January 21 2018
Homeowners and the real estate industry have benefited from substantial tax deductions for decades. However in the latest real estate news, changes to these deductions are coming now that the proposed tax plan has been signed into law. What will the fallout to the industry and to homeownership be?
In efforts to 'save homeownership' and leave homeowners as a favored class in the tax code, Realtors nationwide protested, lobbied legislators, and warned clients about the threat of unfavorable real estate market impacts under the new tax law.
According to real estate news, the new tax law could make homeownership less attractive, raising the cost and potentially depressing property values. What tax changes could bring this to pass?
According to some economists, smaller markets could feel little-to-no effect, while those in high-cost, high-tax areas like NY and NJ could see significant declines in home values—as much as 14 percent by 2019. Other real estate news analysts expect little effect, however, as many households already choose not to itemize. Rising demand/limited supply are expected to continue to drive the market upwards.
To view the original article, visit the Properties Online blog.