Checking The Pulse Of The Kansas City Real Estate Market
The Mortgage Interest Deduction is one of the biggest reasons many people purchase a home but the possibility that benefit could be eliminated is a great cause for concern for homeowners and potential home buyers. The debt ceiling agreement reached earlier this month added a Congressional Super Committee, which makes it easier for Congress to change tax laws…. and the Mortgage Interest Deduction is of course a very important tax law.
The Super Committee will be a group composed of six members of the House and six members of the Senate. The committee will be split up equally between democrats and republicans and has been directed to find ways to trim $1.5 trillion off the national deficit over a 10 year period. They can do so with revenue increases or spending cuts but if they don’t get it done in some fashion, automatic spending cuts will be “triggered”. It could be chaotic if that happened.
Surely Congress will realize that eliminating the Mortgage Interest Deduction would harm the real estate market and that is the last thing we need. If there’s even a hint about eliminating the real estate stimulus that has been present since 1986, I have to assume the tsunami of protest that would hit Congress would be overwhelming. After all, 85% of ALL federal tax dollars brought in are paid by American who OWN homes (versus tax dollars paid by those rent or free-load off someone else).
Posted by Jason Brown
