WASHINGTON – In recognition of Teacher Appreciation Week, Congresswoman Jahana Hayes (CT-05) and Congressman Eric Swalwell (CA-14) led the introduction of the Educator Down Payment Assistance Act to make homeownership more accessible and affordable for teachers.
The legislation aims to establish a new grant program at the U.S. Department of Housing & Urban Development for local government and educational agencies to provide down payment assistance to full-time public-school educators and school staff who are first-time home buyers. Companion legislation was introduced by Senator Martin Heinrich (D-NM).
Currently, many educators are unable to afford to purchase a home. According to an analysis by the National Education Association, teachers this school year are making 5% less than they did a decade ago due to inflation and rising costs of living. This makes saving for a down payment incredibly difficult and prices many educators out of home ownership altogether.
“For years, teacher pay has remained stagnant while the cost of living has risen, leading many educators to take second jobs or consider leaving the profession, further contributing to the national teacher shortage,” said Representative Hayes. “The Educator Down Payment Assistance Act will make homeownership more affordable for educators by providing financial support to those looking to buy a home in the community where they teach. Programs and incentives like this are critical to attracting and retaining teachers in our most high need communities.”
“We need to support the people teaching our kids. That's why I’m proud to introduce the Educator Down Payment Assistance Act,” said Representative Swalwell. “Too often school districts, especially those in low-income areas, face a shortage of qualified early childhood and K-12 teachers because they are overworked and underpaid. This bill helps to provide teachers with some of the resources needed to afford homes in the neighborhoods where they teach. Thanking our teachers and incentivizing home ownership are causes we can all get behind and benefit from.”
Specifically, the Educator Down Payment Assistance Act would:
- Authorize the Secretary of Housing and Urban Development to provide competitive grants to local governments and local educational agencies that provide down payment assistance to full-time public-school educators (teachers, principals, specialized instruction support personnel, librarians, counselors) who are first-time home buyers.
- Provide grants up to $25,000 for educators who make up to 120 percent of the area median income or up to 180 percent of the area median income in a high-cost area.