It is predicted that almost 70% of taxpayers will get a refund this year. That means between now and the end of April approximately $230 billion in tax refunds will begin hitting households.
Prices of homes are at the lowest levels we have seen in some time. Supply currently exceeds the demand and incredibly low interest rates are available. What a winning combination for buyers!! As if that is not enough incentive if buyers act quickly and execute a contract as late as April 30,2010, first time home buyers can receive up to an $8,000 tax credit and move-up buyers can still take advantage of up to $6,500 in tax credit.
As agents we need to explore all avenues to inform prospective buyers on how to leverage the most from their tax refunds. Our role in educating the public can be accomplished in many ways.
1. Mail, email or call your sphere of influence on the advantages of purchasing now and ask them to send the information on their friends, family and colleagues.
2. Contact last year's buyers and sellers and provide them with a copy of their closing documents to assist them in completing their taxes. Include a note asking for referrals.
3. Contact past sellers and buyers and educate them on taking advantage of tax credits for moving-up, refinancing with lower interest rates or buying that 2nd home or investment property they have talked about. You can help them by placing a referral to another agent if they are looking in another market.
4. Contact renters as they may not know if they can make a purchase.
Timing is everything and there is no doubt there is no better time to be buying and selling real estate!
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