If enacted the “First-Time Homebuyer Act” would provide a tax credit for first-time homebuyers of up to 10% of the purchase price, or $15,000.

United States Rep. Earl Blumenauer (D-OR) and Rep. Jimmy Panetta (D-CA) introduced new tax credit legislation, dubbed the “First-Time Homebuyer Act.” The bill would provide a tax credit for first-time homebuyers of up to 10% of the purchase price, or $15,000. To be eligible for the full credit, potential buyers must not have owned or purchased a home within the past three years. The program would be targeted to low- and middle-income earners. Participants must also make no more than 160% of the area median income, and the home’s purchase price must be no more than 110% of the area median purchase price. Borrowers could claim the credit for primary residences purchased after Dec. 31, 2020. Borrowers would need to use the home as a primary residence for at least four years, or face taxes to recover a portion of the credit. 

Source: HousingWire