Lately the politicians have really been at it, highlighting with fevered pitch the differences between the political factions, each party assuring the beleaguered public that their viewpoint is the correct one and their cause is the righteous one! There has been recent pending legislation in Washington DC that could dramatically affect real estate and you personally. The desire by many political operatives, from both sides of the aisle, to eliminate the Mortgage Interest Deduction is one example of a battle that will soon erupt. Liberals want to eliminate the tax deduction for home owners to make it fair for tenants who don’t own property, while some Conservatives wish to create an avenue for added income to the federal coffers in order to help lower the debt ceiling. Generally speaking, Realtors® as a group, think that this course of action will cause many folks to refrain from purchasing, therefore causing another barrier for a recovery in home sales. My thoughts are that special interests such as Realtors® should ultimately step aside from this argument if eliminating this tax loophole would help our country by reducing or eliminating our monstrous debt. My fear is however, that this added income will only be siphoned off to offset new tax breaks or to fund other programs. Some folks think that once this presidential election cycle is over, that we’ll either recover quickly or flop, depending upon who gets elected. My thought process to this dilemma is more optimistic than that because I have a lot of faith in our system of government! After a long career in real estate, I have seen several ebbs and flows in the market and none of them coincided directly with the election of a certain politician! While I concede that there is a strong psychological influence in the market based on a pending election, I’ll never be convinced that the President of the United States controls our economy! Our collective spending habits, natural market cycles and self reliant attitudes contribute more to a positive economy than one figure-head could ever control. While there is plenty of blame to go around during this election cycle as to the cause of our current economic woes, I’m convinced that no matter who is elected as the next President, the power of the normal cycle will overcome any political influence. Historically speaking, it is time for the market (which seems to have been stuck in the ebb mode), to flow positively!