What You Need to Know about the Proposed First Time Homebuyer Pandemic Savings Act

NAR and REALTORS® are supporting New York Congressman Maloney’s First Time Homebuyer Pandemic Savings Act. The legislation would let firsttime buyers withdraw funds from their retirement accounts as coronavirus-related distributions to use toward the purchase of a home, meaning this money would be taken out tax and penalty-free.

Rep. Maloney’s bill would allow first-time homebuyers to take out up to $25,000 from their retirement accounts to put towards a down payment, which would help those who are struggling at this time to save for a home.

Over the last few months,  home prices all over the country have risen as inventory has strained, which has made saving for a down payment even harder for young Americans. The real estate community is hopeful this act can help support the housing market.