Home Buyers Savings Account Bill Stalls in Committee

A bipartisan bill that takes a first-in-the-nation approach to home ownership has stalled in a key legislative committee.

HB 5344 creates a first-time home buyers savings account, designed to incentivize home ownership and address one of the factors driving the state’s labor shortage.

The bill was referred to the Finance, Revenue, and Bonding Committee April 8 after drawing unanimous support last month from the Banking Committee.

However, with limited budget changes now expected this session, HB 5344 joined dozens of other bills in meeting an unfortunate fate in the Finance Committee. 

Modeled after successful first-time home buyers’ savings accounts in other states, the bill also leverages tax credits to incentivize employers to contribute to employee accounts.

CBIA will continue to advocate for the policy, which has helped thousands of residents in other states.

Affordability

The Connecticut Association of Realtors, Connecticut Council of Small Towns, Connecticut Bankers Association, and the Credit Union League of Connecticut all joined CBIA in advocating for HB 5344. 

“Connecticut must become more affordable for our workforce to allow us to be competitive nationwide,” CBIA’s Pete Myers said.

“HB 5344 is an innovative and key step in that direction.”

“Connecticut must become more affordable for our workforce to allow us to be competitive nationwide.”

CBIA’s Pete Myers

A second bill providing relief for first-time home buyers remains alive for this year.

HB 5167 allows municipalities to provide a $500 annual property tax abatement to certain first-time home buyers if they purchase the home using a Connecticut Housing Finance Authority loan.

The bill awaits action in the House after winning unanimous approval from the Planning and Development Committee last month. 

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For more information, contact CBIA’s Pete Myers (860.244.1921).