LANSING, Mich. — The Senate Committee on Finance on Wednesday afternoon considered legislation aimed at encouraging Michiganders to buy their first home here in Michigan.
“Saving for a down payment and other closing costs is a huge barrier of entry to homeownership,” said bill sponsor Sen. Ken Horn, R-Frankenmuth. “The goal of this legislation is to promote smart homeownership and to encourage people to put down roots here in our state.”
The legislation, sponsored by Horn and Sen. Peter MacGregor, would create the Michigan First-time Home Buyer Savings Program. The program would allow an individual to create a savings account designated as a first-time homebuyer savings account. This designation would provide tax benefits and allow funds in the account to be used toward a down payment or allowable closing costs for a first-time home purchase in Michigan.
“We’ve seen this model used successfully in other states when it comes to retaining and attracting talent and I think it will be a great tool in doing the same here in Michigan,” Horn said. “A first-time homebuyer savings account can be opened by an individual for themselves or by a parent, a grandparent, a guardian, an aunt or by any person as a gift just like the Michigan Education Trust program. This will make purchasing your first home a bit less intimidating.”
Editor’s note: A print-quality version of the above photograph is available by clicking on the image or by visiting the senator’s website at www.SenatorKenHorn.com. Click on “Photos” under the In the News tab.
Photo caption: State Sen. Ken Horn, R-Frankenmuth, testifies before the Senate Committee on Finance with Brad Ward, vice president of public policy and legal affairs of the Michigan Realtors Association, on Horn’s legislation to create the First-time Home Buyer Savings Program in Michigan.