HR 918 makes a tax deduction for mortgage insurance premiums permanent for homeowners. The bill removes a temporary expiration clause in the tax code, ensuring that individuals who pay mortgage insurance (typically those with less than 20% down payment on a home loan) can continue deducting these costs on their federal taxes. This change applies to premiums paid after December 31, 2024, providing ongoing tax relief for affected homeowners without altering the deduction's eligibility rules. The policy change directly affects millions of homeowners who rely on this deduction to reduce their taxable income.
HR 6784 creates a federal tax credit allowing homeowners to claim 50% of costs for removing lead hazards in homes built before 1978, directly affecting owners of older properties. The credit covers certified lead abatement (up to $3,000 per home) or interim safety measures (up to $1,000), with a lifetime cap of $4,000 per residence. Homeowners must use certified professionals, provide documentation of completed work meeting federal standards, and cannot double-dip with state/local credits. The credit expires after December 31, 2028, and applies to costs incurred after December 31, 2024.
HR 1745, the HOPE for Homeownership Act, imposes new taxes on hedge funds and certain investment entities that own excessive single-family residences. It directly affects hedge funds with $50 million or more in assets under management, requiring them to pay a 15% tax (or $10,000) on new home acquisitions and an annual tax of $5,000 per excess property beyond allowable limits. The tax rate gradually decreases over nine years (from 90% to 0% of prior holdings) to encourage selling properties. Owners liable for this tax lose deductions for mortgage interest and depreciation on affected properties, creating a direct financial consequence for non-compliance.
The Revitalizing America's Housing Act proposes multiple measures to increase housing supply and affordability through tax incentives, zoning reforms, and improved safety standards. Key provisions include a new Neighborhood Homes Credit to incentivize building or rehabilitating homes in affordable areas, zoning reform incentives to encourage municipalities to adopt more housing-friendly policies, and expanded tax benefits for homeowners selling primary residences. The bill also includes specific protections for veterans' housing, improved lead and mold safety standards for public housing, and requirements for better oversight of housing programs. These changes directly affect homeowners, renters, housing developers, public housing agencies, and local governments across the country.
The Rent Relief Act of 2025 creates a refundable tax credit for renters whose rent exceeds 30% of their gross income. Eligible renters - defined as those living in their primary residence with income below $100,000 - receive a credit equal to a percentage of the excess rent (ranging from 100% for incomes under $25,000 down to 25% for incomes between $75,000-$100,000), capped at HUD’s fair market rent for their area. The IRS will provide monthly advance payments starting in 2026 for qualifying taxpayers who file for the credit. This applies directly to individual renters meeting the income and rent thresholds, excluding those in government-subsidized housing.
