Last Wednesday, REALTOR® Bill HB 248, sponsored by Rep. Kyle South (R-Fayette), received a favorable report as amended from the House Ways & Means Education Committee.   The Banking Association offered an, agreed-upon amendment to the bill.  HB 248 passed 10-0.

HB 248 provides for a First-Time Homebuyer Savings Account for those persons who have never owned a home or those that are re-entering the housing market, if they have not owned a home within three years. The tax-free savings from the account can go toward a down payment and/or closing costs for a single-family residence.  The bill provides limits for the tax deduction and states that qualified expenditures must be made within 5 years from opening the account.

After Rep. South presented the bill to the Committee, the Chairman of the Committee, Bill Poole (R-Tuscaloosa), stated, “This bill will provide a positive impact on home ownership.”  Rep. Joe Lovvorn (R-Auburn) agreed and commended Rep. South for bringing the bill.

HB 248 now goes to the House floor for consideration.