As housing costs rise, lawmakers are split on affordability plan

Housing affordability has emerged as one of the defining issues of 2026.

The latest among them is U.S. Rep. Haley Stevens, a Birmingham Democrat. Stevens’ legislation would create tax-advantaged savings accounts for first-time homebuyers. It would also allow individuals to deduct annual contributions to a dedicated account, and withdrawals used for a down payment or closing costs on a primary residence would be tax-free, subject to income limits.

“For too many Michiganders, the American Dream of owning a home is slipping away,” Stevens said in a statement. “Families are working hard just to keep up with everyday costs while homeownership moves further out of reach.”