Aiding 3.8M Families in Home Purchase Dreams Amid Housing Crisis

According to the report of MARKET REALIST, President Joe Biden has a plan to help families buy homes. He wants to make it easier for people who want to buy a house for the first time. He talked about this in his recent speech. He wants to give first time homebuyers a tax deduction of $5,000 each year for two years. Also if families sell their first home they can get a tax deduction of $10,000. But this plan needs approval from Congress.

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Biden Plan to Ease Homeownership for Families (PHOTO: Market Realist)

Experts Question Impact on Families Homeownership

One part is called the mortgage relief credit. This will make it cheaper for them to get a mortgage especially for families who want to buy a home that costs about the average price. However, some experts are not sure if these tax credits will solve the problems. Keith Gumbinger from HSH is worried. He thinks that even with these credits buying a home might still be hard because prices and mortgage rates have been going up a lot. Janneke Ratcliffe from the Urban Institute also thinks there a bigger problem with not enough homes available. She says just helping people buy more homes might not fix everything. So while Biden plan sounds good its not clear if it will really make a big difference.

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