Washington wrangles over home buyer tax credit

Realtors are the problem. Everytime a home transfers it must be 6% higher due to realtor fees, historically pushing prices to unaffordable levels compared to median incomes. THAT is what caused the housing bubble!

I am just plain tired of the government targeted give aways in general. We no longer have a need to save for opportunities, or take any risks in investing. Thanks to this current group of representatives we no longer have a free market system.

We have a generation with a sense of entitlment. The government continues to stroke that sense by giving more money to the irresponsible spenders instead of rewarding responsible savers.

Why do I love the tax credit for first time homebuyers?? Well, first off they're the ones who did not jump on the bandwagon to over-inflate home prices to begin with. Secondly, these people have good paying jobs if they qualify for a loan these days – jobs in which they are paying taxes to support medicare, social security, the elderly, the unemployed, etc. Plus the $8,000 is going to local economies – buying furniture, housing remodels/upgrades, etc. Also, since we have a huge number of foreclosures in which no one is paying taxes, why not give an incentive to first time homebuyers who are responsible citizens and will now be paying taxes thus bringing in more revenue to your cities.

Sorry folks, but this is good economics and good policy.

Again! Another unfair bailout coming out of Washington!

I just read about bill 3548…It's great that SOME people can get a tax
credit for buying a house, but many Americans reading about this bill
are as disappointed as I. We've been forced to sell 2 homes (both our
primary residence at the time) in this terrible economy in order to
maintain continued employment and both at a loss. And now, congress
wants to give first time home buyers and those who have been in their
homes for 5 years who "trade up" a tax credit. We HAD to "trade up" by
moving from Richmond county to Columbia county GA in order to get our
son into a school district that is not failing in its mission to educate
our youth. Apparently our willingness to "trade up" while our economy
was at its lowest point (April 2009) doesn't warrant a tax credit.
Either make the bill retroactive for all those who have "traded up" to
the date of the initial incentive for first time home buyers, or kill
it. My willingness to bail out banks, businesses to big to fail and
people who can't afford a home in the first place is exhausted. We
Americans who continued to work hard, pay our mortgages and support our
communities during these bleak economic times deserve a break. IT'S MY
TURN AS A MIDDLE CLASS AMERICAN to reap a benefit for being personally
financially responsible and paying for the financial mistakes of others!

To MR from Syracuse:

You can either refile your most recent tax return or claim it next year. Your gripe seems to be that you're over the 75K this year, so just amend and refile last year's return. You risk an IRS audit for the amendment, but because you made less than 100K, your risk is mitigated. Talk to a tax planner–or risk leaving $8K on the table.

I think the government should just buy everyone a house. They could just write a check for 100% of the purchase price. I think this would stimulate the economy a lot more than a small tax credit. We could end homelessness while we are at it too. Everyone would be better off by a house (except the real estate agents, who would be even better off).

Home prices are going down becuase there are more sellers and fewer buyers. Why should the government provide incentives to homebuiders to increase supply. If this credit is continued it should be limited to existing homes only.

I hope they kill this bill, as it is only pushing the bubble forward. Let free market reign!

I didn't qualify for the tax credits. On the whole they have stimulated our local real-estate community. However, every one on this site keeps pointing out that they have the right to 'their tax dollars'. Anyone that has any knowledge on politics and national debt, understands that our taxes have already been spent due to our increasingly high deficit. While our government is busy bailing out big business and individual via credits, they are solely focused on short-term stability- and rightly so for the most part. Who is going to bail out our government once other nations start turning their back on the cash strapped USA? We need fiscal responsibility- individual level to Government Level.

The economy is slumping due the housing collapse, but are so narrow-minded as a nation to realize that several other mitigating factors has contributed to the down fall of our economy over the past several years? There is much more going on, and most individuals in support of more tax credits need to realize that entitlement to this tax credit is not the answer. Rather think globally and responsibly about our choices at a nation. Sure $8,000 on a personal level is not a lot of cash, multiply that by 1 million, and the spending is exponential. Open this credit to all home buyers, and it's catastrophic.

The reason we have a housing bubble is because we have too much inventory, faulty credit, and default loans. Even if the tax credit helps one person obtain their first home, or a larger home, their previous residence still needs a home owner/renter. Even with the credit, we are not solving the problem, just bandaging the eventual outcome- Our housing development has outgrown the pace of our National Growth. Quit the charades game and start saving and sacrificing.

