David and his wife Jessica knew they were making a big, possibly risky, purchase. After three years of house hunting in East Hampton, they were finally negotiating on a modest three-bedroom, two-bathroom home. They stretched their savings thin, received some assistance from family, and kicked themselves for not having bought a home earlier when they were cheaper, like a decade ago when the median price in the Hamptons was $997,000. Today, it’s $2 million, according to a first-quarter report from Douglas Elliman.
Then, just as David and Jessica were nearing the closing date, they heard about East Hampton’s Down Payment Assistance Program, part of a new initiative funded by a 0.5% tax on real estate transactions. They applied, were approved, and received a $30,000 check just in time. Now, their monthly payments feel more like an investment than money lost to rent.
