Homebuyers tax credit extended (sales, renting, mortgage)

[Elizabeth_G]

Deal struck to expand home-buyer tax credit - MarketWatch

[autobahn]

Wonder who is going to pay for that? Heard today that the current tax credit is driving up the price of entry level housing to the point that many people are paying more than $8000 over what the house is worth just to get the credit.

[jkratze1]

Originally Posted by autobahn

Wonder who is going to pay for that? Heard today that the current tax credit is driving up the price of entry level housing to the point that many people are paying more than $8000 over what the house is worth just to get the credit.

LOL!
Government involvement never works. They had to extend the credit because the housing market might stall again without it, just as car sales have stalled without cash for clunkers.

[Toymeister]

Originally Posted by autobahn

Wonder who is going to pay for that?

Your kids and my kids are.

Sadly America has become a land of entitlement.

Most Americans thing short term, case in point watch those with vested interests in selling and building homes cheer on this tax credit. Thats fine but what about the long term?

[Mawoods]

I also heard the possibility of a partial tax credit for those up to a certain income level(don't know what it is) and have been in their homes 5 years. I again feel penalized because to pursue a job or work we HAD to sell low ie LOSS and buy high last year and we are probably not in the income level. And I am sure we will be paying for it. WHY can't just regular people like us - not rich or poor catch some kind of break? We took a huge loss and had to move for new job after a loss of a job. Did anybody help us?

On the other hand, I don't begrudge helping people get into their first time home. I just think after a while, I WANT A BREAK TOO!!! We couldn't claim any of our loss. SORRY for the rant.

[Scoot110703]

They'd probably sell a lot more cars if they didn't charge so much for them. I mean, come on...30-40,000 just for a decent truck or family car? God forbid you need more than one!

[friday13]

Originally Posted by autobahn

Wonder who is going to pay for that? Heard today that the current tax credit is driving up the price of entry level housing to the point that many people are paying more than $8000 over what the house is worth just to get the credit.

I heard on NPR this morning they've also extended the credit to "repeat" homeowners - which have owned a house for at least 5 years - that would mean downsizing, upsizing or relo - so my guess the prices of all homes across the board will go up, not only entry-level. >>> Well, maybe not the upper-end as their "expensive-ness" alone would require a sizeable income and not qualify, but the $150-$300k could see a jump in price.

And not to burst anybody's bubble: isn't the credit improperly called "credit"? It was my understanding you have to pay the money back in 15 yrs (or after 15 yrs) - I didn't pay close attention, as I wasn't interested in buying soon.

[ionlife]

Originally Posted by Mawoods

I also heard the possibility of a partial tax credit for those up to a certain income level(don't know what it is) and have been in their homes 5 years. I again feel penalized because to pursue a job or work we HAD to sell low ie LOSS and buy high last year and we are probably not in the income level. And I am sure we will be paying for it. WHY can't just regular people like us - not rich or poor catch some kind of break? We took a huge loss and had to move for new job after a loss of a job. Did anybody help us?

On the other hand, I don't begrudge helping people get into their first time home. I just think after a while, I WANT A BREAK TOO!!! We couldn't claim any of our loss. SORRY for the rant.

You deserve a rant--the houses were very overpriced given the economy and the realtors refused to budge as did the pre-existing home sellers. I remember dealing with the same ridiculous problem and it bit.

On the plus side, I don't owe anyone anything for getting into the house over and above my own mortgage.

And wasn't the gov't interfering (FANNIE MAE AND FREDDIE MAC/THANK YOU BARNEY FRANK!!!) in home buying one of the reasons we got into this pickle?

Owning a home is PRIVILEGE, not a right. If you can't afford the home, keep renting. Period.

[DvlsAdvc8]

While you're at it, dump the mortgage interest deduction too.

[friday13]

Originally Posted by DvlsAdvc8

While you're at it, dump the mortgage interest deduction too.

I'm all for it since mine dropped below the stadard deduction so it's not worth itemizing anymore