Bills · HR 2748
IN COMMITTEE· 119TH CONGRESS
House BillHR 2748Taxation
First Time Homeowner Savings Plan Act
INTRO APR 8· LAST ACTION APR 8
READING
1MIN
COSPONSORS
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READER REACTIONS0 TOTAL
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- Introduced only
LEGISLATIVE PROGRESS
STEP 2 / 8Introduced
In Committee
Reported
Passed House
Passed Senate
Conference
To President
Became Law
WHAT THE BILL DOES
AI-writtenThis bill matters because buying a home is a major financial hurdle for many Americans, especially first-time buyers who often struggle to gather a sufficient down payment. Housing costs have risen significantly, and the current $10,000 penalty-free withdrawal limit from retirement accounts has not kept pace with these increases. By raising the limit to $25,000 and adding an inflation adjustment, the bill aims to give first-time homebuyers more flexibility to use their own savings to afford a home. If this becomes law, it could help more people achieve homeownership by making their retirement funds a more accessible resource for a down payment. If it doesn't pass, the limit remains at $10,000, potentially leaving a significant gap between available penalty-free funds and current homebuying costs.
KEY PROVISIONS
3AI-extractedPROVISION 01
Increases the amount first-time homebuyers can withdraw from their individual retirement accounts (IRAs) without penalty from $10,000 to $25,000.
This allows individuals to use a significantly larger portion of their retirement savings to purchase their first home without incurring an early withdrawal tax penalty.
PROVISION 02
Adds a provision to adjust the $25,000 limit for inflation starting in 2027.
This ensures the penalty-free withdrawal amount will maintain its purchasing power over time, keeping pace with rising home costs.
PROVISION 03
Establishes that these changes will apply to withdrawals made on or after December 31, 2025.
This sets a clear timeframe for when the new rules will take effect, allowing individuals to plan accordingly.
SPONSORSHIP
1 + 0
D· Michigan
YRS IN OFFICE
7
BILLS LED
59
ACTION TIMELINE
2 EVENTSAPR 8
Introduced in House
APR 8
Referred to the House Committee on Ways and Means.
BILL INFO
TypeHouse Bill
NumberHR 2748
Congress119th
StatusIn Committee
IntroducedApr 8, 2025
Last actionApr 8, 2025
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IN COMMITTEE· 119TH CONGRESS · WAYS AND MEANS COMMITTEE · INTRODUCED APR 8, 2025
House BillHR 2748Taxation
First Time Homeowner Savings Plan Act
INTRODUCED APR 8, 2025· LAST ACTION APR 8, 2025
PASSAGE CHANCES
—%
READING
1 min
COSPONSORS
0
COMPLEXITY
Moderate
