Home › Forums › Financial Markets/Economics › Proposed Mortgage Interest Deduction Phase Out?
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ucodegen.
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September 1, 2009 at 6:16 AM #452121September 1, 2009 at 10:02 AM #451326
Nor-LA-SD-guy
Participant[quote=SK in CV][quote=Nor-LA-SD-guy]
Yes it would definitely encourage rental property investment.[/quote]Why more than now? (yes, this is a test)[/quote]
Rich and well to do people would be looking (much harder) for a deduction, poor or moderate income people would need a roof and there would be a lot less incentive to buy their own place (it would not reduce the cost to build homes or the cost of land).
In the end the landlords would win with this.
Yes it would be good to own apartment units again.
In short it would provide a big incentive NOT to sell your current home when you move up but to take as big a loan as you can on it, then use that moeny to buy your new place while you rent your old place etc…
September 1, 2009 at 10:02 AM #451520Participant[quote=SK in CV][quote=Nor-LA-SD-guy]
Yes it would definitely encourage rental property investment.[/quote]Why more than now? (yes, this is a test)[/quote]
Rich and well to do people would be looking (much harder) for a deduction, poor or moderate income people would need a roof and there would be a lot less incentive to buy their own place (it would not reduce the cost to build homes or the cost of land).
In the end the landlords would win with this.
Yes it would be good to own apartment units again.
In short it would provide a big incentive NOT to sell your current home when you move up but to take as big a loan as you can on it, then use that moeny to buy your new place while you rent your old place etc…
September 1, 2009 at 10:02 AM #451864Participant[quote=SK in CV][quote=Nor-LA-SD-guy]
Yes it would definitely encourage rental property investment.[/quote]Why more than now? (yes, this is a test)[/quote]
Rich and well to do people would be looking (much harder) for a deduction, poor or moderate income people would need a roof and there would be a lot less incentive to buy their own place (it would not reduce the cost to build homes or the cost of land).
In the end the landlords would win with this.
Yes it would be good to own apartment units again.
In short it would provide a big incentive NOT to sell your current home when you move up but to take as big a loan as you can on it, then use that moeny to buy your new place while you rent your old place etc…
September 1, 2009 at 10:02 AM #451935Participant[quote=SK in CV][quote=Nor-LA-SD-guy]
Yes it would definitely encourage rental property investment.[/quote]Why more than now? (yes, this is a test)[/quote]
Rich and well to do people would be looking (much harder) for a deduction, poor or moderate income people would need a roof and there would be a lot less incentive to buy their own place (it would not reduce the cost to build homes or the cost of land).
In the end the landlords would win with this.
Yes it would be good to own apartment units again.
In short it would provide a big incentive NOT to sell your current home when you move up but to take as big a loan as you can on it, then use that moeny to buy your new place while you rent your old place etc…
September 1, 2009 at 10:02 AM #452126Participant[quote=SK in CV][quote=Nor-LA-SD-guy]
Yes it would definitely encourage rental property investment.[/quote]Why more than now? (yes, this is a test)[/quote]
Rich and well to do people would be looking (much harder) for a deduction, poor or moderate income people would need a roof and there would be a lot less incentive to buy their own place (it would not reduce the cost to build homes or the cost of land).
In the end the landlords would win with this.
Yes it would be good to own apartment units again.
In short it would provide a big incentive NOT to sell your current home when you move up but to take as big a loan as you can on it, then use that moeny to buy your new place while you rent your old place etc…
September 1, 2009 at 10:03 AM #451433(former)FormerSanDiegan
Participant[quote=Nor-LA-SD-guy][quote=SK in CV][quote=Nor-LA-SD-guy]
Yes it would definitely encourage rental property investment.[/quote]Why more than now? (yes, this is a test)[/quote]
Rich and well to do people would be looking (much harder) for a deduction, poor or moderate income people would need a roof and there would be a lot less incentive to buy their own place (it would not reduce the cost to build homes or the cost of land).
In the end the landlords would win with this.
Yes it would be good to own apartment units again.[/quote]
If this change happens, the price point at which home ownership makes sense will be well above the price at which owning rental property makes sense.
The end result is likely to be one in which people who can own property own rentals and live an a rental themselves. We’ll all rent from our neightbors, who will rent from us.
My guess is that this proposal would actually end up taking in far fewer taxes than projected.September 1, 2009 at 10:03 AM #451628Participant[quote=Nor-LA-SD-guy][quote=SK in CV][quote=Nor-LA-SD-guy]
Yes it would definitely encourage rental property investment.[/quote]Why more than now? (yes, this is a test)[/quote]
Rich and well to do people would be looking (much harder) for a deduction, poor or moderate income people would need a roof and there would be a lot less incentive to buy their own place (it would not reduce the cost to build homes or the cost of land).
In the end the landlords would win with this.
Yes it would be good to own apartment units again.[/quote]
If this change happens, the price point at which home ownership makes sense will be well above the price at which owning rental property makes sense.
The end result is likely to be one in which people who can own property own rentals and live an a rental themselves. We’ll all rent from our neightbors, who will rent from us.
