Housing Lobby’s Win Costing U.S. $600 Billion: Mortgages

Congressional efforts to reduce the U.S. deficit revived tax breaks for mortgage insurance and extended interest deductions for homeowners that will cost the government $600 billion over five years.

“This is a meaningful win for the housing lobby generally and more specifically the mortgage insurance industry,” said Isaac Boltansky, an analyst for Compass Point Research & Trading LLC in Washington. “The mortgage finance establishment fared relatively well.”