# 119-hr-8221: First-Time Homebuyer Savings Act of 2026

119-hr-8221, First-Time Homebuyer Savings Act of 2026, is a 119th Congress bill sponsored by Rep. Mace, Nancy [R-SC-1] (R-SC); status introduced; PRIA reads it as touching household money (as of 2026-08-26).

- Canonical: https://policyrisk.com/legislation/119-hr-8221
- As of: 2026-08-26
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: 119-hr-8221
- Congress: 119
- Title: First-Time Homebuyer Savings Act of 2026
- Status: introduced
- Introduced: 2026-04-09
- Sponsor: Rep. Mace, Nancy [R-SC-1] (R-SC)
- Cosponsors: 0
- Policy area: Taxation
- Touches household money: yes
- Last recorded action: 2026-08-26

## Summary

**This bill would create a tax-advantaged First-Time Homebuyer Savings Account (FTHSA)** to let people save specifically for a first home by allowing a new deduction for cash contributions and tax-free withdrawals for qualified purchase and construction costs. - First-time homebuyers and families would gain a dedicated savings vehicle that covers buying or building a principal residence, including land, site work, design, permitting, construction costs, and transaction fees. Accounts must be held by a qualified trustee and the beneficiary must have had no ownership interest in a residence during the prior 3 years. - Income-limited savers face eligibility caps. The deduction phases out above $200,000 in modified adjusted gross income and above $400,000 for joint filers, and annual contributions across all FTHSAs are capped at $10,000 per individual. - Savers who become owners get a transition option. After the three-year qualifying period, remaining funds can be moved into an IRA within 180 days under the bill's post-acquisition transfer rules, and nonqualified distributions are taxable and subject to a 10% additional tax unless rolled over.

## Provisions PRIA read

- Payroll tax break for account savers: benefit, medium. If enacted, amounts you exclude from income for First-Time Homebuyer Savings Account contributions would not count as wages for payroll taxes. That would lower the wages subject to Social Security and Medicare taxes for employees who make such excluded contributions. It would also change employer w…
- New first-time homebuyer account: mixed, high. If enacted, the bill would create a First-Time Homebuyer Savings Account for people who (and whose spouse) did not own a home in the prior three years. You would be able to deduct cash contributions to the account up to $10,000 per year, but taxpayers with MAGI over $200,000 ($400,000 joint) could…

## Related bills

- 119-hr-4706: Protecting Our Farms and Homes from China Act
- 119-hr-3756: FISH Act of 2025
- 119-hr-833: Educational Choice for Children Act of 2025
- 119-hr-5457: Strengthening Agency Management and Oversight of Software Assets Act
- 119-hr-9298: Stopping Harmful and Outrageous Torts Act
- 119-hr-740: Veterans’ ACCESS Act of 2025

## Sources
- [119-hr-8221 on Congress.gov](https://www.congress.gov/bill/119th-congress/house-bill/8221)

## Related
- [119-hr-4706: Protecting Our Farms and Homes from China Act](https://policyrisk.com/legislation/119-hr-4706)
- [119-hr-3756: FISH Act of 2025](https://policyrisk.com/legislation/119-hr-3756)
- [119-hr-833: Educational Choice for Children Act of 2025](https://policyrisk.com/legislation/119-hr-833)
- [119-hr-5457: Strengthening Agency Management and Oversight of Software Assets Act](https://policyrisk.com/legislation/119-hr-5457)
- [119-hr-9298: Stopping Harmful and Outrageous Torts Act](https://policyrisk.com/legislation/119-hr-9298)
- [119-hr-740: Veterans’ ACCESS Act of 2025](https://policyrisk.com/legislation/119-hr-740)
- [All bills in Congress](https://policyrisk.com/legislation)

Source: PRIA, https://policyrisk.com/legislation/119-hr-8221 (as of 2026-08-26).