Bills · HR 7468
IN COMMITTEE· 119TH CONGRESS
House BillHR 7468Taxation
First-Time Home Buyer Empowerment Act
INTRO FEB 10· LAST ACTION FEB 10
READING
5MIN
COSPONSORS
10
READER REACTIONS0 TOTAL
NO VOTES YET · BE THE FIRST
- 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 it attempts to address two major financial challenges many young Americans face: the high cost of education and the increasing difficulty of affording a first home. By allowing tax-free withdrawals from 529 plans for home purchases, it could make it easier for people to gather the necessary down payment, potentially accelerating their path to homeownership. This could be particularly impactful in areas with high housing costs, where down payments can be a significant barrier.
If this bill becomes law, it would give families and individuals more flexibility with their education savings, recognizing that the financial needs of young adults can extend beyond tuition. If it doesn't become law, 529 funds would continue to be restricted primarily to education expenses, and any withdrawal for a home purchase would generally be subject to income tax on earnings and potentially a penalty, making it a less attractive option for housing.
KEY PROVISIONS
4AI-extractedPROVISION 01
Allows tax-free and penalty-free withdrawals from 529 plans for first-time home purchases.
This makes it financially easier for designated beneficiaries of 529 plans to afford a down payment on their first home.
PROVISION 02
Imposes a 15-year minimum holding period for the 529 plan and a 5-year rule for the contributions being withdrawn.
This ensures the program is used for long-term savings, rather than short-term tax avoidance strategies.
PROVISION 03
Sets an aggregate lifetime limit of $35,000 for these tax-free home purchase withdrawals.
This caps the amount of tax-advantaged funds that can be diverted from education to housing.
PROVISION 04
Establishes a 'recapture' rule, requiring the repayment of tax benefits if the home is sold or stops being the principal residence within five years.
This provision aims to prevent abuse and ensures the funds are used for a genuine, long-term primary residence purchase.
SPONSORSHIP
1 + 10
R· Kansas
YRS IN OFFICE
5
BILLS LED
28
COSPONSOR BREAKDOWNBIPARTISAN · 40%
DEM 2 REP 8 IND 0
ACTION TIMELINE
2 EVENTSFEB 10
Introduced in House
FEB 10
Referred to the House Committee on Ways and Means.
BILL INFO
TypeHouse Bill
NumberHR 7468
Congress119th
StatusIn Committee
IntroducedFeb 10, 2026
Last actionFeb 10, 2026
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IN COMMITTEE· 119TH CONGRESS · WAYS AND MEANS COMMITTEE · INTRODUCED FEB 10, 2026
House BillHR 7468Taxation
First-Time Home Buyer Empowerment Act
INTRODUCED FEB 10, 2026· LAST ACTION FEB 10, 2026
PASSAGE CHANCES
—%
READING
5 min
COSPONSORS
10
COMPLEXITY
Moderate
