[kevkrom]

Would single family home purchases be taxed?

Yes, just like they are today. The land would not be taxable -- as it had been subject to past taxes, but any new improvements (such as a house) would be taxable. Houses, like everything else, would not be taxed on resale.

Again, remember that the income tax inflates today's price already. Add in all of the savings with 25% lower interest rates, and home buying should still be a good deal under the NRST. Ok, there's no income tax deduction for interest payments, but that's because you're already paying with pre-tax dollars under the NRST, as opposed to post-tax dollars today.

[Your Nightmare]

So I'm gonna have to add 23% to the amount I finance on a new home. My $200,000 home just became a $246,000. And over a 30-year note, I will pay an extra $100,000 in interest. So, effectivly, I am not paying 23% more, I'm paying 73% more due to the NRST.

This sounds like it would kill the new home market.

And would people be paying extra interest on anything they finance? Cars, credit card purchases?