Builders See Encouraging Results From Meetings With Lawmakers

The Home Builders Association of Connecticut is among scores of HBAs around the country reporting successful results from meetings in late August and early September with members of the U.S. Congress who were home for their summer recess.

Members from the Connecticut delegation met with Reps. Joe Courtney (D), Jim Himes (D) and Chris Murphy (D) to share their concerns about problems that could deal the housing industry a setback at a time when it is just beginning to show hopeful signs of a turnaround.

They shared their personal experiences regarding the difficulty of obtaining financing, even among builders with good credit and performing loans; sales lost due to faulty appraisals; and the favorable impact of the $8,000 tax credit for first-time home buyers.

They received encouraging assurances from Rep. Courtney that he supports extending the tax credit for an additional year and expanding it to all qualified buyers of principal homes. The latter would be especially helpful in Connecticut’s more expensive housing markets, the builders said, where prohibitively high prices for prospective first-time home buyers have limited the impact of the current credit.

In a telephone conversation with Bill Ethier, the CEO of the association, Sen. Christopher Dodd (D) said he supported expanding the tax credit. The Connecticut builders are setting up meetings with other lawmakers in the coming weeks — including Dodd, Sen. Joseph Lieberman (R) and Reps. Rosa DeLauro (D) and John Larson (D).

In a recent development, Senate Majority Leader Harry Reid (D-Nev.) on Sept. 17 endorsed legislation that would extend the home buyer tax credit for six months.

Following is a sampling of responses from meetings with U.S. representatives and senators, according to feedback from builders from around the country:

• Sen. Mark Begich (D-Alaska) supports extending the home buyer tax credit and will be working on AD&C lending issues in the Senate Banking Committee.
  
  
• Senate Minority Leader Mitch McConnell (R-Ky.) is in favor of extending and expanding the home buyer tax credit.
  
  
• Sen. Ben Nelson (D-Neb.) signed on to the Senate Net Operating Loss (NOL) bill and supports extending the home buyer tax credit.
  
  
• Sen. Debbie Stabenow (D-Mich.) supports extending the tax credit.
  
  
• Sen. David Vitter (R-La.) believes the tax credit should be extended an additional year and made available to all purchasers of a home.
  
  
• Sen. Mary Landrieu (D-La.) is in favor of extending the tax credit and willing to work with regulators on the AD&C issue.
  
  
• Sen. Herb Kohl (D-Wis.) supports extension of the home buyer tax credit and has sent letters to regulators on appraisal issues.
  
  
• House Majority Whip James Clyburn (D-S.C.) supports extending the home buyer tax credit.
  
  
• House Minority Whip Eric Cantor (R-Va.) is in favor of extending and expanding the tax credit.
  
  
• Rep. Kevin Brady (R-Texas), the ranking member of the Joint Economic Committee, said he was willing to work with committee members to explore options to resolve the AD&C issue.
  
  
• Rep. Jeb Hensarling (R-Texas) is a co-sponsor of NOL legislation and expressed an interest in sending a letter to regulators on the appraisal issue.
  
  
• Rep. Walter Jones (R-N.C.) believes the tax credit should be extended and that appraisal problems are an important issue that must be resolved.

For more information, e-mail Nicholas Gentile at NAHB, or call him at 800-368-5242 x8542.

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