What exactly has Obama done during his presidency to deserve such a bad reputation?
I'm 17 with a job but I'm not very involved in politics, nor am I really involved in the whole tax/unemployment issue. Can someone explain to me what Obama has done wrong during his presidency?? BQ: How old are you? BQ: Who would you vote for? Romney or Obama? Why? I'm 17, turning 18 by Election Day. I'd vote for Obama because we agree on a lot of issues, such as the defense and education budget, gay marriage and abortion and Romney is too conservative.
Could capping or eliminating the Federal SALT & mortgage interest tax deductions be blessings in disguise for affordable housing initiatives in California & New York (in that demand might drop & force down prices in those very high priced markets)?
First, look at what the mortgage interest deductions does. Mathematically, it lowers your interest rate by your tax rate, and off your top tax rate because it reduces your AGI (Adjusted Gross Income.). So the benefit is highest the more you pay in taxes. But effectively, the deduction lowers your interest rate. Lower rates mean more buying power, and there is an argument to be made that higher interest rates may retracing price growth. But even at a top rate of 40% (just using round numbers here), so the current near 4% interest rates become 2.4% with the deduction. So it would be most lilies to have an effect at the top of the market, and much less lilies to have much impact on the bottom of the market, where people that are currently homeless would more than likliey be housed.So might there be some moderation in housing prices overall? Maybe, but on the West Coast large cities where the current increase in homelessness is being felt most acutely, the effect of raising interest rates isnt going to have a huge impact, particular since economic expansion could easily swamp the increase in effective interest rate on demand.As far as a SALT deduction elimination, in not sure how you can conclude that people in these same large west coast cities paying more taxes is going to make housing cheaper. It may slightly reduce demand since people would have less to spend on mortgage payments, but that also assumes that most people are paying the maximum percentage of their income that they can into a mortgage.The other factor is rents. Investors will buy up properties to rent then if the price falls enough to where you can be cash flow positive right away.What happens to housing prices is a judgment call based on weighing how changes would change supply demand curves, and guessing about what impact they would have, and whether they would be large enough to move the market. The other big question is whether lowering prices would actually help the homeless. For some people where economics is the prime driving factor, sure, but often homelessness is the product of an array of complex issues, only a part of which is economic.
Do you consider forced wealth redistribution stealing and constitutional?
Cute story Bob but not an example of money being distributed from the poor or middle class to the rich. The first mistake you make is saying that NOT stealing from the rich at a higher rate than the middle class or poor is redistribution from the middle to the rich. That is nonsense. Also when you bring in corporate taxation you also must admit that corporations don't pay taxes they pass them along to the consumers in the form of higher prices. So the only difference between Corp A makes no profit and pays no taxes and Corp B that makes money and pays taxes is that Corp A is more efficient or in a more profitable industry than Corp A. Since all purchases except now for Obamacare are voluntary corporate taxation can't be redistributive because nobody is forced to buy from a particular company. I know you like to Bash Reagan but that is for a different question and a different time. Try to stay on topic.
If Congress really wants to help lower and middle-income taxpayers, eliminate the mortgage interest deduction, would you agree, and why?
The problem with involving the government in issues is that once they are involved, it is nearly impossible to extricate them.The mortgage interest deduction has been around for over 100 years. What I’m sure were good intentions when it was introduced (heck who doesn’t want to help out homeowners) has turned into the deduction itself being indirectly incorporated into the price of housing.When people look into buying, they know that if they pay X interest rate, that they will save Y in taxes. Then they will act accordingly and be able to afford Z more of monthly payments.This definitely has an implicit impact on the housing market. If more people can afford more payments, this will naturally drive more people into the housing market and the price of housing will rise along with it.Eliminating the mortgage interest deduction at this point would have a nearly catastrophic impact on housing values for the next 20–30 years as the market would adjust to people no longer being able to deduct interest on their housing payments (and would thus be able to afford less house). This in turn would impact local services being provided to the public in the form of lower property values and lower property taxes. Lower quality local services (fire, police, water, schools, etc.) would definitely lower the quality of life for the vast majority of the middle class.This is another illustration why involving the government in decision making ends up creating more problems than it solves.
Is an existing home loan customer eligible for Pradhan Mantri Awas Yojana?
The answer is - “Yes”!Any home loan account holder, who has bought the home / constructed on or after 25th June 2015, coming under LIG/EWS Category can avail the benefits of the CLSS-PMAY subsidy scheme.Similarly, any home loan account holder, coming under the MIG category, also fulfilling the below-mentioned criteria and has bought/constructed the home or after 1st January 2017 can avail the benefits of the CLSS-PMAY subsidy scheme.What am trying to say, is the property should be your first home and the sale deed of the property needs to be executed on or after the above-mentioned dates!Now, let’s understand the two categories: EWS/LIG & MIGThe beneficiaries under the PMAY – CLSS (EWS /LIG) scheme are eligible for a subsidy of up to Rs.2,67,280 on their home loan. Under CLSS – MIG (Middle Income Group), max subsidy for MIG1 – is Rs. 2,35,068 & Max subsidy for MIG2 – is Rs. 2,30,156.The table given below is what all you need to know about PMAY scheme:To apply for the subsidy, you can contact your lending institute. Or you can apply directly to the Gov. website - pmaymis.gov.in.To apply for a home loan under PMAY click here
If I live in Atlanta, GA, should I get earthquake insurance offered by my insurance company?
My insurance company, State Farm, is telling me my homeowners policy does not cover for earthquakes. This additional coverage isn't cheap, and I'm not sure whether I should get it. I am uncertain how far I am from a fault line, though I know there have been earthquakes in the Southeast. Any recommendations?