ICYMI: Hinson Discusses Bipartisan Bill to Make Homeownership More Affordable & Attainable for First-Time Homebuyers

Washington, D.C. — Congresswoman Ashley Hinson (R-IA-02) recently sat down with Nexstar to talk about bipartisan legislation she led alongside Rep. Suhas Subramanyam (D-VA-10) to help first-time homebuyers save for a down payment and finally achieve the dream of homeownership.

Watch the interview here. Read the full story here and below: 

Maddie Biertempfel
Nexstar DC

The American dream of homeownership starts with a down payment, but many Americans don’t have the savings.

Lawmakers are trying to make that easier with a new bill to create tax-deferred down payment savings accounts.

“Buying that first house has been so difficult for a lot of young people,” Rep. Suhas Subramanyam (D-Va.) said. “My own experience — it was difficult to find a home that was affordable and I live in Northern Virginia, where housing prices are skyrocketing right now.”

Subramanyam and Iowa Republican Congresswoman Ashley Hinson are teaming up to try to make it easier to save for a home. 

“People kept saying, ‘I’m struggling to save money. Things are tight right now. And how do I get enough in my bank account where I can actually afford to make a down payment?’” Rep. Hinson (R-IA) said. 

The bipartisan “First Home Savings Opportunity Act” would create tax-deductible accounts for first-time buyers.

If passed, individuals can contribute up to $10,000 a year, and couples filing jointly can contribute $20,000. Money in the account must then go toward a down payment or closing costs.

“If you put away a certain amount every year and it’s pre-tax, you end up saving for that first home much faster,” Subramanyam said.

Voters like the idea, according to Shannon McGahn, the National Association of Realtors’ (NAR) chief advocacy officer.

“Eighty-four percent support having tax-free savings for down payments, and that’s across party lines,” McGahn said, referring to a NAR survey.

She says the NAR’s recent polling shows the median age of a first-time buyer is now 40.

“A decade ago, that was 30 [years old]. That’s about $150,000 of equity that is missing from the market when you look at 30 versus 40-year-olds purchasing that first-time home,” McGahn said. 

Hinson says she and Subramanyam are working to get their bill a vote in committee.

“Got to get it passed. There’s too many people waiting for that opportunity,” Hinson said. 

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