How 'Fiscal Cliff' Could Affect Mortgage Interest Deduction
"It's chilling the market," said Jerry Howard, CEO of the National Association of Home Builders. "Whenever there is uncertainty surrounding the value of an American home, why would you expect people to go out and buy a home? Or, just as much to the point, when there's uncertainty about the value of a home why would someone put their house on the market to sell it, that's why this whole debate to me is counter-productive and is only retarding the nation's economic recovery."
"The mortgage interest deduction is vital to the stability of the American housing market and economy, and we will remain vigilant in opposing any future plan that modifies or excludes the deductibility of mortgage interest," said Gary Thomas, president of the National Association of Realtors. (Read More: How Will the 'Fiscal Cliff' Hurt You? Depends What You Earn.)
Whatever the arguments for or against the mortgage interest deduction, two things are indisputable. Going over the fiscal cliff will kill the housing recovery, but said recovery is already so tenuous that yet another barrier to entry will hurt.
—By CNBC's Diana Olick
—Realty Check producer Stephanie Dhue contributed to this report.
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