NAR PUSHES FOR ADDITIONAL HOUSING STIMULUS

The National Association of Realtors announced last week that it will push for a four-point legislative plan which will create additional incentives for housing markets. Congress will be urged to act during the lame-duck session before the end of the year.
NAR’s plan includes the following elements:
1. Remove the requirement in the current law that first-time homebuyers repay the $7,500 tax credit, and expand the credit to include all purchasers of primary residences.
2. Revise the FHA, Fannie Mae and Freddie Mac 2008 stimulus loan limit increases to make them permanent. The Economic Stabilization Act, enacted in February, made loan-limit increases temporary, and subsequent legislation reduced the loan limits. This has broad implications for homebuyers in higher cost areas.
3. Urge the government to use a portion of the $700 billion that was provided to purchase mortgage backed securities from banks to provide price stabilization for housing, by:
a. Extending credit down to Main Street, making credit more available to consumers and small businesses
b. Expedite the process for short sales
c. Expedite the resolution of banks’ REO properties
4. Make permanent the prohibition against banks entering real estate business brokerage and management, further protecting consumers and the economy.