[Huckleberry]

I beleive it’s going to have a significant impact on housing in high valuation areas such as along the coast.

Here is an excellent article by the WSJ that has mapping of highest affected areas, and SD is on the top of the list.

http://online.wsj.com/article/SB10001424052702303763404576420101788878440.html

NAR (whom I never beleive because they constantly exaggerate everything) has stated this will instantly remove 15% of value from all housing across the board. Now, I don’t beleive that number, but I also don’t think it is negligible, especially in high valuation areas.

I think another thing you should be well aware of is that Congress is now debating the whole debt ceiling issue, and part of that is an idea to eliminate the mortgage interest deduction. Again, this one thing alone in my opinion will have a significant impact on high value homes. By my calculations, a $400K loan gets $105K of tax relief (over the term of the loan) from this tax break. If this is removed, it will remove the motivation for many to purchase, hence less demand…

Aggregate the impacts of both of these policy changes, and this is no laughing matter for someone looking to purchase now!

I’m just sayin’…

[Huckleberry]

I beleive it’s going to have a significant impact on housing in high valuation areas such as along the coast.

Here is an excellent article by the WSJ that has mapping of highest affected areas, and SD is on the top of the list.

http://online.wsj.com/article/SB10001424052702303763404576420101788878440.html

NAR (whom I never beleive because they constantly exaggerate everything) has stated this will instantly remove 15% of value from all housing across the board. Now, I don’t beleive that number, but I also don’t think it is negligible, especially in high valuation areas.

I think another thing you should be well aware of is that Congress is now debating the whole debt ceiling issue, and part of that is an idea to eliminate the mortgage interest deduction. Again, this one thing alone in my opinion will have a significant impact on high value homes. By my calculations, a $400K loan gets $105K of tax relief (over the term of the loan) from this tax break. If this is removed, it will remove the motivation for many to purchase, hence less demand…

Aggregate the impacts of both of these policy changes, and this is no laughing matter for someone looking to purchase now!

I’m just sayin’…

[Huckleberry]

I beleive it’s going to have a significant impact on housing in high valuation areas such as along the coast.

Here is an excellent article by the WSJ that has mapping of highest affected areas, and SD is on the top of the list.

http://online.wsj.com/article/SB10001424052702303763404576420101788878440.html

NAR (whom I never beleive because they constantly exaggerate everything) has stated this will instantly remove 15% of value from all housing across the board. Now, I don’t beleive that number, but I also don’t think it is negligible, especially in high valuation areas.

I think another thing you should be well aware of is that Congress is now debating the whole debt ceiling issue, and part of that is an idea to eliminate the mortgage interest deduction. Again, this one thing alone in my opinion will have a significant impact on high value homes. By my calculations, a $400K loan gets $105K of tax relief (over the term of the loan) from this tax break. If this is removed, it will remove the motivation for many to purchase, hence less demand…

Aggregate the impacts of both of these policy changes, and this is no laughing matter for someone looking to purchase now!

I’m just sayin’…

[Huckleberry]

I beleive it’s going to have a significant impact on housing in high valuation areas such as along the coast.

Here is an excellent article by the WSJ that has mapping of highest affected areas, and SD is on the top of the list.

http://online.wsj.com/article/SB10001424052702303763404576420101788878440.html

NAR (whom I never beleive because they constantly exaggerate everything) has stated this will instantly remove 15% of value from all housing across the board. Now, I don’t beleive that number, but I also don’t think it is negligible, especially in high valuation areas.

I think another thing you should be well aware of is that Congress is now debating the whole debt ceiling issue, and part of that is an idea to eliminate the mortgage interest deduction. Again, this one thing alone in my opinion will have a significant impact on high value homes. By my calculations, a $400K loan gets $105K of tax relief (over the term of the loan) from this tax break. If this is removed, it will remove the motivation for many to purchase, hence less demand…

Aggregate the impacts of both of these policy changes, and this is no laughing matter for someone looking to purchase now!

I’m just sayin’…

[Huckleberry]

So my thought is…

There is a high majority of $250K and above income earners along the coastal areas of SD, especially west of the 5.

I foresee housing in these areas receiving a major valuation blow if this Obama legislation is passed. Am I missing something here?

If this does get passed, what is the time frame it will take for these areas to start feeling significant downward pricing pressures?

[Huckleberry]

So my thought is…

There is a high majority of $250K and above income earners along the coastal areas of SD, especially west of the 5.

I foresee housing in these areas receiving a major valuation blow if this Obama legislation is passed. Am I missing something here?

If this does get passed, what is the time frame it will take for these areas to start feeling significant downward pricing pressures?

[Huckleberry]

So my thought is…

There is a high majority of $250K and above income earners along the coastal areas of SD, especially west of the 5.

I foresee housing in these areas receiving a major valuation blow if this Obama legislation is passed. Am I missing something here?

If this does get passed, what is the time frame it will take for these areas to start feeling significant downward pricing pressures?

[Huckleberry]

So my thought is…

There is a high majority of $250K and above income earners along the coastal areas of SD, especially west of the 5.

I foresee housing in these areas receiving a major valuation blow if this Obama legislation is passed. Am I missing something here?

If this does get passed, what is the time frame it will take for these areas to start feeling significant downward pricing pressures?

[Huckleberry]

So my thought is…

There is a high majority of $250K and above income earners along the coastal areas of SD, especially west of the 5.

I foresee housing in these areas receiving a major valuation blow if this Obama legislation is passed. Am I missing something here?

If this does get passed, what is the time frame it will take for these areas to start feeling significant downward pricing pressures?

[Huckleberry]

Has anybody hear the latest on the status of the Obama administration eliminating or modifying this tax benefit?

Also, what is the current proposed structure of any modification?

[Huckleberry]

Has anybody hear the latest on the status of the Obama administration eliminating or modifying this tax benefit?

Also, what is the current proposed structure of any modification?

[Huckleberry]

Has anybody hear the latest on the status of the Obama administration eliminating or modifying this tax benefit?

Also, what is the current proposed structure of any modification?

[Huckleberry]

Has anybody hear the latest on the status of the Obama administration eliminating or modifying this tax benefit?

Also, what is the current proposed structure of any modification?

[Huckleberry]

Has anybody hear the latest on the status of the Obama administration eliminating or modifying this tax benefit?

Also, what is the current proposed structure of any modification?

[Huckleberry]

I 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?

[Author]

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