-- Leading real estate and financial services company to propose tax credit for home buyers to Congress --
January 10, 2008 // Franchising.com // MORRIS PLAINS, N.J. – Americans are growing uneasy with the state of the economy amid increasing predictions of a recession from Wall Street firms and financial analysts. James M. Weichert, president and founder of Weichert, Realtors®, one of the nation's largest privately held real estate companies, thinks it's time to do something about it.
Weichert today announced that he intends to urge Congress to support and enact legislation that would provide a tax credit for home buyers in an effort to stimulate the economy. The real estate and financial services company plans to work in concert with its Realtor and trade associations.
"For years, economists have drawn a correlation between the real estate market, the largest segment of the gross domestic product, and the overall economy. When the housing market is flourishing it drives the economy. After the housing sector stalled, we began seeing a negative ripple effect," said Weichert. "To me, the fastest and most logical way to economic recovery would be to provide an incentive in the form of a tax credit to home buyers to re-energize the housing market and in turn other sectors of the economy."
Weichert's proposal comes at a time when concern over the economy is high. According to a CNN/Opinion Research Corporation poll released last month, Americans listed the economy as their top issue in the 2008 presidential election.
The unexpected emergence of the mortgage crisis in 2007, during an already declining real estate market, has led analysts, businessmen and politicians to put forth countless suggestions to stimulate the economy and help stave off a recession. These plans have focused on rate freezes for adjustable-rate mortgages, a moratorium on foreclosures and aid to existing homeowners who are struggling to keep up with accelerating mortgage payments.
Weichert's solution is unique in that it is one of the first to take a forward-thinking approach and provide a way to assist future homebuyers while stimulating the housing market, and as a result, the overall economy. Weichert believes that his proposed tax credit for home buyers is the right solution at the right time because it would provide an added incentive during an already strong buyer's market.
Said Weichert, "I have been at the real estate business for a long time and one thing that remains consistent are the factors that drive the housing market. Mortgage rates are the lowest they have been in more than two years, there is a healthy supply of homes to choose from and sound financing remains available to qualified buyers. As far as I am concerned, now is the right time to purchase a home, especially when you factor in the proposed tax credit as well as the long-term investment opportunities homeownership provides."
Weichert has nearly 18,300 sales associates in over 520 company-owned and franchised sales offices in key markets throughout the U.S. A family of full-service real estate and financial services companies, Weichert helps customers buy and sell both residential and commercial real estate, and streamlines the delivery of mortgages and home and title insurance. For more information, Weichert's customer service center can be reached at 1-800-USA-SOLD or at Weichert's Web site, www.weichert.com. Each Weichert franchised office is independently owned and operated.