A spokesman for the organization said that any changes to the mortgage interest deduction now or in the future could critically erode home prices and the value of homes by as much as 15 percent, according to NAR research.
This would negatively impact home ownership for millions of Americans, including those who own their homes outright and have no mortgage, according to the NAR. Any further downward pressure on home prices will hamper the economic recovery, raise foreclosures and hurt banks abilities to lend and likely tip the economy into another recession resulting in further job losses for the country.
It will effectively close the door on the American dream.
NAR is asking its members, and others interested in the housing market to make a quick call to their representative’s office today to ask him or her to defend the mortgage interest deduction from any cuts or reduction as outlined in the Deficit Commission Report released this week. NAR has included some sample talking points:
“I have been on the front lines of the housing crisis.”
“I can assure you that even talk of changing MID harms an already fragile market.”
“I am strongly opposed to the Deficit Commission’s proposal to limit or eliminate the Mortgage Interest Deduction.”
“News reports saying that Congress threatens to repeal or limit MID will keep potential buyers on the sidelines and further delay the housing recovery.”
Cutting the deduction is one of many tax measures considered by a committee of the U.S. Deficit Panel.
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