Rep. Curtis proposes bill to allow self-directed IRAs for primary home purchases

Photo: Unsplash // Blake Wheeler

WASHINGTON – Before Thursday night’s senatorial debate between Republican nominee Rep. John Curtis, Democratic nominee Caroline Gleich, and independent candidate Carlton Bowen, Rep. Curtis was still in Washington, introducing legislation in the U.S. House of Representatives.

Rep. Curtis introduced the Home Ownership, Mortgage, and Equity Savings (HOMES) Act last week in an effort to form a piece of legislation that would make homeownership more accessible.

Curtis’ proposed HOMES Act would permit individuals to use their self-directed IRA accounts to tap into retirement savings to purchase a primary residence for themselves or an immediate family member.

The proposed legislation would apply exclusively to self-directed IRAs (SDIRAs), which differ from traditional IRAs.

SDIRAs differ from traditional IRAs by offering more flexibility in investment choices. While traditional IRAs are typically limited to stocks, bonds, and mutual funds, SDIRAs allow account holders to invest in a broader range of assets, including real estate, precious metals, and private businesses.

“Homeownership is more than just having a place to live—it’s about building roots in a community and creating a solid investment for the future,” said Rep. Curtis.

“Utahns should be allowed to use their own money to achieve homeownership, and this legislation would enable families to pool their resources more effectively and invest in their future.”

Under current regulations, self-directed IRA funds cannot be used to purchase a primary residence for the account holder or an immediate family member.

These funds are limited to investment properties, with restrictions prohibiting renting to family members.

The HOMES Act aims to change this by allowing individuals to use their self-directed IRA to buy homes for themselves or close relatives, such as parents, children, or grandchildren.

Curtis’ proposed legislation hopes to increase the purchases of homes for primary residential use.