Question

What action can the government of Country DF take to encourage citizens to purchase homes?

Answer 1

The correct answer is D. lower income taxes for homeowners

Answer 2

The correct answer is D) lower income taxes for homeowners.

The action that the government of Country DF can take to encourage citizens to purchase homes is lower income taxes for homeowners.

With lower income taxes, the government helps people with the purchase of homes. Usually, people who buy houses have to save more money for a down payment just to keep up with the prices of property. A major benefit of owning a house is that the owner can deduct mortgage interest on its taxes. The interest on a home equity loan can be deducted too when the owner files its taxes.