the Internal Revenue Code of 1986 is amended by adding at the end the following new item: Sec. 9512. Housing Downpayment Trust Fund. . (b) Grants program for down payment assistance programs (1) Establishment The Secretary of Housing and Urban Development shall establish a program under which the Secretary makes grants to State housing finance agencies to establish new or supplement existing programs that provide down payment assistance to families purchasing homes within the State. (2) Priority A State housing finance agency that receives a grant under this section shall give priority to families seeking assistance to purchase any single-family residence that is sold or transferred by an applicable taxpayer (as defined in section 5000G of the Internal Revenue Code of 1986, as added by section 2).