"The current tax credit for first-time home buyers is generating some additional sales," said James M. Weichert, president and founder of Weichert, Realtors, one of the nation’s largest independently owned real estate companies. "However, this credit as currently constructed isn’t enough to jumpstart the market and stimulate the national economy."
Currently, the number of first-time buyers purchasing homes in 2009 has increased thanks in large part to the $8,000 tax credit available. However, according to the results of the Weichert.com survey, increasing the tax credit to $15,000 would provide high motivation to buy for another 37 percent of those who don’t currently own a home.
Perhaps the greatest stimulus to the housing sector would be realized through the offering of a tax credit to existing homeowners as well. Four out of five current homeowners said they would be somewhat to highly motivated to buy if they received a tax credit of $8,000 for purchasing a home. If the tax credit was increased to $15,000, the number of existing homeowners motivated to buy would grow to 94 percent.
"Economists have long understood the importance of a healthy real estate market. Not only is it one of the largest sectors of our economy, but real estate transactions generate business in so many other areas. I don’t think it is any coincidence then that veteran lawmakers like Senators Isakson and Senator Dodd have introduced a bill in recent weeks to expand and increase the buyer’s tax credit as it becomes apparent more efforts are needed to help stabilize our nation’s economy," added Weichert.
