[Congressional Record Volume 155, Number 148 (Wednesday, October 14, 2009)]
[House]
[Pages H11358-H11359]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




               EXTEND THE FIRST-TIME HOMEBUYER TAX CREDIT

  The SPEAKER pro tempore. Under a previous order of the House, the 
gentleman from Kansas (Mr. Moran) is recognized for 5 minutes.
  Mr. MORAN of Kansas. Mr. Speaker, like many parts of the country, the 
Kansas housing market has struggled along with our Nation's economy. 
One important tool that has strengthened the housing market and has 
limited the economic decline has been the $8,000 first-time homebuyer 
tax credit. However, unless Congress takes immediate action, this 
valuable credit will expire on November 30.
  I come here with a message for my colleagues and the leaders of the 
House of Representatives: Congress must act quickly to renew the first-
time homebuyer tax credit.
  A Realtor from Manhattan, Kansas, wrote me about the importance of 
the homebuyer tax credit. She noted that the credit had been extremely 
helpful to the Kansas economy. She says: During these challenging 
economic times, the first-time homebuyer tax credit has injected new 
life into the housing market and has helped stimulate many local 
economies through the stabilization of housing prices.
  However, our housing market remains fragile, and more progress is 
needed to further stabilize our communities. The homebuyer tax credit 
works. Since its enactment in February, the IRS has reported more than 
1.4 million taxpayers have claimed the homebuyer credit. This incentive 
will lead 400,000 prospective first-time homebuyers to purchase homes 
who probably would not have without the help of the tax credit.
  Moreover, it's estimated that each sale generates $63,000 in 
additional goods and services that benefit the economy. There are tax 
savings for taxpayers which generate more revenue than the aggregate 
amount of the original tax cut. Along with falling home prices, the 
homebuyer credit has helped put the housing market on the track to 
recovery.
  While market conditions have improved, as the Realtor says, the 
market remains fragile. The housing tax credit needs to be extended to 
make sure that the economic gains that have been made are not lost.
  In order to build on that economic progress, the tax credit should be 
expanded. I've introduced H.R. 2905, the Homebuyer Tax Credit Expansion 
Act of 2009, which would extend the $8,000 tax credit beyond its 
November 30 expiration. In addition, this legislation would expand the 
tax credit to all homebuyers, not just to first-time buyers.
  I've asked the Speaker of the House and the chairman of the Ways and 
Means Committee to bring this bill or similar legislation to the floor 
for a vote. At the very least, Congress should pass a 1-year extension 
of the credit before it expires. It can take several months to go from 
contract to closing, and the tax credit will soon become unavailable 
for many buyers well before the November 30 expiration date. An 
extension must be passed soon if homebuyers are going to continue to 
take advantage of the tax credit.
  Homeownership and the knowledge that one has equity in one's home can

[[Page H11359]]

significantly improve our economy. We should not allow this important 
tax credit to expire. Congress must act quickly now to renew the first-
time homebuyer tax credit.

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