Housing Cited in State of the Union Address Focusing on Jobs
While President Obama’s State of the Union address focused on the need to create jobs and get the economy back on track, he also explicitly and implicitly emphasized the importance of housing to the economy. In highlighting the steps taken to put more Americans back to work and boost the economy, Obama talked about the home buyer tax credit. He also noted the stimulus plan passed last year helped to create 200,000 jobs in construction and clean energy and talked about enacting serious financial reform that “makes it possible for businesses to access credit and create new jobs.” NAHB will be calling on the White House and Congress to make sure that home builder financing is a part of this mix. Among the President’s proposals to help small businesses is a tax credit for firms that hire new workers and elimination of all capital gains taxes on small business investment.
Later in the week, the White House released more details, proposing to provide firms a $5,000 tax credit for every new employee hired in 2010. The credit could be claimed on a quarterly basis. In addition, the Administration is proposing that firms that increase hours or wages for existing employees be reimbursed for the added Social Security payroll taxes they would have to pay. The reimbursements would not apply to employees making more than $106,800.
During the State of the Union speech, Obama also renewed his push for tax credits for those who retrofit their homes by calling for “rebates to Americans who make their homes more energy-efficient.” This would provide a boost for remodeling jobs. To help stabilize home values and rein in foreclosures, Obama also said his Administration this year “will step up refinancing so that home owners can move into more affordable mortgages.”
As the Administration moves this year to make job creation and economic growth its top priorities, NAHB will continue to work with the White House and Congress to make sure that housing plays an important role.
[return to top]
|
