East County Market Update - Mortgage Decuction

– Hi 👋🏼 everyone, Krista Mashore, Homes by Krista 🏡❤️💙.
This is important ❗️ and it’s something that everyone needs to know about, especially in East County and all over California, because it definitely affects us. Deduction of interest on mortgage debt. The new Republican tax plan that definitely is going to affect everyone in California and in East County so here’s the deal. They are now proposing that the mortgage deduction on interest only caps off at $5️⃣0️⃣0️⃣,0️⃣0️⃣0️⃣ now. For most of the people throughout the United States 🇺🇸, this is not going to affect them, why? Because less than 3% of homes are over $5️⃣0️⃣0️⃣,0️⃣0️⃣0️⃣. The median home price in the United States is only $200,000. But what does that mean for people here in the East County? What does that mean for people in the Bay Area? It means that it’s drastically going to have an impact on us. Here’s the good news 👍🏻. They are talking about grandfathering people in. So in other words, if you are thinking about buying or you are thinking about selling and you have a house 🏡 that’s in the upper ⬆️💲 price range, you might want to act now. Because your buyer will be grandfathered in and when you purchase for a higher price, you’re gonna be grandfathered in, too. What do they think that the repercussions of this tax plan can actually, how is it going to affect us? Well, builders are probably going to be building less in the $500,000 range, buyers are probably not gonna have as much interest to want to purchase in the $500,000 range and sellers are most likely going to want to keep their properties, because they know when they move up it’s also going to cause an issue. Because remember, anything above ⬆️ $500,000 with your mortgage, the interest deduction cannot be, will not happen after $500,000. Again this is proposed, but I have a feeling it’s gonna happen, so I want to make sure I talk to you about it and you knew. Any questions💭❓, let me know. Krista Mashore, Homes by Krista. And again, make it a great home and selling day! ❌⭕️☺️ bye, bye. 👋🏼