NAHB Supports First-Time Home Buyer Tax Credit Legislation
After President Biden called for a new federal tax credit to support first-time home buyers in his State of the Union Address, the First-Time Homebuyer Tax Credit Act was introduced in the House and Senate on March 13.
Sponsored by Sens. Sheldon Whitehouse (D-R.I.) and Martin Heinrich (D-N.M.) and by Reps. Jimmy Panetta (D-Calif.) and Earl Blumenauer (D-Ore.), the legislation would create a refundable tax credit up to $15,000 for first-time home buyers. Buyers would have the option of claiming the credit at closing through their mortgage lender, which would help alleviate one of the biggest barriers for first-time buyers: accumulating enough savings to cover the initial costs of buying a home.
The credit phases out for those making above 150% of area median income and for those buying a house with a purchase price above 110% of the area median purchase price. Additionally, the credit is limited to home purchases financed through federally backed mortgages.
NAHB has endorsed this legislation, and while its fate is uncertain, NAHB welcomes the congressional focus on the challenges facing home buyers today. In addition to supporting tax incentives focusing on the unique challenges of a first-time buyer, NAHB strongly believes Congress should holistically look at how the tax code incentivizes homeownership for first-time buyers as well as existing home owners and move up buyers such as young families.
Latest from NAHBNow
Advocacy
Oct 23, 2026
Trump Issues Executive Order to Lower Housing Costs
President Trump on Oct. 22 signed an executive order to lower single-family and mortgage costs, and the Treasury Department released new institutional investor rules.
Advocacy
Oct 23, 2026
NAHB Commends President Trump’s Executive Order on Housing
NAHB Chairman Bill Owens issued the following statement today regarding President Trump’s housing executive order.
Latest Economic News
Economics
Oct 22, 2026
Share of New Homes with Decks Inches Upward
The share of new homes with decks inched upward, from an all-time low of 17.4% in 2024 to 17.8% in 2025, according to NAHB tabulation of data from the HUD/Census Bureau Survey of Construction (SOC).
Economics
Oct 22, 2026
State-Level Employment Situation: September 2026
State-level employment data for September continued to show a mixed labor market, with job gains and losses split across the county. Although national nonfarm payroll employment increased modestly, year-over-year job growth varied considerably across states
Economics
Oct 21, 2026
Nearly One in Three Construction Workers are Hispanic
Diversifying the construction labor force remains a key priority amid persistent skilled labor shortages. According to NAHB analysis of the 2024 American Community Survey, non-Hispanic White workers account for the majority of the construction industry at 55.8%. Hispanic workers now represent nearly one-third of the labor force at 32.8%, followed by non-Hispanic Black workers at 5% and non-Hispanic Asian workers at 1.8 %.