Weekly News (November 5, 2024)

Mortgage Interest Rates Review

United Mortgage Nation  10/29/2024

                  Federal Fund Rate: 4.75 -5.00%        Prime Rate: 7.75 – 8.00%  

Tesla might build a huge charging place in College Point, NY

칼리지포인트에 대규모 테슬라 충전소 들어서나…   

Korea Daily  11/4/24(Mon) 

• According to Real Deal and JLL, Tesla has leased former Toy R’Us, College Point Multiplex(Theater) , and Party Wow at 30-02 Whitestone Express Way, College Point, NY.  
• The owner of the property, Triangle Equities had a plan to demolish buildings, but they changed the plan while Tesla has shown interest to lease the place.  Real Estate industry doesn’t know what is Tesla’s plan exactly yet, but some anticipate a huge charging stations for EVs since the property has already about 700 parking spaces.
• Tesla is trying to establish charging stations all over NY, and, for example, they have spent $18M for 43,037 sf space for charging stations.      

“Stay NJ” Program in NJ passed Congress

‘65세 이상 재산세 감면’ 세부내용 확정   

WSJ  10/28/24(Mon) 

• NJ Congress and the Governor, Phil Murphy passed Stay NJ Program that they will fix the details for enacting from 2026. According to this bill, 

     the property owners over 65 year old with up to $500,000 income will pay

     a half of the property tax or $6500 whichever is smaller.     

• The maximum benefit is $6500 for all three programs: Homestead rebate program(Anchor), Senior tax freeze, and Stay NJ. 

• The opposing party such as the congressman, Brian Bergen (R) mentioned that Stay NJ program will cost $1.2B annually and it is not clear how to get the necessary funds.  

Fed on Track for Quarter-Point Rate Cut

준비위원회, 0.25% 인하 준비     

WSJ 11/4/24(Mon) 

• Fed officials are expected to cut interest rates by a 0.25% at the meeting Thursday because inflation has continued to make progress toward their 2% goal.
• “We’re entering this new phase: Policy is going to become less restrictive over time because the Fed is more confident on where inflation is going—that it’s going back down to 2%,” said Loretta Mester, who retired as Cleveland Fed president in June. 
• Tuesday’s election prompted the Fed to push back its meeting by a day. The central bank, which typically concludes its two-day meetings on Wednesdays, will do so this time on Thursday.
• Powell suggested solid readings on economic activity could make officials somewhat more comfortable at the margins that the economy isn’t deteriorating. Still, he said labor market data has historically provided “a better real time picture” of the economy than data on GDP.

CPI & Hiring Change

WSJ 11/4/24

SALT Cap to Spice Up Fight Next Year

지방세(재산세) 공제 한계-$10,000, 내년에 큰 싸움… 

WSJ  11/5/24(Tue) 

• SALT(State and Local Tax deduction) Cap of $10,000 which was enacted in 2017, along with much of the 2017 tax law, expires at the end of 2025. 

• Unlike most tax-policy disputes, the SALT cap breaks along regional lines, not just partisan ones.  

• As president, Donald Trump signed the law that created the SALT cap. But this year he signaled that he would support getting rid of the cap.
• Most Democrats, such as current Senate Majority Leader Chuck Schumer (D., N.Y.). favor removing or increasing the cap, and New Yorkers lead the party’s House and Senate caucuses. Vice President Kamala Harris favored repealing the cap when she was a senator from California. She hasn’t taken a position during her presidential campaign.

TGI Fridays Files for Bankruptcy

식당 TGIF, 결국 파산 선고…               

WSJ  10/4/24(Mon) 

• Restaurant chain TGI Fridays, Texas-based bar-and-grill chain, filed for bankruptcy protection Saturday in the U.S. Bankruptcy Court in Dallas, citing a problematic capital structure and fallout from the Covid-19 pandemic.

• The chain’s U.S. sales declined to $728 million last year, down 15% from the prior year, according to data provided by market research firm Technomic. The chain also has been closing stores in the U.S. It operated 292 locations last year, 11% less than in 2021, according to the company.

• TGI Fridays operates 39 company-owned U.S. restaurants. All the chain’s franchised operations, which are independently owned and operated, stayed out of bankruptcy, as well as TGI Fridays Franchisor, an affiliate that owns the company’s brand and related intellectual property.

How Harris and Trump Want to Solve the Housing Crisis?