My guess is that this proposal would actually end up taking in far fewer taxes than projected.September 1, 2009 at 10:03 AM #451969Participant[quote=Nor-LA-SD-guy][quote=SK in CV][quote=Nor-LA-SD-guy]
Yes it would definitely encourage rental property investment.[/quote]Why more than now? (yes, this is a test)[/quote]
Rich and well to do people would be looking (much harder) for a deduction, poor or moderate income people would need a roof and there would be a lot less incentive to buy their own place (it would not reduce the cost to build homes or the cost of land).
In the end the landlords would win with this.
Yes it would be good to own apartment units again.[/quote]
If this change happens, the price point at which home ownership makes sense will be well above the price at which owning rental property makes sense.
The end result is likely to be one in which people who can own property own rentals and live an a rental themselves. We’ll all rent from our neightbors, who will rent from us.
My guess is that this proposal would actually end up taking in far fewer taxes than projected.September 1, 2009 at 10:03 AM #452041Participant[quote=Nor-LA-SD-guy][quote=SK in CV][quote=Nor-LA-SD-guy]
Yes it would definitely encourage rental property investment.[/quote]Why more than now? (yes, this is a test)[/quote]
Rich and well to do people would be looking (much harder) for a deduction, poor or moderate income people would need a roof and there would be a lot less incentive to buy their own place (it would not reduce the cost to build homes or the cost of land).
In the end the landlords would win with this.
Yes it would be good to own apartment units again.[/quote]
If this change happens, the price point at which home ownership makes sense will be well above the price at which owning rental property makes sense.
The end result is likely to be one in which people who can own property own rentals and live an a rental themselves. We’ll all rent from our neightbors, who will rent from us.
My guess is that this proposal would actually end up taking in far fewer taxes than projected.September 1, 2009 at 10:03 AM #452231Participant[quote=Nor-LA-SD-guy][quote=SK in CV][quote=Nor-LA-SD-guy]
Yes it would definitely encourage rental property investment.[/quote]Why more than now? (yes, this is a test)[/quote]
Rich and well to do people would be looking (much harder) for a deduction, poor or moderate income people would need a roof and there would be a lot less incentive to buy their own place (it would not reduce the cost to build homes or the cost of land).
In the end the landlords would win with this.
Yes it would be good to own apartment units again.[/quote]
If this change happens, the price point at which home ownership makes sense will be well above the price at which owning rental property makes sense.
The end result is likely to be one in which people who can own property own rentals and live an a rental themselves. We’ll all rent from our neightbors, who will rent from us.
My guess is that this proposal would actually end up taking in far fewer taxes than projected.July 8, 2011 at 12:23 PM #708324Huckleberry
ParticipantI realize the ongoing debate regarding the correlation (or lack thereof) between rising interest rates (mortgage financing) and the relative pricing of homes is a contentious one but I just have to strike it up again…
Listing to this professor of finance, it makes sense that there really is no historical correlation/proof that interest rates have an affect on home prices in the US. But after listening to his analysis of the Canadian housing market I have to worry…
What about the affect of Obama repealing the mortgage interest deduction or significantly reducing it? I HEAVILY lean toward the belief that high end home prices will degenerate quickly if this tax provision is eliminated!
Other thoughts?
July 8, 2011 at 12:23 PM #708422ParticipantI realize the ongoing debate regarding the correlation (or lack thereof) between rising interest rates (mortgage financing) and the relative pricing of homes is a contentious one but I just have to strike it up again…
Listing to this professor of finance, it makes sense that there really is no historical correlation/proof that interest rates have an affect on home prices in the US. But after listening to his analysis of the Canadian housing market I have to worry…
What about the affect of Obama repealing the mortgage interest deduction or significantly reducing it? I HEAVILY lean toward the belief that high end home prices will degenerate quickly if this tax provision is eliminated!
Other thoughts?
July 8, 2011 at 12:23 PM #709020ParticipantI realize the ongoing debate regarding the correlation (or lack thereof) between rising interest rates (mortgage financing) and the relative pricing of homes is a contentious one but I just have to strike it up again…
Listing to this professor of finance, it makes sense that there really is no historical correlation/proof that interest rates have an affect on home prices in the US. But after listening to his analysis of the Canadian housing market I have to worry…
What about the affect of Obama repealing the mortgage interest deduction or significantly reducing it? I HEAVILY lean toward the belief that high end home prices will degenerate quickly if this tax provision is eliminated!
Other thoughts?
July 8, 2011 at 12:23 PM #709172ParticipantI realize the ongoing debate regarding the correlation (or lack thereof) between rising interest rates (mortgage financing) and the relative pricing of homes is a contentious one but I just have to strike it up again…
Listing to this professor of finance, it makes sense that there really is no historical correlation/proof that interest rates have an affect on home prices in the US. But after listening to his analysis of the Canadian housing market I have to worry…
What about the affect of Obama repealing the mortgage interest deduction or significantly reducing it? I HEAVILY lean toward the belief that high end home prices will degenerate quickly if this tax provision is eliminated!
Other thoughts?
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