First-Time Home Buyer Distribution Increase Proposed

Senators Ruben Gallego (D-AZ) and Todd Young (R-IN) have introduced S. 2867, the Uplifting First-Time Homebuyers Act to help more people buy their first home. The proposal would increase the amount that a first-time homebuyer could distribute penalty free from their IRA—from $10,000 to $50,000. A press release notes that the median home price has nearly tripled since 1997 when the tax provision was first enacted. The bill has been referred to the Senate Finance Committee for further consideration.