Get rid of the credit… With super low rates and rock bottom prices what else do we want?? Oops I almost forgot we are a new generation of ENTITLED Americans and deserve the biggest and best… Hmmm… Heres a little whisper of an idea: Lets help the much larger percentage of the population that is ridiculously upside down and will never be able to afford their current payments. We spent 5-8 years putting a big group of people in this category. One year of 1st time buyer stimulus isn't going to help….. We need more realistic modifications and balance reductions for those current and slightly behind on their loans. Many in this demographic make plenty of money and could help stimulate the economy but oops… all their extra money goes to pay a mortgage on a house they can never sell without going through either a moral, financial, or legal dilema….. Lets be very cautious about free money to those who don't appreciate it. Seriously. But what do I know I am a mortgage banker…

A majority of people on here are arguing about expanding this credit to everybody, regardless of income and home-ownership status, and how this segregates consumers. What about the otherside of this? Why is the government subsidizing the purchase of anything? We saw this earlier with the Cash for Clunkers thing as well. Any business has the right to file for bankruptcy on their own. If they fail they fail, it's not the end of the world. Why not subsidize McDonalds or Adidas? The Government has no right to meddle in private business and pick winners and losers.

If they need to do that, the prices are too high. If they would just stay out of it, sellers will either foreclose or be forced to sell their home for less. Neither of these things are necessarily bad, and only the seller has to suffer the consequences for buying something they couldn't afford. It allows the market to find its natural bottom, instead of trying to keep it at an artificial high. This is the only way to truly get it to turn around. Low rates and the creation of Fannie, Freddie, FHA, HUD, etc that shifted the responsibility of the banks to give loans based on the individual borrower to every tax payer is what got us in this mess in the first place.

Government doing more of what they did to create it to try to get us out is not going to fix anything. It will merely drag it out longer because no tax credit has ever really 'fixed' anything…as soon as the credit stops, so does the consumer spending in that area.

I also recently bought a house and will get this credit, but I would have done it anyway. Which means that I didn't need it, which is probably the case for most people. If somebody really needs the $8000 to buy a house, they are too financially thin to be doing such a thing. This does NOT mean that a higher credit is the answer, it just means that those people shouldn't be buying houses.

you can go back and amend your 2008 tax returns and not wait for 2009 tax filing…also helps if your income was less in 2008

The Tax Credit should be extended to all home buyers.
The best way to stimulate the economy and at the same time improve the Housing Market is to increase the Tax Credit to $20,000, but restrict it to Primary Residence purchases only.
The Credit should be applied over a five year period,i.e., $4,000 per year for the 5 year period. If the purchasers sell the house before the five years is up, they would receive the $4,000 credit for each year they lived in the house.
By doing so, we could stretch the credit out over five years, while simutaneously promoting long term home ownership.
I realize this will never fly…it makes too much sense.

The credits are great. With the govt borrowing $8k (or maybe soon $15k) to give to me, and keeping interest rates artificially and historically low at the same time, I can now bid high on a house I truly can't otherwise afford. So long as there are higher rebates and lower (negative?) interest rates in the future, the next guy can buy my house from me for even more money, so I don't even have to worry about my mortgage balance, see? This policy stuff is so easy.

I am a first time home buyer and purchased my home in July of this year. Not being married, I am required to make less than $75,000 to qualify for the $8,000 credit that phases out as the income level goes over $75,000.

This year, I was part of a large merger and the company offered a "retention bonus." While it's not year after year income, I received it this year. With that being said, I am now over the cap and cannot get this credit.

This is ridiculous that because of a company being purchased and a one time bonus being offered, I will not qualify.

Yes, I know people will argue that I shouldn't complain about the credit because of the income that I make. However, I was smart with my money and saved for quite a long time. I am being penalized for being successful.

On a side note, I would have qualified at just under 100% last year.

I started saving to buy a house when I was in High School. I always planned to buy a home once I graduated from college and found a steady job. When I found this job it was August of 08 when things were really tanking. I was going to wait a while before buying because I was so unsure of the economy and where things were going. Then the government decided to give me a incintive to buy and I jumped on it. I bought a home with in my means at the age of 23, using my own money. I have been using the "free" money from the government to buy furniture and other things for my home I probably would have not bought with out the credit. It is these purchases that help put that money back into the pockets of the American taxpayers.

We do need to stop the fraud and buying above your means though, but I don't really think this credit encourages that.

