A record 30% of Americans have $0 in wealth outside of their homes

Older generations will die out. Younger generation will eventually replace them or inherit from them.

Why would government have any reason to do this? why not just let the markets efficiently handle this? Why would government incentivize home ownership which then results in NIMBY, and cause generational wealth difference?

Two words: Rent Control

Not related to government subsidy on home ownership?

That’s not helpful for a family trying to raise kids. Their kids will likely be grown and out of the home before their inherit RE from their parents. Also, what if there’s more than 1 kid? Now you have to split 1 home into an inheritance for multiple kids.

Come on, plenty of Asians have more than 1 home… or you do like my sis inlaw’s siblings did, they fight over material goods before their dear mother’s body is cold and end up never speaking to each other again…

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Government picks winners and losers all the time. Supporting home ownership builds communities adds to the tax base and has made America wealthy… what is wrong with that??.. Besides the cap gains tax exclusion for homes just compensates for government caused inflation…

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As far as increasing access to ownership… it is government policy to decrease development… easy to change… force local governments to stop zoning and build restrictions

Well, if you read posters here, they berate government. That is, when the government ask them a return on the favor of them keeping their taxes held in a 1031.

There’s no free market. In a free market, there’s no uncle Sam involved. You buy a home, pay taxes, second one, pay taxes right away.

Liberals and conservative people become munchers when they depend on the government to move up the ladder.

Then they can use that inheritance as downpayment for their new home… :wink:

It is not the governments money… in fact all interest used to be deductible. It was considered income to a third party
Just like a business expense. Sorry all young people start with nothing. Every generation has their own responsibility to build their own pathway to wealth. The older generations found their way by following the rules. Now government wants the change the rules… that is more discriminating than the present system…

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Reduce the tax rate to a flat 3% and remove all deductions please.

It’s stupid to charge people a sky high tax rate and then give them some dubious deductions. A lot of the promised deductions may not help many people due to standard exemption, various limitations. A flat low tax rate is better.

Reduce the tax rate please!

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Lets wait until they realize this and start taking money out they cannot pay!

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HELOC standards are stricter now. You used to be able to borrow 120% of the home value.

i heard 90% helocs recently, maybe?

You can on primary, but they aren’t no doc, liar loans. You need to meet DTI requirements, 2 years of tax returns to prove income, 18 months of reserves, credit score over 760, etc. Those people aren’t the ones that defaulted last time.

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