Assemblyman Phil Ramos (D-Brentwood) announced that he’s authoring a bill to provide an income tax deduction for those looking to purchase their first home to help ease the financial burden and stimulate local economies (A.4427).
“Owning a home is a cornerstone of the American Dream, but is often out of reach for young people who simply cannot afford the investment, “said Ramos. “Nowhere is this more apparent than in Suffolk and Nassau counties, two of the most expensive places to live in the United States. This bill would help more New Yorkers fulfill that dream.”
Ramos’ bill allows potential buyers to set up a first-time homebuyers’ savings account and take a tax deduction for the amount deposited: $5,000 for an individual and $10,000 for couples annually.
The prohibitive cost of homeownership in New York drives young people from the state, noted Ramos. His measure would help young New Yorkers stay in state, stimulate the construction industry and create new jobs. In addition, each new home purchased puts a significant amount of money in related expenses back into New York’s economy.
"New York's highest-in-the-nation closing costs combined with taxes and fees associated with buying a home are the biggest obstacle to homeownership in the Empire State, particularly for first-time home buyers," said New York State Association of REALTORS (NYSAR) President Linda Lugo. "The challenge for many New Yorkers isn't the monthly mortgage payment; it is finding a way to save enough to pay for the closing costs. This first-time homebuyers' savings program would be an important step forward in reducing a significant barrier to homeownership in our state."
For more information on purchasing a new home in Suffolk County, as well as a guide for first-time buyers, visit: http://bit.ly/Homebuyers_help