According to the Providence Journal, federal lawmakers introduced the First-Time Homebuyer Tax Credit Act to provide up to $15,000 in tax refunds for new homebuyers. Targeted at those purchasing homes priced at $150,000 or more and earning 150% or less of the area’s median income. The First-Time Homebuyer Tax Credit Act aims to ease the challenges posed by rising housing prices and limited availability in Rhode Island.

Efforts to Address Rhode Island’s Housing Crisis Gain Traction

Rhode Island’s housing market is booming with single-family home prices nearly doubling since 2019. Limited availability and rising loan interest rates make it challenging for prospective buyers, especially since state grants for first-time homebuyers have ended. Sally Hersey of the Rhode Island Association of Realtors believes proposed tax credits could aid low-income buyers. This First-Time Homebuyer Tax Credit Act proposal echoes past initiatives but offers more substantial assistance including refundable credits. Some Rhode Island politicians advocate for a savings plan to aid homebuyers highlighting ongoing efforts to address the housing crisis.

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