Here's a novel idea, Give the $8,000
only to people selling a home. This benefits both sellers and buyers. Wouldn't this also increase more move up buyers?

As a first time home buyer, I have only seen bidding wars and inflated pricing. Seller's think we shouldn't pay less than asking because we're getting free money. In the last few weeks of this credit, the bidding wars have gone ABOVE asking. We've put in offers for asking and they aren't taken! Of course Realtors want this, it is reminiscent of the old days. We're sitting out until this nonsense is over.

Seems to me that realestate people would be all for pushing the credit. I have no problem with people getting into a home but what if the home is overpriced by 40K? Each agent walks away with another 1200 at closing and the homeowner has an additional $50-$100 mortgage payment all so they could save $8000? Seem like funny math, now if the price were truely representative of the cost of the home and the home buyer uses that credit and the agents are waltzing all the way to the bank with the additional cash they convinced someone to spend then great! Though I think too many people are still buying homes they cannot aford. Too many people are not worried about what happens tomorrow, and that only better things can happen. If the person was not responsible and had saved at least some of the down payment for a home how is buying a house goign to all of a sudden make them responsible? How will they put anything away for the maintenance on a home? Too many people rent and think that someone will come fix their water heater at no cost when they own the home. When no one does the damage and neglect start to build up and the home drops in value and soon it is worthless, the person cannot afford it and no one wants to buy it for what is owed because it is beyond repair. Personal responsibilty unfortuantely is refected in fiscal responsibility. Everyone hits rough spots and we should try to be the ant in the fable but unfortunately our society is all a bunch of grasshoppers. Wall streat people are get rich get out and forget about the consequeces and don't build anything substantial. Unfortuantely, too many are looking for the fast buck and trying to live like a star. Before people start throwing well "he must be rich" put this in your pipe and smoke it <25K per year saved and put a down payment on a home and living almost debt free with no help from mamma and daddy! When times are tight never have had a problem working more than one job to make ends meet, how about all those who are belly aching that they need this credit? Suck it up and take that crappy night job, turn off teh TV, cancel the cable, heck even get rid of the internet and you will be surprised how fast you can start getting ahead when you realize what you don't need on a day to day basis.

I don't have a problem with a program that has the proper oversight to prevent fraud and is given to EVERYONE.
However, regardless of the amount of money we have thrown at the housing crisis it will not bottom until we have a coherent government policy aimed at creating an environment where business will start producing jobs. We need to establish a policy that makes it economically advantageous for business to invest the capital that will create employment. The government can put people to work but they cannot create jobs. This has been proven over and over but we continue to make the same mistakes over and over.
The housing market is going to get worse with higher unemployment and more foreclosures. So in the meantime we will be spending billions on something the free market will eventually do anyway. The strong and the smart will survive and the weak or stupid will perish. That is what should have happened with the banks. We should have let the FDIC take them over and guarantee the deposits and sell them off to stronger institutions. Let the shareholders take the hit. Immediately reform the regulatory laws prior to when they were changed. What ever happened to financial reform? Tough to have when all of the financial insitutions are putting wads of cash in our Congressmans pockets.
Now we have banks that took billions of our tax dollars and will fail anyway or still end up being nationalized.
As for housing, when it reaches a certain level, someone will come in and buy the housing stock. Trust me. In Detroit investors from all over the world are buying whole blocks of houses to rehab and rent out because houses are so cheap. This is happening without costing the taxpayers a dime.

I agree that the tax credit is a huge spending of tax payers money, however it is also helping the economy. I know multiple people that have purchased homes this year and used their tax credit to update the home. By doing the updates, they are having to hire contractors, purchase materials and in the end are putting their tax credit back into circulation. I have seen an increase in home sales in our area and there are still many first time buyers out there that have not taken advantage of this credit yet that could in the coming year.
I also feel that some people have no business even looking at houses to purcahse, tax credit or not. If you have a credit score of 620 or lower, no money in the bank, and less than 2 years on the job, don't apply for a mortgage! You need to stop and think on how you're going to pay for the house, work on cleaning up your credit and SAVE your money for a down payment! Putting people in this situation into a home now is only going to worsen the housing market. Most of the people that went into default on their loan were buyers with little to no down payment, lower credit scores and unstable jobs/income. I think it was the banks fault for approving these loans, but with Fannie Mae telling them it is okay to approve a loan with a 540 credit score and no down payment, why wouldn't they?!

