Below is the statement from NDAB Chief Executive Officer, Kim Schneider, regarding the visit, tax reform and pictures from the event.
NDAB urges ND Delegation to preserve housing incentives in tax code reform
The North Dakota Association of Builders (NDAB) supports home ownership and rental housing incentives in the current tax code and specifically the deductions for mortgage interest and state and local property taxes as well as provisions that encourage development of affordable housing.
NDAB is proud to have welcomed President Trump to North Dakota while he pushes for tax reform. Over 20 NDAB members attended this historic event to learn more of his proposal for income tax reduction, a fair tax code and economic development. We urge the members of our North Dakota congressional delegation to work in a bipartisan fashion to make federal tax reform a reality.
NDAB is a staunch defender of the mortgage interest deduction, which has been a part of the tax code since its inception in 1913. This deduction is an essential tool for younger middle-class buyers looking to enter the housing market and move up as their families grow. The mortgage interest deduction amounts, set in 1987, have not been adjusted for inflation in 30 years. It is time to address the levels of the deduction in order to bring it into the modern times of costs, affordability and income levels to improve the buying power of the middle class.
Many tax reform proposals being discussed have suggested reducing or eliminating the mortgage interest deduction; the Low Income Housing Tax Credit; the capital gains exclusion for home sales, and the deduction of property taxes. These proposed tax increases would further depress home prices, put countless more home owners underwater, and trigger a new wave of foreclosures. Eliminating or scaling back these vital housing incentives would also shrink the local tax base of many communities, causing already cash-strapped state and local governments to further cut jobs and essential services. In addition, the building industry is just one of many industries comprised of multitudes of small businesses; to ensure that our future tax code is truly pro-growth, Congress must maintain a business interest deduction for small business.
NDAB leaders thank President Trump for his leadership and have confidence that the White House and Congress will do the right thing for home buyers and for America. We will continue to engage in this process, jointly with the National Association of Home Builders and our local home builders associations across the state of North Dakota.