Guam -Among the bills signed into law Wednesday by Governor Eddie Calvo was Senator Ben Pangalinan’s Bill 138 which creates the “First-Time Home Owner Assistance Program Act.” Senator Panaglinan has released the following statement on his bill becoming law.
READ Senator Panaglinan’s release in FULL below:
PANGELINAN’S LAW BECOMES A DREAM COME TRUE FOR FIRST-TIME HOMEOWNERS [01-05-2012]
FOR IMMEDIATE NEWS RELEASE (January 5, 2012– Hagåtña) – Senator Vicente (ben) Cabrera Pangelinan (D), Chairman of the Committee on Appropriations introduced Bill No. 138, now Public Law 31-166 created the “First-Time Home Owner Assistance Program Act” and becomes a dream come true for those seeking to buy or build their first home. The bill signed into law yesterday updated the original law and is now a program funded through the newly established Housing Trust Fund.
The First-Time Home Owner Assistance Program, coupled with the Housing Trust Fund Act, will provide qualified first-time homeowners with a grant of up to $10,000 towards the purchase or construct a home. The amount of financial assistance is 4 percent of the construction or purchase cost of homes that are $250,000 or below. The Guam Housing Corporation (GHC) will both administer and fund the program and is mandated to adopt rules and regulations within 90 days of the law’s enactment.
“The funding for this program will come from retained earnings of the GHC and will have not impact the government of Guam general fund,” stated Pangelinan. “With the increased costs of gas, power, water, health insurance, etc. and especially with the purchasing power of the consumer dollar now worth $0.59 as compared to a decade and a half ago, this program should provide that extra financial push for those individuals and families to own their very first home.”
The original First-Time Homeowners Relief Program, which was authored by Senator Pangelinan in the 24th Guam Legislature, was repealed and re-enacted in Public Law 31-166 in order to update the provisions to account for the changes in the financing and market conditions of the real estate industry.
“The enactment of the updated First-Time Home Owner Assistance Program will undoubtedly assist the residents of Guam that need that extra financial support to own their very first home,” stated Senator Pangelinan. “Not only does this provide financial assistance for the construction of new homes, but it also allows the current and vacant inventory of real estate to be occupied by first-time homeowners which will certainly assist Guam’s closed economy.”