I don't have to earn but 321,176 in order to buy the house. My effective tax rate is 15%. If I earn 321,176 AND pay my 15% tax, I'm left with 273,000. Magical to you, simple to most.
Do you think that the FairTax would be paid at closing?
Yes. It will be financed like any other cost. Just like today's tax costs - they're financed in the mortgage.
try it out in some pilot state,
You mean like the states that fund themselves from sales taxes already? Texas and Florida come to mind... two of the mightiest economies around.
So, good luck with your offer of $321,176 for a house that will trade for $354,900.