The Homeownership and Housing Opportunity Bill (HB 3349) is a common-sense, effective response to Oregon’s statewide housing crisis. The bill strengthens homeownership and prevents homelessness, especially among children, without having to raise any new revenue — it simply invests current dollars more wisely and fairly.
Oregon’s housing crisis demands action
- Rapidly rising home prices keep the dream of homeownership out of reach for too many Oregon families.
- Many homeowners struggle to hang on to their homes or make essential repairs.
- Homelessness among school-aged children has been at record levels recently. Homelessness not only inflicts serious suffering on children, but it also undermines their long-term health and educational outcomes. .
HB 3349 redirects $150 million to homeownership and homelessness prevention
- The bill saves $150 million each budget period from a modest reform of the mortgage interest deduction and dedicates those funds to the Homeownership Assistance Account and the Emergency Housing Account.
- HB 3349 could help Oregonians build starter homes, keep struggling homeowners in their own homes, help struggling homeowners conduct critical home repairs, and house children currently without a home.
Oregon’s biggest housing subsidy largely benefits those who don’t need help
- The mortgage interest deduction costs Oregon nearly $1 billion per budget period, making it the state’s biggest housing subsidy.
- The deduction is structured to benefit the most-well off homeowners: 60% of the subsidy goes to the richest fifth of Oregonians. Many low- and middle-income homeowners do not benefit from the deduction.
- Renters, by definition, get nothing from this subsidy.
HB 3349 is a modest, common-sense reform of the mortgage interest deduction
- It phases out the deduction for Oregon’s richest 5% — those who can most easily afford housing. It retains the deduction for 95% of homeowners.
- It eliminates the deduction for owners of vacation homes. .
By investing our housing subsidy dollars where they are needed most, we can build Oregon communities that we’re all able to afford to call home.
