Realtors stay connected
At more than one million members there should be no surprise that Realtors are among the most powerful lobbies in the nation. We are the voice of property owners, buyers and sellers and work diligently to ensure that the American Dream of investing in real estate remains a viable right of the people and assists in driving our Country's economy. Through the contributions of our Realtor members we fund campaigns to protect the public from excessive regulation or taxation that would stymie their efforts to benefit from the enrichment that comes from owning property and enjoying its benefits.
The National Association of Realtors is a part of every discussion regarding legislation that affects property rights. As most of you know, it was Realtors who fought for an extension of the Federal Emergency Management Agency's flood Insurance program - and won. Imagine the plight of those in the East hit hard by storm Sandy had we not been effective in our efforts. Many whose homes were destroyed by the storm would remain homeless. Instead they are able to begin rebuilding their homes and their lives because of affordable flood insurance.
During the "Fiscal Cliff" discussions, Realtors were there fighting to retain the Mortgage Interest Deduction which enables folks to more easily afford their own homes. A recent letter from our region's Vice President lists some of our accomplishments.
RVP Jeremy Starr writes: "There is good news in the "Fiscal Cliff" law for real estate investment. Together, the solutions will bring more certainty to the commercial real estate market. More certainty in taxes means more certainty in the economy. Below is a summary of real estate provisions in the bill:
Real Estate Tax Extenders:
- Mortgage Cancellation Relief is extended for one year to Jan. 1, 2014
- Deduction for Mortgage Insurance Premiums for filers making below $110,000 is extended through 2013 and made retroactive to cover 2012
- 15-year straight-line cost recovery for qualified leasehold improvements on commercial properties is extended through 2013 and made retroactive to cover 2012
- 10 percent tax credit (up to $500) for homeowners for energy improvements to existing homes is extended through 2013 and made retroactive to cover 2012."
Capital Gains:
"There was concern that capital gains taxes would roll back from 15 percent to 20 percent on Dec. 31, 2012 unless Congress voted to extend them. The good news is that for most, they will remain at 15 percent. Individuals with incomes above $400,000 or couples above $450,000, however, will now be taxed at the 20 percent rate. Fortunately, Congress acted and the capital gains tax remains at 15 percent."
Estate Tax:
"I also have good news to share about the estate tax, which was addressed by the legislation as well. The first $5 million dollars in individual estates and $10 million for family estates are now exempt from the estate tax. After that, the rate will be 40 percent, up from 35 percent. The exemption amounts are indexed for inflation." said Starr.
So whether it is land, housing, investment properties or personal protection of the right to enjoy and reap the benefits of real estate, your Realtor is making it happen through their contributions of time and energy on a local, state and national level. Ask your Realtor how they are helping.
Trust an expert ... call a Realtor. Call your REALTOR or visit www.cdarealtors.com to search properties on the Multiple Listing Service or to find a REALTOR member who will represent your best interests.
Kim Cooper is a real estate Broker and the spokesman for the Coeur d'Alene Association of REALTORS. Kim and the Association invite your feedback and input for this column. You may contact them by writing to the Coeur d'Alene Association of REALTORS, 409 W. Neider, Coeur d'Alene, ID 83815 or by calling 208-667-0664