My friend and partner, the ever-more-Unchained Brian Brady, posted a Facebook link to a Wall Street Journal article on the current push by the National Association of Realtors for extended loan subsidies for the rich:
To understand why 90% of U.S. mortgages are still underwritten by taxpayers, look no further than the nearby letter from Ron Phipps of the Realtors lobby. He makes clear that the Realtors, like the rest of the housing-subsidy crowd, are working hard to get Congress to reinstate a $729,750 loan-limit for Fannie Mae and Freddie Mac guarantees.
Why do rich people need taxpayer-underwritten home loans? They don’t, of course. The NAR needs loan subsidies at all income-levels to keep churning the real estate market.
In case you haven’t looked at your bank statements or retirement accounts lately, the NAR has already churned the American economy into a five-year coma. But like every other legislative vampire, the NAR won’t stop sucking away at unearned income until the body politic is entirely exsanguinated — bled to death.
This latest Five-Alarm Urgent Action Item — one of three or four a week Phipps and his minions spam-spew — is nothing more than an extension of the original NAR philosophy: Milk consumers, taxpayers and real estate salespeople for the benefit of brokers.
Do you doubt me?
The real estate licensing laws, written in their original form by the NAR, exist to limit competition in real estate brokerage, eliminating alternative sources of real estate brokerage to artificially sustain higher commissions for NAR brokers.
The sales commission co-brokerage fee — the vaunted “cooperation” among brokers — exists to create the Multiple Listings Service oligopoly, the golden handcuffs by which real estate salespeople are bound to their brokers and to the NAR — and which, not-coincidentally, continues the viciously anti-consumer NAR policy of de facto sub-agency.
The IRS “safe harbor” exclusion shielding real estate brokers from having to report income for their employees makes it possible for brokers to churn-and-burn gullible real estate salespeople like a toy store burns through your kid’s allowance money. No other business can afford to treat human capital — that would be you — like so Read more



