Monthly Archives: December 2010

Mortgage Interest Deduction Proposal & Dr. Seuss

In February, the White House created the National Commission on Fiscal Responsibility and Reform to examine how the country spends money and collects taxes. The commission was also tasked with creating a proposal that would cut the federal budget deficit.
One area that the commission found to increase tax revenue is to reduce the mortgage interest deduction (MID) currently offered to homeowner’s as an incentive to own a home.
The commission’s proposal would change the MID to a 12% non-refundable tax credit, with no credit offered for mortgages higher that $500K nor for interest on a second residence of home equity loan.
The National Association of Realtors are strongly oppose to the proposed changes to the MID and will continue to work vigilantly to ensure that our elected officials are aware of their opposition and implications of the proposal.
As the housing market continues to recover from the worst financial crisis in recent history, any change that reduces the ability of the market to heal is misguided and must be rejected.
Although the proposal has been made public, the commission must still vote on the proposal before a formal recommendation to Congress and the White House.
We will keep you updated as to this important proposal.
Our market here locally still remains somewhat unchanged. We still have about the same number of availably properties for sale (53) and the average sales price is at $234,637. The number of November Sold properties doubled from October, from 5 to 10 and average PSF (price per square foot) is still the same as last months. Please see the CMA (comparative market analysis) report to the right of this blog.
As Christmas draws near, our staff extends to you and your family the very best of wishes. It seems that most people today are trying to get back to the basic premise of the holiday. The Grinch (see the Seuss-ism to the right) said it all when he realized that it’s not about the packages, boxes and tags, but about the heart and caring for loved ones. May you family and friends be the benefit of all your love.
Merry Christmas!

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