Coldwell Banker Real Estate Market Consumer Information
The best buyer incentive in years disappears April 30
And our sources tell us that the Homebuyer Tax Credit is not coming back
During last November’s congressional debate on extending the Homebuyer Tax
Credit, Sen. Johnny Isakson (R-Ga), a former real estate broker and longtime
proponent of the credit, promised his colleagues, “This is the last extension.”
Linda Gould, a lobbyist for the National Association of REALTORS® (NAR)
confirmed Isakson’s comments. “Lawmakers made us practically swear a blood
oath that we would not come back for another extension.”
And Senate Finance Committee Chairman Max Baucus (D-Mont) said, “It’s
important that this tax credit not become a permanent fixture of the tax code.”
When the Homebuyer Tax Credit expires April 30, it’s gone forever. If you’re a
first-time buyer or if you’ve lived in your home for the last five years, you must
have a home under contract by April 30, and you must close by June 30.
Now’s the perfect time to be looking for a home
Interest rates for 30-year, fixed-rate mortgages were quoted this week at
5.09 percent, while 15-year mortgages were at just 4.5 percent.
Economists expect mortgage rates to rise in 2010 due to the expiration of the
Fed’s $1.25 trillion program for purchasing mortgage-backed securities. That
program provided market liquidity and helped lower mortgage rates for months.
According to NAR, homes haven’t been this affordable for the past 30 years.
In December, the median prices for Phoenix and Tucson homes were $130,000
and $164,000 respectively, both down from 2008 levels. Nationwide, the
median sales price was $175,000. Arizona home prices are a bargain.
You have the best buyer’s market in 30 years and the phenomenal incentive of the
Homebuyer Tax Credit...now all you need is a sharp, experienced agent from
Coldwell Banker Residential Brokerage to help you find your dream home.
And why not? For the 12th year in a row, our parent company earned the Number
One spot in the annual real estate rankings compiled by The Wall Street Journal
and Real Trends, a source of industry analysis. Make us part of your team!
On the positive side
The sales pace for November and
December was 44 percent higher than
it was the year before, including single
family homes, townhouses and condos.
Sales were up in every region of the
country with the biggest jump recorded
in the Western U.S.—11 percent!
In December, for the second month in
a row, sales totals were up for all home
classes, including mid-priced and
luxury homes.
Fannie Mae is forecasting that 2010
sales volume will be 9 percent higher
than that in 2009. New home sales are
expected to increase 26 percent. |
