For those who have been waiting for Washington to finally do something of substance to get us out of the housing mess, it seems like they finally woke up. The US Senate has passed an amendment to the Stimulus Package that would give up to a $15,000 tax credit to anyone that buys a home within the next year. Provided the homeowner lives in the home for at least two years they will NOT have to pay it back.
Some might say where is my $15,000? The reality is that many economists recognize that unless something is done to stabilize the housing sector, there is little hope to grow our economy and put people back to work. Foreclosures would slow to a trickle, buyers will be able to spend money on goods like appliances and flooring, and prices will begin to stabilize. This is good news for everyone because it will circulate throughout the economy.
Yet another provision under consideration is having the Feds mandate mortgage rates of 4% or less for all home buyers and for anyone that wishes to refinance. This is huge! It would free up billions of dollars, dollars that could be in homeowners hands within two months or so. On average each refinance will save the homeowner about $500 per month, if that doesn’t help get things moving I don’t know what will.
| 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. |
Filed under: Federal News & Programs | Tagged: bill desautels, condo guy, condoguy, feds, interest rates, stimulus package, tax credit, vermont condos
