In January 2024, Ohio introduced the Homebuyer Plus Program, a strategic initiative aimed at facilitating homeownership for its residents. This program offers specialized, tax-advantaged savings accounts with above-market interest rates, assisting Ohioans in accumulating funds for down payments and closing costs.
Program Overview
The Ohio Homebuyer Plus Program enables eligible residents to open savings accounts through participating financial institutions, providing enhanced interest rates to accelerate savings growth. Additionally, contributions to these accounts may qualify for state income tax deductions, offering further financial benefits to savers.
Eligibility Criteria
To participate in the program, applicants must:
- Be at least 18 years old.
- Reside in Ohio.
- Use the account funds exclusively for the down payment or closing costs of a primary residence purchased within the state.
Accounts require a minimum opening deposit of $100 and can hold up to $100,000. Funds must be utilized within five years of account opening.
Tax Advantages
Participants may deduct up to $5,000 in contributions per year ($10,000 for married couples) from their Ohio taxable income, with a lifetime maximum deduction of $25,000 per contributor per account. Third-party contributors, such as parents or grandparents, are also eligible for these deductions.
Participating Financial Institutions
Several banks and credit unions across Ohio have partnered to offer Homebuyer Plus accounts. Notable participants include:
- 1st National Bank
- Heartland Bank
- Consumers National Bank
- Pathways Financial Credit Union
- LCNB National Bank
These institutions provide competitive interest rates and additional benefits to account holders.
How to Enroll
Prospective homebuyers should contact a participating bank or credit union to open an Ohio Homebuyer Plus account. It’s essential to review the program’s participation statement before account opening to understand all terms and conditions.
For more information and a list of participating financial institutions, visit the Ohio Treasurer’s official website, click HERE for quick access.
The Ohio Homebuyer Plus Program represents a significant opportunity for residents to achieve homeownership through strategic savings and financial incentives.