PASCRELL TO PROPOSE HOMEBUYER TAX CREDIT TO STIMULATE NATIONAL HOUSING ECONOMY

PATERSON – U.S. Rep. Bill Pascrell, Jr. (D-NJ-08) a member of the tax-writing House Ways and Means Committee issued the following statement in advance of President Bush’s New Jersey visit to a credit counseling service center in Freehold:
 
“President Bush has a lot to explain to the working-class New Jersey families who have been hurt by the administration’s failed economic policies and costly war in Iraq.  But I should warn the President that lip service doesn’t pay mortgages here in New Jersey.  The President must be candid and commit to the type of emergency housing reform that led America to a triumphant economic rebound following the Great Depression.
 
“With about 3.5 million foreclosure filings since 2006, the Federal Reserve Bank estimates that 2 million more are on the way over the next two years.  Meanwhile new homes sales are at their lowest point in 13 years tumbling 40.6 percent in the Northeast alone.  The President’s short term foreclosure ‘timeout’ is a band-aid approach that does nothing to stimulate the economy or increase homeownership. 
 
“There will be long-term consequences if the President doesn’t act aggressively to keep families in their homes and help new families become homeowners.  Property values for entire neighborhoods will be degraded and foreclosed vacant homes will blight middle-class communities for years to come.
 
“Homeownership plays an important community-building function in cities and towns all across the country.  It is something I value deeply and will fight to expand.  When I return to Congress next week I will work to spur the housing economy by introducing an emergency temporary $10,000 tax credit for middle-class homebuyers.”

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