From the Publisher

Everybody agrees that the federal government’s budget deficit must be dealt with. And to bring it under control, some tough decisions will have to be made and some sacred cows sacrificed. But a proposal to eliminate or scale back the current tax deduction that homeowners receive for the interest they pay on their mortgages is 
being criticized from the left and the right.

Building industry leaders and economists of all stripes say the proposal, which is part of a preliminary plan that bipartisan leaders of President Obama’s deficit commission released last month, is at the very least ill-timed.

“Given the fragile state of the nation’s housing market, now is not the time to be scaling back incentives for homeownership,” said Michael D. Berman, chairman of the Mortgage Bankers Association. 
“The mortgage interest deduction is one of the pillars on our national housing policy, and limiting its use will have negative repercussions for consumers and home 
values up and down the housing chain.”

The mortgage interest deduction is, for millions of homeowners, the biggest tax break they can claim. Since 1913, home-owners have been allowed to deduct the 
interest paid on mortgages for their primary residences, second homes and most home equity lines of credit.

Please keep your ears open and get ready to make your feelings known if this idea 
actually advances and is proposed as legislation. With all the waste in government, I’m confident we an find a way to balance the budget without making the American Dream of home ownership even more difficult.

KIM HANNIGAN
Publisher
kimh@florida-homebuyer.com