The $ 8000 first time home buyer stimulus

We have experienced an obvious result of the $ 8000 stimulus programm.Many renters bought a home ,mainly in the below $ 200,000 range .

It will be interesting to see in about two years how many of those buyers are still in their house.I expect another foreclosure wave.

As I have expressed before, this stimulus should have gone towards selling additional homes to people that can afford to buy .I know this is contra what our present ruling class thinks , because they will see it as helping the rich .Let these so called rich , I would call them self supporting and financially stable people , buy a second or third home for them selves or for their kids.

I also propose that we should, for a limited time, maybe 2 years, make remodelling ,renovation and major maintenance of residential homes tax deductible. as long as the work is done by certified contractors.

This might be a great stimulus because most of this work can not be outsourced to China and it will emply local craftsmen .

In this time it is easy to sell the cheap houses but impossible to sell the higher end because of very high rates on jumbo loans , tighter restrictions on condo purchases ,etc. Lets get a tax credit  that works to get the higher end houses sold.Make the loss on a house tax deductible and dont tax the" forgiveness "amount.

I am not a politician, just trying to help our nation to get out of this recession.

 

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