NY A04835

Authorizes the New York mortgage agency to purchase labor organization assisted forward commitment mortgages from banks at prices and terms it determines.

Defines "labor organization" as any organization representing employees in New York dealing with employers or government regarding employment terms, conditions, grievances, and disputes.

Requires participating labor organizations to be bona fide unions maintaining an office in New York and satisfying agency-established guidelines.

Sets maximum loan-to-value ratio at 100 percent of appraised property value, with reasonable closing costs allowed to be amortized over the loan life.

Mandates labor organizations guarantee payment of up to 20 percent of outstanding mortgage indebtedness for members who default within the first seven years of the loan.