Biden eyes capital gains tax hike, new-home sales jump, lingering pandemic effects on real estate, at-home test kits, and it's vaxication time.
In Today's News
Biden Aims at Top 0.3% With Bid to Tax Capital Like Wages
President Joe Biden plans to propose almost doubling the capital gains tax for those earning $1 million or more, to 39.6%, to pay for a sweeping new social-spending program, Bloomberg reports today [subscription required].
The Millionacres takeaway: That's only about one-third of one percent of the American people, but it's bound to meet stiff resistance. Meanwhile, that also might add to the attractiveness of tax-advantaged real estate investments like 1031 exchanges and opportunity zones.
New-Home Sales Jump in March Despite Supply Issues
The U.S. Department of Housing and Urban Development and the U.S. Census Bureau just announced that sales of newly built, single-family homes rose 20.7% from February to March and now is at the fastest sales pace seen in 15 years.
The Millionacres takeaway: The National Association of Home Builders says the sales surge is overcoming soaring materials costs, supply chain issues, and construction delays that keep the figures from being even higher. The housing market just keeps sizzling.
These Are the 6 Biggest Lingering COVID-19 Issues Affecting Real Estate
Moody Law Group founder John Moody Jr., who specializes in commercial real estate law, told Bisnow Houston that lease restructuring, foreclosures, deed restrictions, bankruptcies, reopening challenges, and permitting are among the most pressing hurdles for his clients navigating a world where the pandemic's hold is easing.
The Millionacres takeaway: While this is through the lens of a Houston legal eagle, the issues he lays out are probably pretty commonplace about everywhere else, too. You're not alone.
Today on Millionacres
At-Home COVID-19 Tests Hit Pharmacies: Why It's Huge for Investors
The FDA has authorized its first at-home rapid COVID-19 test. The test kits are available at pharmacies and do not require a prescription. And they could be a real game changer.
The Millionacres takeaway: Our Maurie Backman posits how inexpensive home testing, combined with a more robust rollout of coronavirus vaccines, could be enough to help the U.S. escape the pandemic in due time. And once that happens, real estate investors have a lot to gain.
What Are 'Vaxications,' and How Do They Affect Short-Term Rental Landlords?
People love to travel, and that will never change, so what happens when people can't travel for an extended period of time and then they get vaccinated? Vaxications.
The Millionacres takeaway: Our Brad Cartier explains how hospitality operators big and small will be benefiting from the pent-up demand for travel.