Up for discussion in the fiscal cliff ballyhoo is elimination/reduction of the mortgage interest deduction. The housing industry is up in arms, calling it a kick in the breadbasket for middle income homeowners, just when U.S. housing is finally stabilizing. The three middle-income homeowners remaining (doubling as undecided voters in the last election) probably want to keep it, too. In general PR terms, touching this beloved benefit looks bad, especially given the power of Obama's 'middle class' orientation as a differentiator from the GOP. And not just in this election either - remember when John McCain was asked how many houses he had and he couldn't quickly bring the number (six-11, depending) to mind? But in reality, we don't need the mortgage interest deduction any more than we need another toaster oven. Gifts are fine (hint hint), but the gift should be pleasing to both parties.
↧