To amend the Internal Revenue Code of 1986 to allow a credit for the purchase of principal residence by a first-time homebuyer.

Amends the Internal Revenue Code to allow a first-time homebuyer who purchases a principal residence a tax credit of ten percent of the purchase price of such residence. Requires such residence to be purchased during the one-year period after the date of enactment of this Act. Limits the credit to $2,500.