The tax deduction for interest paid on home mortgages tends to:

Name: The tax deduction for interest paid on home mortgages tends to:
Brand: Quizplus
Rating: 4.8 (59 reviews)

Question

Quizplus · Accepted Answer

The tax deduction for interest paid on home mortgages incentivizes people to buy homes and take on larger mortgages since they can deduct the interest payments from their income taxes. This increased demand for housing leads to higher housing prices. Therefore, the tax deduction tends to increase housing prices.

The Tax Deduction for Interest Paid on Home Mortgages Tends