[Sinner6]

Yes there is, homes that are owner occupied appreiciate at a greater rate then non-owner occupied. Thus tax revenue increases.

[Eagle Eye]

Nothing says that the homes that these people are getting subsidies for would not otherwise be owner occupied. It's not as if the homes involved are all presently being occupied and rented by the future purchasers. In most cases the tax revenue increase from increased property values is going to be spit in the ocean anyway. We're talking about neighborhoods where the purchasers cannot afford a down payment. The appreciation in these neighborhoods is rather limited.

[FITZ]

Thus tax revenue increases.

If they won't/can't save money for a down-payment --- then how will they save money when their taxes are due? That can be another future government program --- provide them some money for property taxes --- or else make them exempt.