Right now Congress is having another tug-of-war over our money.
The prize: More votes for them.
Of course we will be the losers.
What’s it all about?
They’ve been wanting to get more of our exemptions for years, and they are about to succeed.
This time they are planning to reduce the law that allows investors, homeowners and landlords to own two houses and claim an exemption from the capital gains on both.
We have always viewed it as the 2/$250,000 rule.
You live in the property for up to two years. You sell, and then you can get an exemption for up to $250,000 in the run-up in value.
Married couples can double that.
A House committee has already passed the new law through to the next legislative step in the process.
This is a dangerous time and it could possibly be passed.
So what will Congress be doing with all that money?
If you guessed giving it to [tag-tec]distressed owners[/tag-tec], you are correct.
That’s because the provision to rid the tax on [tag-ice]mortgages[/tag-ice] wiped out in [tag-self]foreclosures[/tag-self] is connected to this bill.
So, in summary, they will take money from us and give it to them.
Is that fair?
Contact your representatives.
We can all thank them for doing their part in slowing down the housing market. Question is- with all this interference, will the market grow too cold?