RISMEDIA, September 16, 2009—Realogy CEO Richard Smith appeared on Fox Business Network earlier this week to discuss the state of the housing market as well as the proposed legislation in Congress to expand the first-time homebuyer tax credit to all homebuyers.
With the $8,000 Federal Tax Credit set to expire on November 30, 2009, real estate professionals across the board are urging Congress to expand the credit to all home buyers across all market segments in order to allow the recovery that we have seen thus far to continue.
The tax credit has had a huge impact on first-time buyers, and Smith believes the credit needs to be both extended and expanded as first-time buyers alone won’t change the housing market and the economy. “The move up market is where we need to be focusing our attention now, and the expanded tax credit will accomplish this,” said Smith. “It is crucial that we continue to fight, rather than give up now,” he continued. The tax credit is a demand side solution that has served as a terrific win for the administration and Congress as it gets prospective home buyers to make the decision to buy a home earlier than they would have otherwise. “We are asking people to spend their own money and accelerating the biggest decision of their life, which is good for the economy,” concludes Smith.
To see the entire video, click here.