Sunday, February 15, 2009

U.S. Senate passed the American Recovery and Reinvestment Act of 2009

Wonder how you think about this Act? It should bring a good strong lifesaver dose to the housing market. Great news for first time homebuyers and investors !

Friday, February 13, 2009

Feb. 13, 2009

Dear C.A.R. Member:

Late this evening, the U.S. Senate passed the American Recovery and Reinvestment Act of 2009 by a 60 to 38 vote. Earlier today, the stimulus package passed the U.S. House of Representatives in a 246 to 183 vote. Today’s votes followed several days of negotiations by the House, Senate, and White House, with the final tab for the stimulus bill coming in at $787.2 billion.

On the housing front, the good news is that the legislation resets the conforming loan limit cap at $729,750, up from $625,500. Numerous counties in California experienced a marked decrease in their conforming loan and FHA limits on Jan. 1, and the stimulus bill reinstates 2008 loan limits through Dec. 31, 2009.

The bill also increases the first-time home buyer credit from $7,500 to $8,000, and removes the requirement that the credit be paid back if the buyer stays in the home for at least three years. It also extends the expiration date for the credit from July 1 to Dec. 1, 2009. Homebuyers must have purchased a home after Jan. 1, 2009, and before Dec. 1, 2009, to be eligible for the $8,000 credit.

C.A.R. and NAR have long advocated for higher conforming loan limits. The conforming loan limit provisions and other housing elements in the stimulus package are a step in the right direction for our industry and all Californians.

The stimulus package also contains $308.3 billion in appropriations spending, including $120 billion on infrastructure and science and more than $30 billion on energy-related infrastructure projects. It also allocated an additional $267 billion for direct spending, including increased unemployment benefits and food stamps; and provides $212 billion in tax breaks for individuals and businesses.

Now that the stimulus package is approved and is on its way to President Obama for signature, it is our hope that Congress will turn its attention toward helping homeowners remain in their homes and will take immediate steps directed specifically at stemming the ongoing foreclosure crisis.

We’ll keep you updated on today’s news as more detailed information becomes available.

James Liptak
2009 President

C.A.R. e-Blasts are published by the CALIFORNIA ASSOCIATION OF REALTORS®, a trade association representing nearly 200,000 REALTORS® statewide.

Executive offices:
525 South Virgil Ave., Los Angeles CA 90020
phone (213) 739-8200; fax (213) 480-7724

Legislative offices:
980 Ninth Street #1430, Sacramento CA 95814
phone (916) 492-5200; fax (916) 444-2033

1 comment:

  1. A comment I received I thought it is very expressive of the state of opinions this Nation has. Definitely not my opinion as an ophthalmologist realtor I believe this will give a 20/20 hindsight.Go for it President Obama.

    Subject: FW: Doctors on the Bail-Out

    Doctors on the Bail-Out

    The Medical Profession Speaks out on the Financial Bail-Out
    Package. The allergists voted to scratch it, and the
    dermatologists advised not to make any rash moves.

    The gastroenterologists had sort of a gut feeling about it,
    but the neurologists thought the administration had a lot of
    nerve, and the obstetricians felt they were all laboring
    under a misconception.

    The ophthalmologists considered the idea shortsighted; the
    pathologists yelled, "Over my dead body!" while
    the pediatricians said, 'Oh, Grow up!'

    The psychiatrists thought the whole idea was madness, the
    radiologists could see right through it, and the surgeons
    decided to wash their hands of the whole thing.

    The internists thought it was a bitter pill to swallow, and
    the plastic surgeons said, "This puts a whole new face
    on the matter."

    The podiatrists thought it was a step forward, but the
    urologists felt the scheme wouldn't hold water.

    The anesthesiologists thought the whole idea was a gas; and
    the cardiologists didn't have the heart to say no.

    In the end, the proctologists left the decision up to the
    assholes in Washington.