Amid yesterday’s chaotic server switch, we neglected to raise one burning issue for discussion: the proposed changes to the tax code that may include a significant roll-back of the deductibility of mortgage interest as well as a reduction in the amount of tax-free capital gains an individual or couple may take. It seems like strange timing to spring this on the market now, with talk of the impending bursting of the bubble splashed across every front page. Depending on the scale, meaningful cutbacks on either measure would have to hurt the market, we’d think. What do people think about a) the likelihood of significant changes and b) the potential impact of such changes?
Mortgage Deduction Changes on Table [CNN Money]