USD$15,000 Home Buyer Tax Credit….potential kick start?

The New York Times reports from Washington that

“The Senate on Wednesday voted to expand the economic stimulus package with a tax credit for homebuyers of up to $15,000″

Actually I shouldn’t get too far in front of myself here……. the bill still needs to pass both the House and Senate, and then after that, finally be signed into law by President Obama.

According to the NY Times, adding this extra housing tax credit, will blow out the stimulus package by a further $18.5 billion. By adding this on to the existing economic stimulus proposal the total is now north of $900 billion.

According to Forbes, the President is calling for action now!

There’s six questions on everyone’s lips about this, and this chap here at US News has tried to answer them, hopefully to everyone’s satisfaction.

In light of the severity of NZ’s current building consent approvals travelling through councils around NZ, the lowest since 1987, perhaps this is something NZ politicians should be paying particular attention to.

Australia has had for many years a very successful, though much abused “Home Starter Grant”, in its heyday it contributed $15,000 to the purchase of a First Home Owner.

Perhaps this is the type of stimilus needed to stem the tide of building industry tradespeople currently travelling across the ditch, and provide just that kick start to make a home buyer investigate seriously the current low mortgage rates and much greater housing affordability.