Sens. Peters and Cornyn Introduce Bill to Cut FHA Insurance Costs for First-Time Homebuyers
The Senate Committee on Banking, Housing, and Urban Affairs is the next group to review this bill. It has not moved since June 23, 2026, when it was first sent to the committee. Most bills do not receive a vote at this stage, and there is no scheduled action for this proposal.
The bill has support from both Democrats and Republicans, which is a good sign. However, many housing bills struggle to get a final vote unless they are part of a larger spending package.
This bill’s path across every version that has carried it.
Scores run from -100 (strongly harmful) to +100 (strongly beneficial) for each group, combining impact, certainty, scope, and duration ratings of 1-5. How impact scoring works
First-time homebuyers using FHA loans who complete a housing counseling program would see a 25 basis point reduction in their upfront mortgage insurance premium. For a typical $300,000 FHA loan, this could mean saving around $750 on the upfront premium. While the savings are meaningful for individual buyers, the bill only applies to the subset of first-time FHA borrowers who complete counseling before applying for a loan or signing a purchase agreement.
“be 25 basis points lower than the premium payment amount established by the Secretary under the first sentence of this subparagraph”
Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
Sent to a congressional committee for expert review. The committee decides whether this bill moves forward.
Introduced in Senate
The bill was officially filed and given a number. It now enters the legislative queue.
U.S. Sen. Gary Peters reintroduced the Housing Financial Literacy Act, which provides first-time homebuyers who complete a HUD-certified counseling course a 0.25% discount on their FHA mortgage insurance premiums. The bill aims to improve affordability and financial readiness.
Senator Gary Peters (D-MI) and John Cornyn (R-TX) reintroduced the Housing Financial Literacy Act. The legislation offers a 0.25% FHA mortgage insurance premium reduction for first-time buyers who finish a financial literacy program before signing a purchase agreement.
A package of bipartisan housing legislation recently advanced in Congress, including the Housing Financial Literacy Act. The bill incentivizes financial education by lowering FHA insurance costs for buyers who complete certified counseling.
No votes recorded for this bill yet.
Document Type
Congressional Bill
Official Title
Housing Financial Literacy Act of 2026
Analysis generated by AI. Always verify with official sources.