Democrats and realtors say the Republican-proposed tax plan should sound alarm bells in suburbs surrounding Philadelphia, where home prices and property taxes can be high, write Jonathan Tamari, Michaelle Bond, and Laura McCrystal for the Philadelphia Inquirer.
“If you have a home in a middle- or upper-middle-class area (around) Philadelphia right now, under this GOP tax plan, you’re at risk of seeing a drop in your home value,” said Rep. Brendan Boyle, whose district is split between Northeast Philadelphia and Montgomery County.
Jamie Ridge – president of the Suburban Realtors Alliance, which represents realtors from Montgomery, Chester, Bucks, and Delaware counties – said his members “are extremely concerned.”
“Most of the time when you’re trying to determine what a family can afford, the mortgage interest deduction and state and local property taxes and state and local income taxes all play into that,” Ridge said.
Every Republican from the southeastern Pennsylvania suburbs supports the plan. They argue that tax cuts will spur economic growth and save money for the vast majority of their constituents — giving people more cash to buy homes.
Rep. Ryan Costello said the overall economic climate weighs more heavily on whether people buy homes.
“If we have a tax code that is creating a competitive job market with wage growth, and you have companies wanting to be here in southeast Pennsylvania, folks are going to want to live here,” he said. “That’s going to drive house price, that’s going to drive housing demand.”
Click here to read more about the GOP tax bill in the Philadelphia Inquirer.