal year.
LD 483 authorizes Maine to issue $300 million in state bonds, pending voter approval, to fund specific programs. The funds will be allocated as $125 million for the Maine State Housing Authority’s affordable housing tax credits, rural rental programs, and first-time homebuyer assistance, plus $175 million for new child care-public school partnerships (covering 100% of costs for children up to age 4) and residential water/sewer expansions (requiring 50% local matching funds). This bill directly affects low-income families accessing housing, parents seeking childcare, and homeowners in residential areas benefiting from infrastructure upgrades. The bonds must be repaid within 10 years, with unspent funds after that period used to retire other state debt.
This bill authorizes a $10 million bond issue to fund workforce housing construction in Maine's federal opportunity zones, administered by the Maine State Housing Authority. It directly affects low-to-moderate income homebuyers in counties outside Cumberland, Sagadahoc, and York by raising the income eligibility limit for the Affordable Homeownership Program from 120% to 150% of area median income. The bill also requires projects to include leveraged funds and specifies that unspent bond proceeds after 10 years will retire general obligation bonds. The bond issue requires voter approval via referendum before implementation.
