|Title: ||MBA Cautions Against Scaling Back Mortgage Interest Deduction, Changing Treatment of Dividends and Capital Gains|
WASHINGTON, D.C. (November 10, 2010) - Michael D. Berman, CMB, Chairman of the Mortgage Bankers Association, today issued the following statement reacting to
options contained within a draft proposal from the co-chairs of the National Commission on Fiscal Responsibility and Reform.
"Given the fragile state of the nation's housing market, now is not the time to be scaling back incentives for homeownership.
The mortgage interest deduction is one of the pillars of our national housing policy, and limiting its use will have negative
repercussions for consumers and home values up and down the housing chain.
"We are also concerned about proposals to tax dividends and capital gains at ordinary tax rates, which would seriously impact
investment in commercial real estate.
"We share the widespread concern over the growing national debt and want to help identify reasonable solutions, but we cannot
support proposals that would chip away at the foundations of the real estate market."
A copy of the commission's draft proposal can be found here.
The Mortgage Bankers Association (MBA) is the national association representing the real estate finance industry, an industry
that employs more than 280,000 people in virtually every community in the country. Headquartered in Washington, D.C., the
association works to ensure the continued strength of the nation's residential and commercial real estate markets; to expand
homeownership and extend access to affordable housing to all Americans. MBA promotes fair and ethical lending practices and
fosters professional excellence among real estate finance employees through a wide range of educational programs and a variety
of publications. Its membership of over 2,200 companies includes all elements of real estate finance: mortgage companies,
mortgage brokers, commercial banks, thrifts, Wall Street conduits, life insurance companies and others in the mortgage lending
field. For additional information, visit MBA's Web site: www.mortgagebankers.org.