A Letter from RE/MAX CEO Dave Liniger

avatarthumbnail.jpgReceived the following note in my inbox this afternoon from Dave Liniger, the Founder and CEO of RE/MAX International. Okay, so he sent this to all of his agents and not just me, but nevertheless …

The amendments Dave’s discussing won’t help the folks already facing the looming spectre of foreclosure but they do provide some additional incentive for buyers on the sidelines to get into the markets.

Without further ado …

If you have been watching the news this week, you may have noticed that the debate in Washington has finally turned toward real stimulus for the housing industry. As a result, I believe that we could be on the brink of a substantial turn around in the real estate market. Now, it’s critical that we all join together and deliver a powerful message to our legislators that we support this stimulus.

Last night, the Lieberman/Isakson Amendment was included in the senate version of the Economic Stimulus Bill by a unanimous voice vote. This amendment would provide a Tax Credit to all home buyers at the rate of 10% of the sales price up to a limit of $15,000. The credit would be available for a one year period to all purchasers of primary residences.

Today, the senate expects to debate Amendment 353, a proposal by Senator John Ensign (R-NV) that would provide 30 year fixed financing at a rate of about 4%, for anyone purchasing a primary residence.

If these two provisions survive in the final passage of a stimulus bill they could have a tremendous impact on our industry. If they are coupled together with provisions to ease the flow of credit and reduce foreclosures, we could see an immediate and dramatic turn-around in real estate.

I feel that these provisions represent real economic stimulus. They will put money in the hands of millions of homeowners, increase sales, stabilize home values and add more revenues to local communities in the form of property taxes.

I urge each of you to contact your senators and representatives to let them know that you believe these provisions are essential components of any stimulus bill. You can go to the official Senate and House web sites to locate the email and phone number of your legislators.

This may be one of the most critical moments for the real estate industry in our time. Please pass this information on to anyone you might do business with. The outcome of this legislation will have a lasting impact on us all. I appreciate your assistance on this urgent matter.

Thank you.

[tags]Phoenix real estate[/tags]

Jonathan Dalton

Jonathan Dalton is a 40-plus-year resident of the Valley and has been helping folks buy and sell homes since 2004. He can be reached at 602-502-9693 or info at allphoenixrealestate.com.


  • Todd Tarson 9 years ago

    I got that as well, along with the NAR bits that say much the same thing.

    While I understand what the lobbyists are doing, as a Member myself, I’m not really feeling good about it.

    These were the same folks telling me to contact my elected leaders to pass the first bail-out last year leading up to the election. My email response was laced with profanity.

    As an American, I didn’t support the idea of a bail-out and I really have a hard time supporting these amendments in the last couple of days.

    On one hand I can see that activity will pick up because more buyers will be artificially created… but on the other hand, artificial buyers is what led to the mess in the first place.

    I believe in the market and even though it certainly is painful at times to be in this business right now, I live with what the market will bear.

    It’s fine that you can lead a horse to waste water, but why force it to drink waste water??

  • Jonathan Dalton 9 years ago

    I’m not sure the two amendments would create artificial buyers. Folks still need to qualify and have some cash on hand, and (hopefully) the days are past when Tobey could get a pre-approval.

    The $15,000 credit isn’t going to cause someone without a job or credit to run out and buy a house. There’s limited benefit. But it does help someone deciding between now and a year from now.

    On the 4%, my biggest concerns are fairness and the idea of the government setting any sort of rate. Let the market decide what rates should be, but don’t punish those who purchased last year at the market rate instead of waiting until this year.

Comments are closed.