“Rey’s Real Estate Recommendation”
December 4, 2017
To continue on a message I have been delivering for several weeks, early in the morning of December 1st, the U.S. Senate passed tax reform legislation that the National Association of Realtors® believes puts home values at risk, and dramatically undercuts the incentive to own a home.
NAR President Elizabeth Mendenhall, offered strong concerns over the bill and said Realtors® will continue to work with members of the House and Senate as the process moves forward into a conference committee between both bodies of the U.S. Congress.
As Mendenhall stated, “Tax incentives to own a home are baked into the overall value of homes in every state and territory across the country. When those incentives are nullified in the way this bill provides, our estimates show that home values stand to fall by an average of more than 10 percent, and even greater in high-cost areas.
Mendenhall further noted that, “Realtors® support tax cuts when done in a fiscally responsible way; while there are some winners in this legislation, millions of middle-class homeowners would see very limited benefits, and many will even see a tax increase. In exchange for that, they’ll also see much or all of their home equity evaporates as $1.5 trillion is added to the national debt and piled onto the backs of their children and grandchildren.
Mendenhall finally observed that, “This legislation is a poor foot to put forward, but this isn’t the end of the road. Realtors® will continue to advocate for homeownership and hope members of the House and Senate will listen to the concerns of America’s 75 million homeowners as the tax reform discussion continues.”
As a member of the National Association of Realtors®—America’s largest trade association, representing 1.3 million professionals—I am using the “All Things Real Estate” (ATRE) radio show to share my views on this major legislation that is currently before our Congress. It is important that all homeowners, and those who wish to own a home, understand the implications of this legislation being passed and then sent to the President for his signature into law.
For anyone who is concerned about the direction this potential law could take us, NOW is the time to share your own views with your Congressman, as well as your two U.S. Senators. Call 1-202-224-3121, (repeat), to get the ball running.