Housing

First-time home buyer savings plan; townhouses; principal limits. Includes townhouses in the definition of single-family residence for purposes of the First-Time Home Buyer Savings Plan Act. The bill also increases (i) the aggregate amount of principal that can be contributed to a first-time home buyer savings account from $50,000 to $100,000 and (ii) the limit on the amount of principal and interest or other income on the principal that may be retained in such an account from $150,000 to $200,000. The bill defines first-time home buyer, and includes that term in the definition of qualified beneficiary.

Transit-oriented housing overlay districts. Requires certain localities to establish one or more transit-oriented housing overlay districts covering qualifying areas, as defined in the bill, within their boundaries. The bill provides that within such overlay districts, the locality shall permit, by right, a minimum height of six stories and a minimum average density of 30 units per acre within one-quarter of a mile of a major transit stop and allow two units per lot and four units per corner lot between one-quarter of a mile and one mile from a such a stop. The bill further provides that applications for such housing development shall be approved ministerially by the zoning administrator or other designated official and that no public hearing is required for approval. The bill allows certain areas within a locality to be excluded from its provisions and sunsets on September 1, 2030. The bill has a delayed effective date of September 1, 2027.

County manager plan of government; affordable dwelling unit ordinance. Increases local authority over affordable housing for counties that have adopted the county manager plan of government (Arlington County) by (i) potentially increasing the cash contribution to the county's affordable housing fund by developers in lieu of providing affordable dwelling units and (ii) providing that applications for a special exception approval for a change of use of an existing building from commercial to residential may be subject to an affordable housing requirement. The bill directs the governing body of such counties to appoint an advisory board to advise the governing body regarding the appropriate provisions of an ordinance to amend the cash contribution amounts to such county's affordable housing fund. Certain provisions of the bill do not become effective unless reenacted by the 2027 Session of the General Assembly.

First-time home buyer savings plan; townhouses; principal limits. Includes townhouses in the definition of single-family residence for purposes of the First-Time Home Buyer Savings Plan Act. The bill also increases (i) the aggregate amount of principal that can be contributed to a first-time home buyer savings account from $50,000 to $100,000 and (ii) the limit on the amount of principal and interest or other income on the principal that may be retained in such an account from $150,000 to $200,000.

Individual income tax; first-time homebuyer tax credit. Creates a one-time, nonrefundable individual income tax credit in taxable years 2026 through 2030 for expenses incurred by a first-time homebuyer for the purchase of direct ownership in residential real property in an amount equal to five percent of the purchase price value of such property detailed on the purchase agreement up to $10,000. The bill requires that any credits be repaid in the event that the residential real property for which first-time homebuyer expenses were incurred and such credit was claimed is sold within three years from the purchase date of such property.

Individual income tax; first-time homebuyer tax credit. Creates a one-time, nonrefundable individual income tax credit in taxable years 2026 through 2030 for the purchase of a principal residence by a first-time homebuyer, as such terms are defined in the bill, in an amount equal to $5,000. The bill requires that any credits be repaid if the principal residence is sold or no longer serves as the first-time homebuyer's principal residence within three years from the purchase date of such property.