The tax credit has been critical to first timers that bought this year. We need to expand the credit to include all owner-occupied purchases. A $200,000 home purchase generates $18,000 in Realtor, legal, mortgage and tax revenues.

I think $15,000 tax credit is too low. It should be $100,000. That will definitely re-inflate the bubble. Our country will be trillions and trillions dollars in debt, but we will all be stinkin rich because real estate prices will go through the roof again. But this time, it will stay there.

Hillary – I'm looking to buy a home and I am dead set against this credit. If you give someone $8000 and they apply it to a down payment, then they can afford $40,000 more home. So it pushes prices up farther than what everyone can actually pay. Of course, the NAR loves that idea, but the country as a whole would be better served if prices were allowed to drop back down to their historical (and affordable) norms.

This modest program is the only stimulus program helping people directly and should be open to all. Why is it that AIG's bailout is needed and we need to look at the costs of this stimulus? Most workers in the trades would tell you that none of the home sales that happened this year with first time home buyers would have happened without the credit and the multiplier effect in our communities has been addmited across the board by economists. The untold story of this recession is how little money is actually making it into the hands of main street compare to the shareholder bailouts and Wall Street Bonuses.

I bought my current car in 2003 for cash. It's an economy commuter-type vehicle and serves me just fine. I bought my house based on what I could afford and had saved for a down-payment. I bought it as a primary residence, not a primary investment. I don't get paid a huge salary. I buy what I need and sometimes what I want. I live within my means. My reward is now I get to help other people buy cars and houses! What is the Fed Gvmnt doing in the rebate business? Come to think of it, what are they doing sticking their noses into anything that isn't specifically identified in the Constitution?

IRS investigating more than 100,000 cases of fraud?! I'm sure they don't have to look any further than DC to find the biggest.

What the government is doing is segregating the population. Divide and conquer. If there is any tax rebate program for housing it should be available to ALL not a selected segment of the population. It should be available to everyone that purchased a home at anytime. Why are first time buyers special? Don't second or third time buyers spur the same market. I agree with Hopeless In, Los Angeles CA: October 26, 2009 1:41 pm
Quit penalizing the responsible savers and spenders while subsidizing the irresponsible. Give the money to all or to no one. Don't give it to a select target group only.

Jenny, excellant summary of what the first time homebuyers credit does, has done and will continue to do provided we can get the Senate and House to get it passed. Joe, absolutely right, many people do not live in a starter home because they do not have the upfront dollars for the down payment. As for the other comments watch out for the ball when it loses its going up hill position as it's going to go down before we even now it and it is going to be one inflated BALL of fire. Yo, Ed, what thing do you want to kill a spider or fly or what. Now of course it would be interesting to take on challenging a system that collapses, but that would take mega bucks and talk about taxes: oh my. And Congress and Senate, your people are talking here: time to end lunch and start working that's what we elected you to do. Time to see if the guy next me wife wants to go shopping with me: hey hey she might have some of "OUR" money. The concepts of yours, mine and ours needs to be thought about.

I think the program will be modest at best

http://craigtmonroe.wordpress.com/2009/10/26/fraud-in-the-first-time-home-buyer-8000-tax-credit/

Gee, nobody in Congress or the White House seemed too concerned about the trillions of dollars showered upon corrupt corporations, with almost no stipulations, in the TARP deal. Why the worry now about a few billion in an attempt to stabilize housing? It's like worrying about an extra $5 per monthly payment on a Rolls Royce.

This is typical of what we see of government run programs. Let's expand it to everyone and raise the income level to praticipate while still administering it half assed so that the fraud can become even more rampant. 40,000 people filed for the last $8,000 rebate who did not buy a house. Apparently that was not a requirement for sucking a free $8,000 check of our future tax dollars from the treasury. (A tax credit is a a dollar payment not simply a reduction in taxes).
These are the same people that are going to make the decision to run our healthcare system. God help us. YI can guarantee that whatever healthcare program they end up passing will not include them. I wonder how much money the National Association of Realtors are giving to Senator Isakson's and Senator (friends of Angelo) Dodd for their re-election campaigns? Plenty. When are we going to change the system so we can eliminate all these lobbyist/PAC leaches who are allowed to buy all of our government representatives? Time for a Third Party.

Kill the thing already. Quit spending borrowed money to prop up artificially high housing prices. When prices go low enough, people will start buying again. The entire process would probably be much less painful if the government (and the NAR) would just accept this reality and let it happen.

