Spike in Home and Condo Sales

Home buyers signed more sales contracts in August than in any month this year. Much of the boost in home sales came from the approaching deadline of the homebuyers’ tax credit. Many regional housing markets have gained some ground recently as the tax credit for first-time homebuyers stimulated sales of starter homes and condos.

Pending home real estate sales are considered a positive indicator of the health of the housing market. With pending sales the resulting property closings are experienced in October and November. With this trend the housing market gains provides fuel to the recovery of the housing market and general national economy.
As many first-time home buyers rush to beat the deadline for the $8,000 tax credit, which expires at the end of November many home buyers are continuing to have problems obtaining mortgages that may push real estate transactions beyond the November 30th deadline. The rise in pending home sales shows that buyers are returning to the housing market and signing contracts, but deals are not necessarily closing because of long delays related to short sales, and foreclosures.

As many news networks report on the status of the extension of the tax credit for first-time homebuyers, it’s hard to guess whether Congress will extend the tax credit. With any luck buyers and sellers will get a reprieve from Congress with an extension and possibly and expansion to all home buyers. This would be the ultimate boost for the housing industry and an early gift to many home buyers this upcoming holiday season.

posted by Bill Desautels P: (802) 655-9100 (800) 639-4520 x217 F: (802) 655-0400 E: condoguy@condoguy.com The Condo Guy – Vermont condo real estate The Condo Guy has been providing advice to buyers and sellers of Vermont condos real estate for nearly 30 years.

Tonight my 7 brothers and sisters are taking me to dinner at The Bearded Frog as an early 50th celebration, can’t wait, food is so good there.

What a week, 9 closings, seems like the old days. My team has pulled together, stayed focused and even smiles through the challenges. Thank you.

The flu suddenly feels too real, one of my sweet clients whom is 5 months pregnant just learned she now has it. Holding her in my thoughts.

As winter approaches I need reminders why I live in Vermont, as I drove out of my driveway 10 deer crossed in front of me, that beauty is why

Dripping water discolors sinks and suggests to the buyer that the plumbing may be faulty or worn out. Repair or replace faucets and plumbing.

Driving to Stowe this morning for a closing and my life has been threatened if I do not bring back Cold Hollow cider donuts. Now I know my worth

Will Congress Extend the $8,000 Tax Credit Deadline?

Will time run out for home buyers seeking to take advantage of the $8,000 first-time home-buyer tax credit? The Obama administration incentive is set to expire on November 30, 2009 but Congress may extend the incentive into 2010. With the extension there is also talk about raising the tax credit’s upper limit to $15,000 and loosening some of the income limits.

The National Association of Realtors and the National Association of Home Builders are in full support of the extension. Many Realtors and home builders have experienced an increase in home sale activity as a direct result of the tax credit. Vermont home sellers have also found the tax credit an encouraging marketing tool in selling their homes to first time home buyers. The time it takes to sell a home has decreased and with homes selling at a faster pace the value of real estate property has started to stabilize many area markets.

While there are many arguments on both sides of the isle in Congress it’s hard to argue that the $8,000 tax credit has stimulated the housing market. As the Federal Reserve maintains extremely low mortgage rates, another factor that has been an incentive for buyer’s in this transitioning real estate market, ending the $8,000 home buyer tax credit on November 30th will hurt definitely hurt in the short term. I will keep you posted with updates as the deadline approaches.

Check out Vermont Real Estate Tips & Trends for information pertaining to the $8,000 tax credit.

posted by Bill Desautels P: (802) 655-9100 (800) 639-4520 x217 F: (802) 655-0400 E: condoguy@condoguy.com The Condo Guy – Vermont condo real estate The Condo Guy has been providing advice to buyers and sellers of Vermont condos real estate for nearly 30 years.

3 cords of wood have been staring at me in the driveway, begging me to move them in out of the rain as the plastic cover flutters in the wind

Waking to total darkness usually means I’m catching an early flight, instead I’m meeting the gas man at a condo, go figure. In two weeks darkness mean Key West.