The author makes several valid points.
* Home ownership rates are pretty much the same in the US, England, Australia, and Canada. Only the US has a mortgage interest rate deduction.
* The interest rate deductions were initially there for businesses. Over time, other types of interest have been eliminated from the tax code – but mortgage interest was preserved.
* Pre WW2 most homeowners did not have mortgages – so no interest deductions. Even after WW2 most mortgages were small and incomes low enough that the taxpayers didn’t itemize. (My in-laws fit this.. bought a home when they married right after WW2. Had a 10 year note. Paid it off in 7 because they hated debt. All on a blue collar factory job while popping out 6 kids.)
If you get a chance – it’s a really interesting article.