Perhaps what should be discussed is our exit stragity. Open it to all, and we'll just inflate the house market. Wasn't this a component of the issue to start with? Stop too soon and we'll get whiplash effect. Lets drop it to 6k, open it to all and reduce the amount by 500$ every quarter. It will take 3 years to get through but the effect on the market value perception will be minimal at worst.

For Todd's comment not everyone lives in a starter home. T myself live in a single wide trailer home for 25 years. I and other like myself hope this pass so we can too move up to beter homes. Fro davids comment, I have sat on the side lines while all I have seen is the bail out of Big Business (Car Dealers and Bamks). Some where here we need to help those who make do not make $100,000 a yeay or better. I myself would love to move up into beter housing and this $8000 would go along way in helping me do this. For Mike it sounds to me that most of you have more money and house you need.
In a nut shell I hope this passes with flying colors.

As a mortgage lender who specializes in first time homebuyers – I would say the credit has accelerated people's desire to buy a house. As in – buyers who might have waited another year – bought in 2009. The homebuyer credit has been a nice incentive and it has allowed alot of housing inventory in the lower price ranges to be sold. It has not "trickled up" to those Seller's buying new houses – as many of the sales were distressed sellers either in a short sale position or foreclosure. I do think that a $4000 tax credit would acocmplish exactly the same thing as an $8000 tax credit. Most first time homebuyers that are eligible for down payment assistance grants receive between $3000 and $5000 for help with thier purchase. It should be noted that the $75,000/$150,000 income limits are generally double to income limits that are used for grants.

taxes will never go away, news ones just get added in or increased. if you don't give your poor neighbor that credit and sense of chance to live the american dream, I bet you the next guy who comes into office with his friends' wives will go shopping with "our" money. that's the trend. Take/give the credit/money from this generous administration and stop being greedy/self-centered about paying high taxes. Be grateful you have "Your Dream Job, Security and income" rather than the next guy begging. I guarantee the next two-three administrations will be quite diff.

When we change our thinking from "me" to "we" then we will be on the track to recovery. Ponying up money to help others buy a house is "me" thinking and not going to solve the problem. As far as buying a new home and leaving your present one: well there are a ton of Americans who do not own a house so that argument does not work. In conclusion, suggest some solutions? We're in a postion where we have the ball half up the hill and if we do not continue to push it up the hill it will row down, fast and hard, and that thought should strike terror in everyone. Next will be the commercial market it is already declining. Again it has to be about "we" and not "me". Yup, the system is already burdened and it is close to shutting down. And when it does then we'll have to work as "we."

This is benefit for those looking for a new home, I am all for it. those comments above, if I am not mistaken, you all own a house.

http://www.economist.com/businessfinance/displaystory.cfm?story_id=14587262

Think of the pizza.

If someone wants to save $8,000 on a home, they should offer $8,000 less than they would have with the credit in place.

If the only standing in the way of clearing out the inventory of homes for sale is $8,000, prices have to fall to the level that attracts buyers.

Had they let this happen in the first place the world would not have come to an end. We would have hit bottom months ago and the market would be flooded with affordable rental homes. Those who were foreclosed on would pay rents in line with the prevailing market value and have money left over at the end of the month to save or spend.

as potential first time home buyers in the Boston area, we have seen the $8000 credit inflate asking and closing prices by the same amount. we have decided to look after the dust has settled with this artificial boost to prices.

Why is the government constantly trying to rid the housing market of its natural correction? Housing prices are dropping because they were far too high to begin with, and are still too high, based on historical averages and income-to-price ratios. Furthermore, the current level of unemployment works against any real housing recovery.

Let the housing market correct itself (yes it's painful, but it's called capitalism, not someone-loses-money-then-the-government-writes-them-a-check-capitalism). Once prices come down to proper levels and the unemployment picture improves, the housing market will regain its health. Throwing billions at a popped bubble is just creating another mini-bubble via government spending.

I am a Realtor and just a couple years ago all you could hear at Realtor professional gatherings was send money to the Bush Campaign. Get the government off our back. Let us do what we know how to do without government interferance.

WOW how these Laissez Faire Realtors have changed their toon! Now the entire Real Estate industry supports government giveaways just because people are buying a house.

Seems no one had a problem with taxpayers forking over countless billions the last 8 years bombing Iraq, Pak and Afghanistan and soon Iran.

No complaints about giving Israel billions in taxpayer $ and military WMDs so they could bomb and oppress their neighbors and start WW3

No riots in the streets because Wall St and the Inv Banks and foreign banks got US taxpayer trillions.

