Written by: Bonnie Casper, President of Greater Capital Area Association of REALTORS and Stephen J. Nardella, President of Maryland National Capital Building Industry Association
Governor Martin O'Malley's proposed budget reduces mortgage interest and property tax deductions for many Maryland homeowners.
As the Greater Capital Area Association of REALTORS, representing the more than 6,000 real estate professionals, and home builders in Montgomery County, we have grave concerns about this proposal’s negative effect on housing.
Since 1913, the tax code has promoted homeownership by allowing a deduction for mortgage interest, and Maryland has NEVER reduced it.
This is sound public policy, consistent with our longstanding tradition of encouraging homeownership, the cornerstone of the American dream.
There is good reason for this policy. Housing and real estate account for nearly one-fifth of Maryland’s gross state product, and the sector traditionally leads our local, state, and national economy out of recession into economic growth.
Indeed, Maryland’s economic recovery will not happen without a recovery first in our housing market.
Maryland ranks 10 among other states as being most dependent on real estate taxes. Real estate already accounts for 49 percent, almost half, of revenues to our local governments. Maryland property owners already pay at least their fair share in supporting state and local services.
We urge Governor O’Malley and the members of the Maryland General Assembly to rethink this unwise proposal.
We call on all County residents to contact their elected officials to oppose this proposal. For more information and to contact your elected representatives, go to: http://www.savemdmid.com/.