Economic Stimulus and Real Estate

The National Association of Realtors as the largest lobbyist group protecting the real estate industry, homeownership rights announced their take on the latest efforts to help real estate.

• Loan Limits in high cost areas will be raised to $727,000
• The tax credit will be raised to $8000 with NO payback(see revised 2009 tax credit)
• Interest rates have decreased 125-150 basis points
• The bill has over 50 Billion in foreclosure mitigation
• Treasury Secretary Geitners Plan has another 200-300 billion in governement guarantees of mortgage paper
• Tax Credit on energy efficiency for homeowners up from 10% to 30% for insulation, new windows, new furnances, check with your tax professional before making any purchases.

One of the primary items that the National Association of Realtors lobbies for is the protection of the mortgage interest deduction and real estate tax deduction. So far that has been kept off the table, even though it is estimated that the tax revenue would be in excess of 100 Billion.

From an investors standpoint Fannie Mae has just agreed to allow investors up to 10 properties eligible for Fannie Mae back mortgages.  This increase was from 4 mortgages.

As Realtors, we are constantly keeping up to date on issues that affect you as property owners.  We strongly believe that real estate is the driving force behind the majority of our economy, and real estate is typically the largest investment most individuals have.  At Coldwell Banker Real Estate Now we actively participate in calls, letter and emails to our Congressman to protect your rights.

The highlights of the changes that should be signed by the President on Tuesday are outlined on our site. Before making any decisions about your individual tax situation, you need to talk to a qualified tax professional or CPA.