“Joe Biden on Tuesday unveiled a $775 billion plan to bolster child care and care for the elderly that would be financed by taxes on real-estate investors with incomes of more than $400,000 as well as increased tax compliance by high-income earners.” Bloomberg reported the “Biden administration would take aim at so-called like-kind exchanges, which allow investors to defer paying taxes on the sale of real estate if the capital gains are reinvested in another property.” One of Biden’s senior campaign officials said the plan would prevent investors from using real-estate losses to lower their income tax bills.
2. DO YOU BELIEVE IT?
The 30-year fixed-rate mortgage averaged 2.98% this week, the lowest rate in Freddie Mac’s records dating back to 1971 says Realtor Magazine. Take a look at Freddie Mac’s national averages for the 30-year and 15-year fixed-rates, along with the 5-year hybrid adjustable-rate mortgage rates for the week ending July 16th: Mortgage Rates Dip Below 3%!
Where is the Top U.S. Area to Buy a Vacation-Rental Home? The Panhandle. Florida Realtors posted the “Panhandle offers the best returns on vacation-home investments in the U.S., while Siesta Key and the Miami Beach metro also made the top 20 list.” Check out where real estate investors are studying second-home markets as they search for growth opportunities, even during the pandemic.
4. VIEWS NOT SALES
NBC News Homes quoted some Realtor.com data this week reporting “urban zip codes had a 19 percent increase in views compared to last year. But homes in suburban zip codes had a much larger 30 percent jump. And homes in rural zip codes saw a 34 percent increase in views. This is a good indicator why Rural real estate prices rise as people consider leaving cities. “The virus is impacting how we spend money, how we shop and, perhaps, even where we want to live.”
5. STOKED BY A CRISIS
Can you believe some areas of housing are actually doing better than they were before the coronavirus began sweeping the States? From Politico: Housing market defies expectations amid economic turmoil. “The U.S. housing market, the epicenter of the nation’s last economic meltdown, is thriving — and that’s helping to keep the country afloat during the latest crisis, even as other industries struggle to survive.”