Letter to the Editor: Is Mortgage-Interest Deduction the Best Way?

Letter to the Editor: Is Mortgage-Interest Deduction the Best Way?
Regarding the Wall Street Journal’s editorial “Houses of Lobbyists” (May 6): Buying a home isn’t the only way to build a nest egg, but middle-class families can’t get a $200,000 bank loan to invest in stocks. They can, however, get a loan to buy a house. Unfortunately, eviscerating the mortgage-interest deduction (MID) would undermine households that have taken this step. Household ownership in real estate currently stands at $23.1 trillion, and even a 5% drop in home values could destroy $1 trillion in household wealth. What’s more, the National Association of Realtors commissioned research that examines a tax system like the one the Journal promotes. The research found that homeowners with household income between $50,000 and $200,000 would see an average tax increase of $815 immediately following enactment. The MID supports the middle class. On average 70% of homeowners with a mortgage claim this deduction, and 90% of all mortgage interest paid gets deducted, according to the National Association of Home Builders. The deduction has been around for generations in part because homeownership is essential to wealth-building. Today, the net worth of average homeowners far outpaces that of non-owners, and a home represents millions of families’ largest asset. That sounds like a “productive” investment to us, and it’s worth defending.
Source: Nar.realtor; 5/17/2017  

Courtesy of:

Steve Sisman
CSP, e-Pro, REALTOR,

Designated Short Sale and Foreclosure Resource,

Certified Short Sale Master Default Intermediary,

Certified Real Estate Divorce Specialist,

Associate Leadership Counsel Alumnus,

a member of the Delaware County Chamber of Commerce,

a member of the Delaware Small Business Chamber,

 
VP of the “Little Shul” (CYSEI)

PA Lic# RS218928L DE Lic# RS-0016238

Weichert

610.565.1300 main PA
302.992.9500 main DE
610.357.6101 preferred
606 E. Baltimore Pike, Media, PA 19063 * 610.565.4599 fax (PA)
4760 Limestone Road, Wilmington, DE 19808 * 302.992.9815 fax (DE)
steve@stevesisman.com * www.SteveSisman.com
A caring professional…
Oh and by the way, I’m never too busy for your referrals!
*If your property is currently listed; or, you are currently contracted with a licensed real estate professional, this IS NOT intended as a solicitation*
 
**E-mails sent or received shall neither constitute acceptance of conducting transactions via electronic means nor create a binding contract until and unless a written contract is signed by the parties**
 
***NOTE: I will NEVER request Bank Wiring Instructions, Bank Account Information or Social Security Number by email.  If you receive an email requesting this information, DO NOT RESPOND!!!
Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s


%d bloggers like this: