Remember Howard Beale, the newscaster in Paddy Chayefsky's Network who finally lost it and screamed "I'm mad as hell, and I'm not going to take it any more!"? (If you don't remember this classic, rent it!) Our friend Denise Lones has much the same reaction about the sudden Senate switch in the $15,000 tax credit homebuyers were promised last week. It's time to act!
By Denise Lones CSP, M.I.R.M.
Even the severe food poisoning I suffered from this past week did not make me as ill as the news I heard yesterday afternoon regarding the Economic Stimulus Package.
It was announced yesterday that the original $15,000 tax credit, previously unanimously approved by the Senate on February 4th, was eliminated. In its place is an $8,000 credit only available for first time buyers and only for homes purchased by the end of August, 2009.
What happened to stimulating the real estate industry? In case our leaders haven’t figured it out yet (and obviously they haven’t) real estate is the most important industry to bolster right now.
The previously approved $15,000 credit for ALL buyers would have IGNITED the real estate industry like wildfire because it would have gotten buyers racing to get off the fence. This new $8,000 credit is not much better than the previous $7,500 credit for first time home buyers. Did that initial $7,500 credit work in igniting the real estate market?….NO!!!
The $15,000 tax credit offered excitement and hope to not only home buyers and sellers, but also to the entire real estate industry. How could this go so wrong when there was originally 100% agreement on this plan?
First the legislators agreed…and then, mysteriously, this amazing plan was completely scrapped with hardly any mention of it. In fact, if you read the news articles this morning it is even hard to find details about this new credit.
What in the world were the leaders of our country thinking? I am deeply, deeply, unbelievably disappointed that this has happened.
Do our leaders realize that when someone buys a home, they also spend an average additional 3% of the home sales price furnishing and accessorizing their homes? If an average home sells for $300,000, this pumps an additional $9,000 directly into the economy.
Our leaders should also take into account the real estate agents in the past 6 months that have had to get out of the market or seek other employment and are now searching for jobs in an environment of shrinking work opportunities. Agents are considered independent contractors and DO NOT qualify for unemployment. What about those numbers?
Our leaders need to take a stand and support the real estate industry. What we need right now is:
The real estate market WILL recover despite all of this because the strong fundamentals of real estate are still there.
Do I think the Economic Stimulus Package is a good step in the right direction? OF COURSE I DO. But I am upset that what could have been the greatest real estate igniter of all time never had the opportunity to be implemented.
Today is the day YOU MUST TAKE ACTION. I would love nothing more than to see thousands of real estate agents camped out on the steps of the Capitol Building. Can you imagine what news headlines the Realtor community would get if we all took a stand today and demanded action?
Now, I realize taking a flight to Washington is not practical right now - our market has suffered to the point where many agents can’t afford book that flight.
Here is what we all need to do today. Grab all the agents you can find and flood the phone lines of your Senator or Representative. Let them know that this is a travesty! Call your local and state Realtor Association - let them know they need to speak up. Send NAR an email of support. We must stand up and advocate for the real estate industry today.
Find your Congressional representatives:
If I appear mad, that is an UNDERSTATEMENT. And it is now time for all of you to get mad too and demand action.
By Denise Lones CSP, M.I.R.M.
Even the severe food poisoning I suffered from this past week did not make me as ill as the news I heard yesterday afternoon regarding the Economic Stimulus Package.
It was announced yesterday that the original $15,000 tax credit, previously unanimously approved by the Senate on February 4th, was eliminated. In its place is an $8,000 credit only available for first time buyers and only for homes purchased by the end of August, 2009.
What happened to stimulating the real estate industry? In case our leaders haven’t figured it out yet (and obviously they haven’t) real estate is the most important industry to bolster right now.
The previously approved $15,000 credit for ALL buyers would have IGNITED the real estate industry like wildfire because it would have gotten buyers racing to get off the fence. This new $8,000 credit is not much better than the previous $7,500 credit for first time home buyers. Did that initial $7,500 credit work in igniting the real estate market?….NO!!!
The $15,000 tax credit offered excitement and hope to not only home buyers and sellers, but also to the entire real estate industry. How could this go so wrong when there was originally 100% agreement on this plan?
First the legislators agreed…and then, mysteriously, this amazing plan was completely scrapped with hardly any mention of it. In fact, if you read the news articles this morning it is even hard to find details about this new credit.
What in the world were the leaders of our country thinking? I am deeply, deeply, unbelievably disappointed that this has happened.
Do our leaders realize that when someone buys a home, they also spend an average additional 3% of the home sales price furnishing and accessorizing their homes? If an average home sells for $300,000, this pumps an additional $9,000 directly into the economy.
Our leaders should also take into account the real estate agents in the past 6 months that have had to get out of the market or seek other employment and are now searching for jobs in an environment of shrinking work opportunities. Agents are considered independent contractors and DO NOT qualify for unemployment. What about those numbers?
Our leaders need to take a stand and support the real estate industry. What we need right now is:
1) Help for homeowners in foreclosureI want you to know that this article is NOT meant to make you panic but to MAKE YOU AWARE of what we lost in the most recent revision of the stimulus bill.
2) Help for sellers that need to sell and can’t because buyers are afraid to buy
3) Help for buyers that can’t get a loan now because lenders have tightened their lending criteria tighter than Fort Knox
4) Help for builders that are going under because their inventory is not selling
5) Help for real estate agents that can’t claim unemployment
The real estate market WILL recover despite all of this because the strong fundamentals of real estate are still there.
Do I think the Economic Stimulus Package is a good step in the right direction? OF COURSE I DO. But I am upset that what could have been the greatest real estate igniter of all time never had the opportunity to be implemented.
Today is the day YOU MUST TAKE ACTION. I would love nothing more than to see thousands of real estate agents camped out on the steps of the Capitol Building. Can you imagine what news headlines the Realtor community would get if we all took a stand today and demanded action?
Now, I realize taking a flight to Washington is not practical right now - our market has suffered to the point where many agents can’t afford book that flight.
Here is what we all need to do today. Grab all the agents you can find and flood the phone lines of your Senator or Representative. Let them know that this is a travesty! Call your local and state Realtor Association - let them know they need to speak up. Send NAR an email of support. We must stand up and advocate for the real estate industry today.
Find your Congressional representatives:
If I appear mad, that is an UNDERSTATEMENT. And it is now time for all of you to get mad too and demand action.
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