April 3, 2009 –
First and foremost, today is my Mom’s birthday- Happy Birthday Mom!!! I love you!
Many anxious buyers have been sitting on the sidelines waiting for the time to finally make their move. Four factors are making that time now.
First, sellers are realizing that correct pricing allows buyers to see value. Those sellers who see the high level of housing inventory as reflected in the current market are offering realistic prices that get buyer action. The second factor is the historically low interest rates that allow a buyer to get more house with the same monthly income. The March publication of the Housing Affordability Index by the National Association of REALTORS® stated, “the relationship between home prices, mortgage interest rates and family income is the most favorable since tracking began in 1970.” Homes are now more affordable for buyers.
The third, newly announced significant factor is the government’s 2009 tax credit of up to $8,000 for buyers who have not owned a home in the last three years. The principal residence must be purchased before December 1, 2009. This should spur those new buyers waiting for the right time. What about current homeowners who need to move but have to sell first? Those buyers will realize that even though their current property may have decreased in price, they will be buying a home at a lower price than the previous market. This fourth factor makes the playing field even.
It appears that today is one of the most favorable times in years for buyers to take action. If you or someone you know would like to discuss these positive factors, please contact me.