Real estate head slams GOP tax plan

by Ryan Smith27 Feb 2014
The head of the National Association of Realtors has slammed a GOP tax reform plan that would slash the current mortgage interest deduction.

The plan, put forward by House Ways and Means Committee Chairman Dave Camp (R-Mich.) would eliminate hundreds of credits and deductions, including deductions for child care, medical bills and state and local taxes. Also under the knife would be the current mortgage interest deduction. Under Camp’s plan, the mortgage interest deduction would be available only for mortgages worth less than $500,000, rather than the current $1 million limit. Existing mortgages would be grandfathered in, however.

According to NAR President Steve Brown, slashing the mortgage interest deduction, along with other proposed changes, will negatively impact taxpayers.

“NAR supports reforms that promote economic growth, but we strongly oppose severely altering the rules that govern ownership and investment in real estate,” Brown said. “Real estate powers almost one-fifth of the U.S. economy, employs more than 17 million Americans, and contributes a quarter of all federal and state tax revenue and as much as 70 percent of local taxes.

“We are extremely disappointed with several of the provisions contained in U.S. House Ways and Means Chairman Dave Camp’s tax reform draft released today, namely proposed limits on the mortgage interest deduction and capital gains, and the repeal of deductions for state and local property taxes,” Brown added. “These proposed changes to the taxation of real estate will impact every single American, either directly or indirectly.”


  • by TA | 2/27/2014 11:57:43 AM

    Well Said!

  • by Mark | 2/27/2014 12:03:42 PM

    try being a mortgage officer big baby

  • by Michael | 2/27/2014 12:12:12 PM

    The solution is simple. Institute a flat tax system. Everyone pays the same tax rate. Everyone loses all tax deductions, the tax code is simplified. And we all get a and pay our FAIR SHARE. 10% is good enough for God and it should be good enough for Uncle Sam. Earn a dollar and pay 10 cents. Earn $100,000 and pay $10,000.


Is TILA-RESPA a good or bad thing long term?