First Time Homebuyers Tax Credit - Did We Forget Something?
The latest Case-Shiller report on home values from long ago. News story after news story about home values falling in January of 2011 compared to January of 2010 that are not telling the whole story.
Here is their official Home Value Report:
“Keeping with the trends set in late 2010, January brings us weakening home prices with no real hope in sight for the near future” says David M. Blitzer, Chairman of the Index Committee at Standard & Poor's. “With this month’s data, we find the same 11 MSAs posting new recent index lows. The 10-City and 20-City Composites continue to decline month-over-month and have posted monthly declines for six consecutive months now."
“These data confirm what we have seen with recent housing starts and sales reports. The housing market recession is not yet over, and none of the statistics are indicating any form of sustained recovery. At most, we have seen all statistics bounce along their troughs; at worst, the feared double-dip recession may be materializing. A few months ago we defined a double-dip for home prices as seeing the 10- and 20-City Composites set new post-peak lows. The 10-City Composite is still 2.8% above and the 20-City is 1.1% above their respective April 2009 lows, but both series have moved closer to a confirmed double-dip for six consecutive months. At this point we are not too far off, and that is what many analysts are seeing with sales, starts and inventory data too.
Hello David.... did you mention anywhere in the report that this time last year there was a $8,000 first time homebuyers tax credit in place?
Some of us knew this was going to take place. Some of us understand what happens when you subsidize housing. Unless what is offered is continued forever.... there is going to be a bump up in pricing and the market will be temporarily manipulated. When it's all over.... home values will just end up the direction that they were destined for. .
The Joys of the Business News Streaming non-stop
All day long... all I heard was talking heads with the news concerning the latest Case-Shiller results showing a drop in housing prices... YET... NOBODY mentioned that this time last year, there was a $8,000 Tax Credit for "first time" home buyers.
Government Home Programs only delayed the inevitable... those of us with a clue get that. How the big banks and service lenders have handled The Short Sale Fiasco has been a failure... those with a clue get that.
We'll be hearing more of the same through April since the deadline for the tax credit (to have something in contract) was 04/30/2010....
ALL Because this time last year.... there was an $8,000 tax Credit in play.
Coming soon we'll start hearing about a Double Dip, Politicians will be pandering for votes with another program or some other form of subsidy and some self serving real estate related interest groups will be pushing for one to help "save" housing.
The reality is though... the first one was a failure at a huge expense. But don't worry, the Banks made their money.
What Does It Really Mean when it comes to Real Estate?
It means the manipulation of real estate values SHOULD be over. It means "help" at an outrageous expense should be enough. It means..... get out of the way, DEAL with the Short Sales and let's move on to a truly sustainable housing recovery without all of the interference.
It's tough love but the economy has dragged on for long enough.... and a big part of that is how Short Sales are being handled.
Las Vegas Short Sales Report -- Is this Really An Improvement in how the Banks and Loan Servicers are Handling them?
Paul Francis, CRS
Prudential Americana Group, REALTORS
Las Vegas Real Estate
Las Vegas Short Sales Information.
Summerlin Real Estate - Summerlin Real Estate & Homes for Sale
Summerlin Real Estate 89135 Year over Year Results March 2010 - Take a look at what is going on for Summerlin Real estate in the zip code of 89135 in Las Vegas.