Bipartisan American Homeownership Opportunity Act of 2025

[AI summary unavailable — showing source text] Bipartisan American Homeownership Opportunity Act of 2025 This bill provides a new refundable tax credit for first-time homebuyers and a new tax credit to home builders for the construction of starter homes, both subject to limitations. First-time homebuyers may claim a tax credit equal to the amount of the down payment up to $50,000, subject to income limitations. The tax credit begins to phase out when a homebuyer’s income exceeds $300,000 for joint filers or surviving spouses, $225,000 for head of household filers, and $150,000 for single filers. The amounts are adjusted annually for inflation after 2025.   The bill requires homebuyers to add the amount received as a tax credit to taxable income if, within five years from the purchase, the house is sold, leased, or is no longer used as the principal place of residence. (Some exceptions apply.) The bill also provides a tax credit for home builders of up to 15% of construction costs (materials and labor) incurred to build a home that is no larger than 1,200 square feet and is sold for an amount that does not exceed 80% of the median home prices for the area. The amount of the tax credit increases to 30% if the home …