Update on $15,000 tax credit

By
Real Estate Sales Representative with Tiemeyer Team Realtors

National Association of REALTORS® update U.S. House passes stimulus package Last Wednesday, the United States House of Representatives passed on a largely partisan vote of 244-188, HR 1, the American Recovery and Reinvestment Act of 2009. The economic stimulus bill, as the legislation is more commonly known, contains a number of key provisions for REALTORS®:

  

* Restoration of the 2008 loan limits for FHA, Fannie Mae, and Freddie Mac to 125% of median home price up to a limit of $729,750 (still on the table)

* Elimination of the repayment provision of the $7,500 first-time homebuyer tax credit (has now been proposed to up to $15,000 (10% of the sales price up to $15,000); also proposed that the buyer does not have to be a first time homebuyer)

* Expansion of tax-exempt housing bonds (still on the table)

* Increased funding for the Rural Housing Service Program  (still on the table- should be a no-brainer)

* Additional funding for neighborhood stabilization activities under the Community Development Block Grant Program  (still on the table)

* Incentives to promote weatherization and energy efficiency  (still on the table)

* Retrofitting federally assisted housing for energy efficiency  (still on the table)

* An expansion of the Hope VI low-income housing construction and rehabilitation program  (still on the table)

  

The House has also addressed a number of housing issues in legislation revamping the Trouble Asset Relief Program. Among the housing provisions of interest in the TARP Reform and Accountability Act of 2009, HR 384, are:

  

* A mortgage buy-down program to reduce rates below current prevailing market rates  (still on the table-  it will also be interesting to see if the markets can support this)

* Increased foreclosure prevention and mitigation efforts  (still on the table- should be a no brainer)

* Ensuring liquidity in the residential and commercial mortgage markets (still on the table- again, this one should be interesting)

* Streamlining efforts to unclog the credit markets and increase the availability of credit to worthy customers (still on the table- again, this one should be interesting)

What do you think about all this?

  

Comments (3)

Kathy Opatka
RE/MAX CROSSROADS - Ocean City, MD
Serving Ocean City, MD, & The Delaware Beaches

Marybeth,

I think they've decided NOT to decide!!!..... I'm not surprised!

Kathy Opatka Re/Max OCEAN CITY,MARYLAND

Feb 06, 2009 06:27 AM
Danielle Vinson
Sibcy Cline Realtors - Batavia, OH
www.sibcycline.com/dvinson

I am new to the business.... so take my opnion for what it is worth...

I think that helping familes a little bit is better than not at all, refering to the bond money being back. The first deals that I did do were bond money deals, and they were first time buyers. I dont think that first time buyers care as much about money at the end of the year as they do as money right now to help foot the cost of moving....

I do like the idea of it not beng a first time buyer......to get some incentives.

Do you think we will ever help investors? Doubtful huh.....but it would be a good idea. They help our markets as well.

Thanks for the imput.

 

Feb 06, 2009 06:36 AM
Mark P. Felton
Front Porch Homes - Waco, TX
Waconulls Premiere Custom Builder

Great quick break down of the facts.  I hope the meat of this passes!

Feb 09, 2009 10:03 AM

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