Home > Blogs > Ryan Bretzel > Ryan Bretzel's Real Estate Thoughts

Stimulus Package in, $15000 tax credit out; I for one am Happy

By Ryan Bretzel

Real Estate Agent with Keller Williams Premier

February 11, 2009 02:42 PM

Today the highly anticipated $15000 tax credit for home buyers that was supposed to be included in the Stimulus Package, but was voted out.

I for one am happy to hear this! I know many wrote letters and emails to get this passed. This was supposed to be the "boost" to a sluggish housing economy. My biggest worry was that this is just a temporary bandage and only prolong the slow market further down the road. What we really need to do is remove inventory so that the lower supply will create demand; thus stabilizing prices. With this bill a gluttony of homes would again be added to the market.

I know for us the Realtors there would be a great little blip in our business, but again this would keep the "part-timers" in and take away from the ones that do this professionaly and full time.

I think a small tax credit for first time home buyers would be the best. This would get the lower priced homes moving and that would allow the rest up the chain to start to move. Unfortunately we need to get through this with a little pain. People the don't really need to move should sit tight.

What are your thoughts? Were you for or opposed to the tax credit?

Re-Blog

Comments(4)

Comment

Show All Comments

Sort:

Ann Heitland

Retired from RE/MAX Peak Properties - Flagstaff, AZ

Retired from Flagstaff Real Estate Sales

I'm with you on this. The key to stimulus is jobs -- no one can buy a house without a job. Extending the credit to beyond first-time buyers just gives money to those who would probably buy anyway!

Feb 11, 2009 03:37 PM

Vince Santos

StepByStep Home Services LC - Canton, MI

Southeast Michigan Home Inspector

As a home inspector I don't keep up on these types of things but on the surface the tax credit seems like a good thing. More homes added to the market equate to more homes sold/inspected.

Feb 11, 2009 11:03 PM

Anonymous

Rick Frissel

I guess I am not really sure why you have concluded that this would "add a gluttony of homes" to the market.

But, let me take a guess. Could it mean that there is pent up supply not listed on the market and by offering $15,000 true tax credit this would bring hordes of sellers on the market to cash in on all this government money? I doubt that would occur.

On the contrary, I believe there is pent up buyer demand that is sitting on the sidelines waiting for some stimulus to buy. The buyers I work with are more afraid of prices continueing to fall than they are of interest rates going up. That is why I was not in support of artificially lowering the iterest rates.

Personally I think the whole stimulus bill is bunk. But, to let 66% pork slip in and eliminate the quickest piece of legislation to create spending is beyond me.

This tax credit would have decreased inventory as I see it, stabilized prices, created stimulus purchases to not only include our pockets, but Home Depot, Lowes, appliance stores, Best Buy, carpet sales, wood blinds, new door locks ... need I go on.

I guess I am in disbelief that with the support of the whole industry including NAR, that a family member thinks the removal of this part of the package is a good thing. Maybe I am brain dead from 3 years of declining home prices, short sales that displace people from homes they love and banks that have made it fair game to steal our commissions.

But, it is our free country that voted this administration into office and it is that same freedom of speech that permits someone to have an opinion that we will have a gluttony of homes come on the market.

Feb 12, 2009 10:37 AM

Daniel J. Brudnok, REALTOR

Berkshire Hathaway Home Services Fox & Roach, REALTORS - Exton - PA License #RS-225179-L / Delaware License #RS-0025038 - Downingtown, PA

SRES, e-PRO,ABR,GREEN,CSP

Ryan,

I believe that the first timer (nothing to sell) needs to fuel this market today.......the biggest issue with all Buyer's is the stabilization of the jobs market.......it never ends.

Feb 14, 2009 12:37 AM

Stimulus Package in, $15000 tax credit out; I for one am Happy

Comments(4)

Ryan Bretzel

Service Areas

Real Estate Resources

Recent Posts

Additional Information