According to the National Mortgage Complaint Center (NMCC), U.S. residential real estate values are going to decline much further if the homebuyer tax credit is not reinstated. Calling federal attempts to help homeowners in foreclosure through foreclosure alternatives and loan modifications “an utter failure,” NMCC spokespeople have announced that “restoring the federal tax credit for a home purchase would be a huge step in the right direction” toward stabilizing the U.S. residential real estate market. The group also suggests that the amount should be increased to $15,000 and the all qualified homebuyers should be eligible, not just first-time homebuyers. In the same statement, NMCC took direct aim at the president, saying that “we appreciate the concept of free enterprise and/or risk and return is lost on President Obama, but someone in DC had better start thinking outside of the box now or it could be too late.” At the same time NMCC also brought up the continuing issues with Chinese drywall, saying that these homes are nearly guaranteed foreclosures because homeowners cannot sell them and are not able to remain in the homes due to health complications.
We agree with NMCC that the housing market is in trouble, but is a tax credit the right way fix things and if not, what do you think will work?
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