I don’t know how many on here have seen or heard of the above, NAR’s attempt to sway Congress on a “stimulus” plan, but I thought it would be worth posting. NOTE: I may be unNARed after this, so if you have a job opening, let me know :smile
Taken from last to first:
Permanently bar banks and banking conglomerates from engaging in real estate brokerageand management. The banks have proven they have enough to do to simply properly manage their current lines of business. Do we really want them to manage the home buying process? Imagine what could have been the situation now if they already had the added ability to engage in real estate sales.
This has been a long running NAR compaign. Apparently, some banks are trying to get into real estate brokering WITHOUT going through NAR. This will be on ALL NAR requests/suggestions until something gives.
Get the Emergency Treasury bank relief program back on track by targeting more funds to mortgage relief efforts and increasing efforts to mitigate foreclosures. Don’t just give the banks unrestricted cash. Make the program work to improve mortgage and housing markets as it was originally intended.
Good idea, yet nothing from NAR on exactly HOW to do that. Leaving it up to Gov’t to do it worked so well last time.
Make the 2008 FHA, Fannie Mae and Freddie Mac loan limits permanent. New rules for 2009 would significantly reduce the FHA, Fannie Mae and Freddie Mac loan limit from their 2008 levels. Now is not the time to limit the availability of affordable mortgages.
Actually, a good idea, in my opinion.
Make the $7500 tax credit available to all purchasers and eliminate the repayment requirement. The credit’s limited availability and required repayment terms have severely limited the credit’s appeal to potential homebuyers. As a result, the credit has not been widely used or proven effective at stimulating sales.
Eliminating the repayment for 1st time homebuyers…good idea. Figuring out a way to get that tax credit to actually use it for the downpayment (vs. at taxtime)…major good idea. The idea as presented, One of the absolute worst ideas I’ve ever heard.
Let’s forget about for a minute on HOW the Gov’t would pay for this thing in the first place. What would happen if EVERY buyer got a $7500 tax credit for purchasing a home? Would it create a strong seller’s market in a hurry? I’d say it would! Sure, credit would possibly slow the surge (ability to get a loan), but in a short span, you’d likely create another bubble-rise in house values, which is what created this whole mess in the first place.
And would you get $7500 for EVERY house you bought? Investors that buy 10-20 houses a year, that’s one heck of a tax break and bonus!