Home Builders Could Get Boost From Legislation

Washington, DC, April 3, 2008--Homebuilders and the mortgage industry may be big winners in an agreement reached by Senate leaders.

The $15 billion measure to help the housing market contains a $6 billion emergency tax break that would let builders use losses from 2008 and 2009 to offset profits earned over the last four years, double the usual two-year timeframe.

That helps most major homebuilders, which have seen huge losses over the past year.

Industry experts believe the measure will also help keep small builders solvent.

However, the legislation does nothing to help struggling homeowners who are facing bankruptcy.