First Time Home Buyer Savings Account
December 8, 2021
Oregon’s First-time Home Buyer Savings Account law allows residents to save money for first-time homeownership & may reduce your Oregon tax liability.
Who is eligible?
Any Oregon resident who hasn’t purchased or owned a single-family home, either individually or jointly, in the three years prior to the date of their planned purchase of a new home in Oregon. No individual may be the account holder on more than one First Time Home Buyer Savings Account.
What’s the benefit?
As an individual, you may deduct up to $5,000 from your Oregon taxable income for deposits and earnings in a First-Time Home Buyer Savings Account each year, for a maximum of 10 years. For those filing jointly, the deduction can be up to $10,000 per year. You may not subtract more than $50,000 in all tax years.
What can you spend your First-time Home Buyer Savings Account on?
- Down Payment
- Closing Costs
- Realtor Fees
- Appraisal Costs
- Loan Origination Fees
What are the requirements?
A First Time Home Buyer Savings Account can be opened at Willamette Valley Bank between June 2019 through December 31, 2026. Money deposited in the First-time Home Buyer Savings Account must be used to buy a single family home within 10 years of initially opening the account. The account holder may not use account to pay expenses of administering the account, but the bank may deduct a service fee from the account.
Savings Account Details
- No monthly fee
- Limitations on pre-authorized withdrawals
- $100 minimum opening deposit
- 2.00% Annual Percentage Yield, variable rate and can change at any time*
https://www.oregon.gov/dor/programs/individuals/pages/first-homebuyers.aspx