HB 1598 Virginia House of Delegates · 2025 Regular Session

First-time Homebuyer Grant Program; established.

Summary

First-time Homebuyer Grant Program. Establishes a First-time Homebuyer Grant Program for the purpose of assisting first-time homebuyers with first-time homebuyer expenses, as those terms are defined in the bill. The bill provides that the Department of Housing and Community Development shall award eligible first-time homebuyers a grant in an amount equal to five percent of such expenses incurred during a calendar year, not to exceed $10,000. Any grant awarded pursuant to the Program shall be repaid to the Commonwealth if the property for which expenses were incurred is sold within three years from the purchase date, unless the sale is made following a natural disaster or other act of God.

Issues: ✓ Housing

Bill status passed 3 of 5 stages cleared

Introduction

Jan 2025

Committee Review

Feb 2025

House of Delegates Passage

Feb 2025

Senate Passage

Governor

Introduced Jan 3, 2025 Last action Feb 11, 2025

Maddy AI version diff · 1 comparison

What changed between versions

Introduced → Appropriations Substitute · 5 edits

MODERATE

The bill was changed from a tax credit to a grant program. The original version allowed a nonrefundable tax credit against income taxes, while the substitute version creates a direct grant program administered by the Department. This change shifts the benefit from a tax reduction to a direct payment, which may affect eligibility for taxpayers with low tax liability and changes how the program is funded and administered.

Scope change

The bill's scope changed from an income tax provision (Title 58.1) to a general appropriations grant program (Title 36).

FISCAL

Changed from a nonrefundable tax credit against income tax liability to a direct grant program administered by the Department.

ELIGIBILITY

Changed from 'first-time homebuyer' to 'eligible first-time homebuyer' terminology, though eligibility criteria remain the same.

REQUIREMENT

Removed the limitation that the credit could only be claimed if it did not exceed the taxpayer's tax liability, as grants do not have this limitation.

TIMELINE

Changed the taxable year reference to calendar year for grant purposes.

TECHNICAL

Changed the statute location from Article 3 of Chapter 3 of Title 58.1 to Chapter 8 of Title 36.

Floor votes · House of Delegates Feb 4, 2025

How they voted

52–47

Passed · 1 other

Total votes 100

Feb 4, 2025

D Democratic51

51 Yea

100% Yea

R Republican49

1 Yea 47 Nay 1

95% Nay

Vote distribution

All Yea All Nay Mixed No data

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Feb 5, 2025

Committee

Referred to Committee on Finance and Appropriations

upper

Feb 4, 2025

Lower · Passed

Read third time and passed House (52-Y 47-N)

lower

Jan 31, 2025

Lower · Passed

Reported from Appropriations with substitute (12-Y 10-N)

lower

Jan 29, 2025

Committee

Assigned Approps sub: Commerce Agriculture & Natural Resources

lower

Jan 29, 2025

Lower · Passed

Reported from Finance and referred to Appropriations (11-Y 10-N)

lower

Jan 27, 2025

Lower · Passed

Subcommittee recommends reporting and referring to Appropriations (5-Y 3-N)

lower

Jan 25, 2025

Committee

Assigned Finance sub: Subcommittee #3

lower

Jan 24, 2025

Committee

Assigned Finance sub: Subcommittee #2

lower

Jan 3, 2025

Committee

Referred to Committee on Finance

lower

1 primary · 37 co-sponsors