FROM MSNBC.COM
“We’ve all heard so much bad economic news, many folks are afraid to buy homes. But those in the real estate industry say, this could actually be a great time to buy. 8 thousand dollars. That’s how much the feds are waving in the faces of first time home buyers. It’s part of an incentive to encourage home buying and stimulate the economy.” http://www.msnbc.msn.com/id/29537044/
This tax credit for first time buyers (10% of the homes value up to $8k total credit) is great news for the housing market. In the Twin Cities / Minneapolis / St. Paul area – there are a ton of first time buyer homes available and now a glut of move-up and upper-bracket homes. The buyer to purchase these move up homes doesn’t have the equity in their current home anymore AND they can’t get anyone to buy it. Not any more! The good first-time-buyer homes are selling! Selling so fast, ~25% of my homes listed under $150k are selling in multiple offers! Housing is now affordable and this tax credit is icing on the cake! This will help the mid and upper bracket only a bit… Many first time sellers cannot compete with bank owned foreclosures and they cannot sell themselves because they are upside-down in their home OR they would walk with such little money, they would have enough down-payment to move up to the 250-400 bracket. I predict you will see a bottom come to the first time buyer market mid-2009 and mid-to-upper bracket market will return when the economy FULLY recovers which will be 2-5 years out. 2009 is the year to buy real estate. John Schuster sold over 100 homes in 2008 and he offices out of the Minneapolis Lakes Office of Coldwell Banker Burnet www.TwinCitiesListed.com612-924-7140. John Schuster has a full time team of 5 people and loves to work with both buyers and sellers in this market.
