One aspect of President Obama’s plan has the potential of impeding the housing sector according to Tampa FL Luxury Consultant, Realtor, Phil Fowler of Keller Williams Realty.
If the current draft alters the Mortgage Interest Deduction for families earning over $250,000, this can potentially further erode home values and prices.
What does this mean for banks? Increased price depreciation will translate to a decline in the collateral value of mortgage backed securities.
Bottom line, this nation can not afford another credit crisis. The first one has not been resolved yet.
God help US or rather the USA.
