I normally try to stay as far away from politics and legislation as possible. Recently however, with trillions of dollars in deficits, rising cost of living and shrinking middle class, there has been a push by some in Washington to make sweeping changes to the tax structure we Americans have become accustom too over the past few decades.
Yes, we as a country need to curb our spending and become more responsible with how things are done here in the United States. As a Realtor, I am driven to protect the rights of us professionals to continue doing what we do with limited interference. I depend on our legistlators to protect me as well as my clients. As a service, our industry is very vulernable to changes the economy and economic outlook. So, in a sense, I have skin in the game when it comes to making sure all of us act responsibly and in the best interest of everyone.
So, What About Mortgage Interest Deduction - Where Do I Stand?
There was an article in the Washington Post recently that drove a misperception that the Mortgage Interest Deduction (MID) benefits the wealthy. My feeling is, MID primarily benefits the middle and lower income familes who earn less than $100,000. From my research, approximately 91% who claim less $200,000 are MID beneficiaries - many being younger middle-class families
The MID helps families become home owners by reducing the carrying costs of owning a home. The ability to deduct interest on a mortgage can save a significant amount of taxes.
Unlike the very wealthy who have a large portion of their wealth tied up in stocks and the market, most of the middle-class in America have their home as their largest investment. Millions of Americans bought their home with the understanding that mortgage interest is and always will be tax-deductable, and many of them steadily paid down their mortgages to build equity in their home.
By eliminating or reducing MID, equity would be significantly decreased, home pricing would be in free-fall, one of the strongest industries in the United States would stumble and possibly crumble and the financial futures of millions of Americans would be thown into chaos.
And, for people who don't have hundreds of thousands of dollars in savings to buy a home outright, tax benefits like the MID help them begin to build a future through home ownership.
With all the economic pressures our middle class faces today, it is not the time to throw those that work the hardest under the bus.
Labels: Belmont Heights, Belmont Shore, Long Beach, Long Beach Real Estate, Mortgage, Mortgage Interest Deduction, Naples
# posted by
Dave Harbison @ 6:52 AM
Living in Long Beach, CA, I am not exposed to as many grand homes as those Realtors in Beverly Hills, Newport Beach, Manhattan Beach, Santa Barbara, Rancho Palos Verdes or other select parts of Southern California. Don't get me wrong, our city has a great number of places, on the water, and inland that hold you breathless.
To me, Long Beach is a hidden gem -- a secret place situated between Los Angeles and Orange County that provides a lifestyle that is a mixture of bustling east coast and laid back west coast.
Naples, Belmont Shore, Park Estates, Lakewood Country Club and Virgina Country club are places that most resemble the lifestyle synonymous with what everyone perceives as California luxury. It is, but at a fraction of the cost of other areas.
In the past 10 years, a great many of the homes in this area have been remodelled or totally rebuilt to reflect the changing face of expectation in luxury. After doing a little digging, I've uncovered a number observations about the upper-tier housing market in Long Beach -- that align very closely with other areas in the whole of California:
- Professional Landscaping is a must
- Upgraded the kitchen. In the luxury market there is a great number of homes in Long Beach that have "Designer" kitchens
- Wine cellars are becoming more popular as available room, especially in Naples, Belmont Shore and Belmont Heights is becoming more of a premium
- Wet Bars are starting to make a come back
- In-ground swimming pools with spas have long been popular and are even making a splash in smaller lots in Belmont Heights
- Installed Security systems are the norm rather than the exception
- Surround sound systems with the latest wireless capabilities
I can only speak for myself, but luxury in Long Beach is more than design. Add taste, style, convenience, flowing floorplans and timeless individuality and what you see will be incredible.
Any chance you get to view a home that peaks your interest. Do it!
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Dave HarbisonLong Beach REALTOR®Main Street Realtors (562)618-9770---
Long Beach Realtor® / Real Estate AgentLong Beach Homes for Sale, Condos and Investment PropertiesLong Beach Relocation Expert---
Labels: Belmont Heights, Belmont Shore, Dave, Long Beach Real Estate, Luxury Homes, Naples, Park Estates, Real Estate, Realtor, Virginia Country Club
# posted by
Dave Harbison @ 10:02 AM