All the above brought this country to it's knees.

But give a break to US tapayers so they can have a roof over their heads
and maybe a job in the newly stimulated Real Estate, construction, appliance, furniture and all supportive industries……
Everybody goes ballistic

I agree, get rid of this ridiculous 8k credit. I am not a homeowner yet, and looking to buy. Throughout the boom I saved my money to buy the correct way, and now the market is flooded with people who want to buy in order to get a tax credit. This government intervention is hindering the free market, and screwing the responsible people who play by the rules.

This is where the tax dollars need to be spent. Homeownership is over 25% of our economy! If it helps the market to move (which it has in 09), then why not? This of all the jobs homeownership produces! It's simply the basis of a healthy U.S. economy. Just do it!!

I agree with Em… This credit has created another bubble that will eventually drive home prices down further.

One of the only ways to prevent even more depreciation in home prices is to offer the credit until the market is self-sustaining and then phase the credit out over several years. Sounds like Congress better raise the deficit ceiling even more than expected!

The amount of credit and the income qualifications should be aligned with the cost of living. Providing $8,000 to a home buyer in Mountain View, California where houses go for $700,000 on average is not really the same as giving the same amount of money to somebody who wants to buy a house in Detroit. Current limits are a joke for those who live in areas with high incomes and high housing prices.
Also, I strongly disagree with killing of this program. While my family does not qualify for the credit having extra money does not hurt — I know several home buyers who are planning on taking Uncle Sam's money directly to Home Depot or Lowe's in order to buy new appliances. Their "free money" just became somebody's income and profit. If anything, we should start phasing out the program as the economy gets better but not now.

If there is a credit at all it should be on purchases of existing homes. We do not want to provided any incentives to build more homes and add to inventory.

The homebuyers tax credit should be allowed to expire. It is not good policy. The housing industry is alreay one of the MOST govt subsidized industries in the US. The government does not need to inject more market manipulation into the real estate market. The government debt piled on future generations will be a much larger drag on our economy than letting the market just find it's own level of activity.

AND another example of a special interest group driving the policy decision rather than what's in the best interest of the country. Isackson and Dodd should be ashamed.

Get the Bill passed the homebuyer credit is needed for the economy. Empty houses not bought are a burden that far exceeds the spending of more government money. When a person buys a home not only do they invest in America they also spur the economy: for example, new home got to get "thing" like closet hooks, hoses, and other items that need to be bought. We need to encourage spending of money as such provides jobs that's the way our economy works. The Senate needs to get off their "fannies" and get a Bill passed exceeding and adding to the unemployment (and no I am not unemployed) benefits and a Bill to exceed the home buying credit. Yes, I know that this will increase the national debt: but the alternative is far worse. Also, Christmas is coming and merchants need to sell and it is very important and the longer the Senate sits and ponders the issue the more people will decide not to spend. Hey Black Friday needs to reflect spending. Last year if the Recovery Act had been place and the home buying credit we would have had a stronger comeback. In sum, move Senate and move Congress!

In my opinion, extending the credit to all homebuyers would not help the excess home inventory. To buy a new house, you'd have to leave your current one. Thus there is a one for one trade off, and the number of empty houses for sale is unchanged (doing nothing to help the downward price pressure as a whole, and in fact worsening it when you consider the "starter home" market because those that upgrade will leave their starter home vacant). As to the idea of extending the credit, at some point, we are going to have to accept that whatever inflative impact this credit has on overall home sales will go away. I don't know if its worth the extra burden on an already over burdened system to put off the inevitable.

While I agree with Mike, it's not right for other American's to pony up cash so others can buy a house. It bothers me how the government feels they have a right and an obligation to spend our money…
With that said if the benefits there I'll be a hypacrit and line right up and take that 15k for a first new home. Who would turn down free money?

A differentiation needs to be made between what would be nice and what is actually necessary to stabilize the housing market. A tax credit charged to the government's tab may simply not contibute enough stimulus to justify its expense to taxpayers. Then there is the fairness issue. Should the government be giving $8000. to home buyers at the expense of everyone else?

These are tough issues for the administration to ponder. I wish there were some way to bill the perpetrators and enactors of the tricky loan deals that brought the economy to its knees.

Kill this deal. It's just more wasteful subsidy of wasteful over-consumption, like cash-for-clunkers.

If someone wants to buy a house, he can use his own $8,000 not our money.