Fiscal Policy

Fiscal Policy Paper

Fiscal Policy Paper

All actions taken by a government directly affect its economy. Over the past 5 years United States has taken crucial steps towards the restructuring of its economy consequently having to reform its policies. One of the most affected and in need of reforming is the real estate and housing policies. After various surveys were completed American respondents weighed in on the importance of the U.S. federal government to the real estate industry. For respondents who rated federal actions at least moderately important to the industry, the survey offered a comment box in which to indicate the federal actions that are the most important. (Emerging Trends in Real Estate®, 2015)

Top Specific Policy Areas for the U.S. Real Estate Industry

When it comes to the real estate industry downfall there are many factors that play a part. Each different policy has played a role on the economic fiasco the United States has had deal with for the past 8 years. Banking and finance regulations where frequently mentioned in these surveys as “excessive” and “stifling”. Statements about environmental regulations in general outnumbered concerns about specific environmental policies. For those who listed specific environmental issues, most cited the importance of new storm water and wetland regulations under the Clean Water Act. Only a handful of respondents listed federal action on climate change as important for the real estate industry in 2015. (Emerging Trends in Real Estate®, 2015) Other areas that affect the Real Estate Industry are: Infrastructure Investment, Taxation, Employment, and Immigration.

Specific tax policies mentioned as important to the real estate industry include taxation of capital gains—especially with respect to carried interest—followed by, in order of number of mentions, the Foreign Investment in Real Property Tax Act (FIRPTA), taxation of internet commerce, income taxes, corporate taxes, and rules governing 1031...