A Democratic bill with no cosponsors
Last activity — Referred to the House Committee on Ways and Means.
In committee
Introduced and handed to a committee in the chamber it started in.
The committee holds it, and most bills are never heard from again. A hearing or a committee vote would be news; silence is the usual outcome, and it kills the bill without anyone voting against it.
Its path through Congress
- Introduced
- In Committee
What this bill would do
The First Home Affordability Act aims to amend the Internal Revenue Code to create a refundable tax credit for first-time homebuyers. An eligible individual can receive a credit based on a percentage of their principal residence's purchase price. The bill establishes specific rules for income limits, purchase price limits, and age requirements. It also provides special rules for specific occupations like teachers, childcare workers, and first responders. Additionally, the act allows for the transfer of the credit directly to mortgage lenders. These changes would apply to principal residences purchased after the act is enacted.
Yes· 3 of 11
- Scored +6
Would middle-income households be better off under this?
The credit offers substantial assistance to middle-income earners purchasing their first homes.
- Scored +6
Does this make housing cost less?
The act provides direct financial assistance to help first-time buyers overcome the barrier of home ownership costs.
- Scored +5
Would people in their twenties and thirties be better off under this?
The credit specifically targets first-time homebuyers, a group that frequently consists of younger adults entering the housing market.
The opposite· 3 of 6
- Scored -2
Would high-income households be better off under this?
The credit is phased out for those with higher modified adjusted gross incomes.
- Scored -2
Does this reduce what the federal government owes?
The implementation of a large refundable tax credit increases federal spending, which may impact the national debt.
- Scored -2
Does this reduce what the federal government spends?
The bill establishes a new tax credit program, which represents a new expenditure for the government.
Who it would affect, and how
Potential Positive Impacts for People
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Financial Assistance for Homebuyers: Eligible individuals can receive a credit equal to 10 percent of the purchase price of a primary residence, divided by five, up to a $25,000 limit (Section 2(a)(b)(1)-(2)).
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Support for Specific Occupations: First responders, childcare workers, and teachers receive a specific credit period and a set applicable amount of 10 percent of the purchase price (Section 2(d)(2)).
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Flexibility in Using the Credit: Taxpayers have the option to elect to have their credit transferred directly to their mortgage lender to assist with the purchase (Section 2(i)(1)).
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Inflation Protections: The dollar amounts for the credit are subject to annual inflation adjustments to account for the cost of living (Section 2(a)(b)(4)(D)).
Potential Negative Impacts for People
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Income and Price Reductions: The amount of the credit can be reduced based on the taxpayer's modified adjusted gross income relative to the area median income (Section 2(a)(b)(3)).
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Purchase Price Limitations: The credit amount may be reduced if the purchase price of the residence exceeds 110 percent of the area median purchase price (Section 2(a)(b)(4)).
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Credit Recapture: If a taxpayer sells their principal residence or it ceases to be their primary residence during the credit period, they may have to pay back a portion of the credit (Section 2(h)(1)).
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Age Restrictions: The credit is not available to individuals who have not attained the age of 18 at the time of purchase (Section 2(a)(b)(4)(E)).
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Tap or hover a score for the reason it gave.
- Demographic And Interest Groups
- Would middle-income households be better off under this? — The credit offers substantial assistance to middle-income earners purchasing their first homes. Would households on low incomes be better off under this? — The refundable nature of the credit and the phaseout structure provide significant support for lower-to-middle income earners. Would people in their twenties and thirties be better off under this? — The credit specifically targets first-time homebuyers, a group that frequently consists of younger adults entering the housing market. Would veterans be better off under this, taking everything together? — The bill includes provisions for military members to avoid credit recapture during qualified service. Would people with disabilities be better off under this? — The bill includes exceptions for involuntary conversions that may benefit people with disabilities. Would women be better off under this? — The credit provides financial benefits to married individuals through shared credit amounts. Would high-income households be better off under this? — The credit is phased out for those with higher modified adjusted gross incomes. Would people over 65 be better off under this? — The credit is restricted to first-time homebuyers, which may exclude older individuals who have previously owned homes.
- Social Issues And Justice
- Does this make housing cost less? — The act provides direct financial assistance to help first-time buyers overcome the barrier of home ownership costs. Is this likely to lift people out of poverty? — By helping individuals build home equity, the bill provides a pathway to long-term wealth accumulation.
- Economy And Finance
- Does this cut taxes for middle-income families? — The bill provides a refundable tax credit of up to $25,000 for first-time homebuyers, which benefits middle-income families purchasing primary residences. Is this likely to grow the economy? — The credit encourages homeownership and can stimulate activity in the real estate and construction sectors. Does this reduce what the federal government spends? — The bill establishes a new tax credit program, which represents a new expenditure for the government. Does this reduce what the federal government owes? — The implementation of a large refundable tax credit increases federal spending, which may impact the national debt. Does this make the government pay for what it commits to? — The bill introduces significant new tax expenditures without providing specific revenue offsets. Is this likely to slow the rise in prices? — Increased liquidity for homebuyers could potentially put upward pressure on housing prices, contributing to inflation.
- Governance And Ideology
- Does this make what the government does easier for the public to see? — The bill requires specific documentation and reporting for taxpayers to claim the credit.
- 1/20/2026
- Referred to the House Committee on Ways and Means.
- Introduced in House
3 bills Congress.gov lists as related to this one — companions in the other chamber, earlier versions, and bills this one absorbed or was folded into.