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The single biggest subsidy for homeownership in the US is the mortgage interest tax deduction, where you can deduct interest payments on the first $1,000,000 of
by omellet 15y ago
The single biggest subsidy for homeownership in the US is the mortgage interest tax deduction, where you can deduct interest payments on the first $1,000,000 of debt on your first or second home.
- ahi 15y agoI imagine the homestead exemptions (terminology?) are a close second. Most places you get a property tax break on property you live in. Landlords, and therefor renters get to make up the difference.
- mturmon 15y agoAgreed. Another one is Fannie Mae and Freddy Mac, which work together to stabilize the home mortgage market, resulting in lower mortgage interest rates than would otherwise be the case.
- wtvanhest 15y agoYes, interest deduction is a big subsidy, but also roads, cars etc are highly subsidized. I'm on my BB so I can't provide good sources, but if you google subsidies of driving americans etc you will find a lot. In Europe, they charge very high vehicle and gas tax to make up for the roads and keep people from driving. In the US we allow much less wealthy people to drive. Neither is correct, but we in the US highly subsidize commutes.
- aidenn0 15y agoIIRC The US Highway system is cash positive. It is true that the US gas-tax is much lower than just about anywhere else. The easiest way to lose the next election in the US is to propose raising the gas-tax.