On Jan. 9, Ohio Governor Mike DeWine, Lt. Governor Jon Husted, and Treasurer Robert Sprague officially launched the Ohio Homebuyer Plus program, a new savings account plan aimed at promoting homeownership in Ohio.
Background
The program was initially floated by Governor DeWine in his 2023 State of the State speech, and it will provide Ohioans with customized, tax-advantaged savings accounts to increase interest savings and aid in the home-buying process. Starting in January, prospective homebuyers can open Ohio Homebuyer Plus accounts with partner banking institutions.
“This savings account program is part of our work to holistically improve access to adequate, affordable housing in Ohio,” stated Gov. Mike DeWine. “By making it easier for residents to save, we can help more Ohioans achieve their dreams of homeownership.”
The program is being developed with the backing of the Ohio General Assembly as part of the state operating budget, which Governor DeWine signed in July. It will be overseen by the Ohio Treasurer’s Office.
“Ohio is the best place to live, work, and raise a family, and we want to continue to create new opportunities to build a life in our state,” said Lt. Gov. Husted. “With the challenges in today’s market, we are encouraging Ohioans through this program to think about their future here and to take the steps necessary to enhance their quality of life.”
Ohio Homebuyer Plus will offer above-market interest rates to accountholders who deposit money at partner banks or credit unions, using the same “linked deposit” technique as other programs such as Ag-LINK and Family Forward. Contributions by the homebuyer or certain family members may also be eligible for certain Ohio state income tax deductions.
Qualifying for the Ohio Homebuyer Program
To qualify, you must be an Ohio resident over 18 years old, have a primary residence in Ohio, and use the account proceeds solely for down payment or closing costs on a primary residence purchased in Ohio. Accounts associated with Ohio Homebuyer Plus must be used within five years, have a minimum amount of $100, and not exceed a maximum balance of $100,000.
“To own a home in Ohio is to invest in Ohio,” explained Treasurer Sprague. “However, prospective homebuyers face no shortage of challenges in today’s market, including the increasing amounts needed for their down payments and closing costs. Through Ohio Homebuyer Plus, we’re putting the strength of the state’s balance sheet to work for Ohioans as they build their nest egg and the savings needed to make one of life’s most important purchases.”
Prospective homebuyers will apply for a savings account through Ohio Homebuyer Plus by contacting a participating bank or credit union. Currently, participating financial institutions include:
- The Community Bank
- Farmers & Merchants Bank
- KEMBA Financial Credit Union
- Pathways Financial Credit Union, Inc.
- Quest Federal Credit Union
- The Savings Bank
- Superior Credit Union
- Telhio Credit Union
Additional financial institutions will be added in the coming weeks. However, the list of participating financial institutions will continue to be updated and can be viewed Ohio Treasurer’s website: https://tos.ohio.gov/homebuyerplus
Please contact your HW&Co. advisor to learn more about how you can take advantage of the Homebuyer Plus program.
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