The Ripon Advance - Coffman, Comstock Introduce Bipartisan Measure to Help First-time Homebuyers

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By Ripon Advance News Service

Bipartisan legislation introduced last week by U.S. Reps. Mike Coffman (R-CO) and Barbara Comstock (R-VA) would allow first-time homebuyers to use tax-advantaged savings accounts.

The First-Time Homebuyer Savings Account Act, H.R. 5575, would build on the success of 529 savings accounts that enable students and parents to deposit pre-tax funds to save for college by using the same model for first-time homebuyers.

"The American dream of home ownership is getting harder and harder to attain for those starting out on their own these days because of the challenges involved in saving up for the down payment," Coffman said. "The First-Time Homebuyer Savings Account Act is a straightforward and bipartisan solution to this problem."

The Joint Center for Housing Studies at Harvard University identified Coffman's congressional district, Colorado's 6th, as a "renters' crisis" area. Half of all citizens in the district spend at least 30 percent of their income on rent.

Earlier this year, Coffman introduced a bill that would enable first-time homebuyers to draw funds from an IRA account for a down payment on a home.

Comstock called the First-Time Homebuyer Savings Account Act a "smart, bipartisan" solution that would help young families purchase their first home.

"With many young Americans living paycheck to paycheck, the First-Time Homebuyer Savings Account Act will bring a policy we already have in Virginia to the national stage by creating a 529-style savings account so families can afford the down payment and other associated fees when they buy their first home," Comstock said.

U.S. Rep. Sean Patrick Maloney (D-NY), a cosponsor of the bill, said that high rents, student loans and a changing economy have made it hard for many -- especially young people -- to buy their first home.

"Buying a home is one of the most critical tools for lifting folks into the middle class and keeping them there, so I'm thrilled to introduce bipartisan legislation to empower first time home buyers and give them a fair shot at the American dream," Maloney said.

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