The National Association of Home Builders chairman Granger MacDonald issued the following statement on the House passage of The Tax Cuts and Jobs Act today:
"The Tax Cuts and Jobs Act is a bad deal for hard-working American families. It provides a huge windfall to major corporations paid for in large part by millions of working class home owners, who will see their housing tax incentives severely diminished. The bill effectively renders mortgage interest and property tax deductions unusable for middle class home buyers and home owners. By threatening the value of the largest asset held by most Americans, these changes will hurt the middle class by lowering household wealth.
"The House bill also severely diminishes the effectiveness of the Low-Income Housing Tax Credit (LIHTC), which is essential to spur the production and rehabilitation of affordable rental housing. With the nation already in the midst of an affordability crisis, undermining the LIHTC will deal a crippling blow to keep housing affordable and available for those citizens who are most in need. And the bill will make it far more difficult for small businesses to compete and thrive because it disproportionately benefits corporations.
"Given the major shortfalls in the House tax reform bill, NAHB will look to the Senate to craft a better package that meets the needs of middle class families and the small business community."
According to Freddie Mac's latest Primary Mortgage Market Survey for the first week of January 2018, the average mortgage rate dipped in the U.S. Treasury yields fell from a week ago, helping to drive mortgage rates down to start the year.