State Sen. Steve Santarsiero (D-10th dist.) is introducing legislation to help young adults become Pennsylvania homeowners. The legislation, known as the Put Down Roots in PA Act, would pay off up to $50,000 in student loans for borrowers who purchase a home in the state.
“In 2020, Pennsylvania ranked eighth in the nation in the number of people who moved out of state. At the same time, our population is aging at an increasing rate,” Santarsiero said. “If these trends continue, they will lead to long-term economic stagnation. To reverse course, we must enact policies that incentivize young people, whether they grew up here or elsewhere, to put down roots in Pennsylvania.”
The Act would pay off up to $50,000 in student loans, or a student loan balance of 20 percent of the home purchase price, whichever amount is lower; provide up to $5,000 toward a home down payment or closing costs, in addition to the student loan assistance; and cover loans taken out to pay for tuitions at two- or four-year colleges and universities as well as vocational training programs.
To qualify for the program, buyers’ annual household income could not exceed $150,000. The program would apply to the purchase of primary residences in Pennsylvania only. Buyers must live in the home being purchased for at least three years. Each month during the first three years of the buyers’ home ownership, the state would repay 1/36th of the total student loan amount covered under the program.