Farewell, American Dream?

Are first-time home buyers still able to afford a Boston condo for sale? Morgage rates are still rising along with Boston condo prices.

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Farewell, American Dream?

Not quite. But the debate over the extent of home ownership in the U.S. is getting hot and heavy.

There’s definitely a worry that Congress will throw the proverbial baby out with the bath water, eliminating rules and tax benefits that played no part in the subprime-mortgage controversy. Lawmakers will end up harming the entire economy – not just the housing market – if they go too far.

But a conversation should be started on this issue. Should there be new caps on how much interest can be deducted on tax forms? Do we really need to directly or indirectly subsidize refinancings and second homes? What is the right percentage of American households that should be renting vs. owning? Is there a way to encourage renting without further burdening taxpayers?