Attention Governor Romney - How to Fix the Housing Market
This is my call-out to the Romney campaign on how to fix the housing market, and thus the economy. Neither candidate has mentioned how to get the housing market going, and since Obama has already tried and failed fix the debt, this is my recommendation to Romney: Tell America how you are going to get the housing market going and you will win the election.
First, I don't believe the Government can unilaterally turn around the housing problem because housing is about supply and demand. Supply and demand is different from city to city, so the old saying that "real estate is local" is still true for the most part. Local migration trends, local job markets, and local economies mostly drive local housing markets. However, there are things that the Federal government can do to set up an environment where supply flows more freely and demand is satisfied by making it easier for buyers to purchase. While, the government cannot fix the housing machine, it can add some lubrication to it.
Here's my 10 point plan for Government Romney (please steal it and take all the credit). Stop all Government Bailouts. Expand Borrowing Programs for Investors. Expand the FHA Program. Capital Gains Rate Must Stay Low. Keep the Mortgage Interest Deduction. Eliminate Gains on Short Sales. Allow Homeowners to Take a Capital Loss. Rent Out Existing Inventory.