The Schneider Electric North American Operating Division (NAOD) has joined Fix Housing First, a coalition of advocates in the home-building industry dedicated to creating a housing recovery plan that will help revive the U.S. economy.
Fix Housing First, which consists of more than 600 organizations, homebuilding companies and manufacturers, is pressing for a major stimulus package to stem the decline in home values, stabilize financial markets and reignite consumer demand. The coalition is urging U.S. Congress to support enhancements to the existing homebuyer tax credit and provide below-market, 30-year, fixed-rate mortgages for home purchases.
"If Congress enacts a meaningful tax credit, coupled with an aggressive interest rate buy-down program, we are confident that these measures will help to stabilize home prices, prevent future foreclosures, restore consumer confidence and start creating jobs," said Jerry Howard, president and CEO of the National Association of Home Builders (NAHB), a housing trade association that is spearheading the efforts of Fix Housing First.
The Fix Housing First coalition is pushing for the following significant enhancements to the current $7,500 tax credit for first-time homebuyers:
- Eligibility for all homes purchased between April 9, 2008, and Dec. 31, 2009.
- The credit amount would be increased to 10 percent of the price of the home, capped at 3.5 percent of Federal Housing Administration loan limits, bringing the credit to a range of roughly $10,000 to $22,000.
- Eliminating the current recapture provision and requiring repayment only if the home was sold within three years.
- Making the credit available at the time of closing, thus encouraging homebuyers to use the credit as a down payment on a mortgage.
For more information about Fix Housing First, visit www.fixhousingfirst.com.