For god’s sake, let’s move on!

By
Real Estate Agent with RE/MAX Professionals.

 

All this talk about extending the $8000 tax credit makes my skin crawl. Every time I see this on TV my phone quits ringing. Extending, does take the urgency out of the program which will make the true fence sitters extremely happy. Why make a decision today, when you can wait 6 months?

Maybe I’ve been too harsh on the fence sitters. Maybe these people actually want to live within their means. Credit got us into this mess, can it bail us out?

Are the fence sitters really indecisive or is it they can’t qualify for a home loan. After all how many first time buyers can qualify these days. Interest rates are advertised at very low rates. Do you realize that to get that low rate you must be super qualified? You may qualify for a loan but at a rate 2% higher and with a large down payment. That is a huge jump in a monthly payment! Does it make sense economically?

Like so many programs, I’m sure we could improve this program that could be expanded. If you like throwing money at problems, like housing, I’m sure we could entice more home owners and investors to buy houses.

Let this program expire! Bring me something new to excite house buyers. Don’t restrict it to first time buyers, they’ve had their chance. Let’s develop a program that expands the pool. If housing can spur the recovery why should we limit the fuel to ignite the recovery?

Remember, cash for clunkers was extended 2 weeks, did that make it a great program?

 

 

©2009 Paul S. Henderson, For god’s sake, let’s move on! All Rights Reserved

 

Authored

Posted by

 and courtesy of 

Paul S. Henderson, Residential Real Estate Broker 

Tacoma Washington 

Realtor ® BPOR, CRS, GRI, CDPE

RE/MAX Professionals

4801 S 19th Street, Suite 200

Tacoma WA. 98405

 Paul S. Henderson, REALTOR®, RE/MAX Professionals, Harstine Island, Washington's preferred real estate Agent and Broker

Paul's Service Area

 

As a Residential Broker and Relocation Specialist, I sell homes in or around ,Tacoma, Gig Harbor, Lakewood, Steilacoom,  University Place, DuPont and Hartstene Pointe in Washington State.
Please visit my website at Paul Henderson to search for homes and information 

(all information is believed to be accurate but is not guaranteed or warranted in any way)

Referrals are always welcomed and appreciated, Thank-you!

(As a member of the NWMLS, this blog post is intended to comply with NWMLS rules as pertaining to blogging.)

isspfmtysmily

iaa

 

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Rainmaker
255,565
Kristi DeFazio
RE/MAX Advantage - Colorado Springs, CO
Colorado Springs Rea lEstate 719-459-5468

I agree. I wish there was a way to teach first time home buyers how to save for a downpayment! I have so many wanting to get into the market with zero cash. I think that is what got us into this mess we are in.

Sep 17, 2009 02:46 AM #31
Rainer
44,783
Derek Meyer
AmeriTitle - Bend, OR
AmeriTitle

Great Post!

I think that there should be a sense of urgency that the program will expire. Its a great way to continue to stimulate sales. My hope is that come first of the year they get something new and exciting maybe for all buyers. In my neck of the woods, sales are great for first time home buyers. Sales are also great for distressed sales. But there is a bottleneck for anything between 250-400k. It would be great if they attempted to stimulate all home sales.

Sep 17, 2009 03:26 AM #32
Ambassador
1,695,658
Tammie White, Broker
Franklin Homes Realty LLC - Franklin, TN
Franklin TN Homes for Sale

I agree extending the tax credit takes the urgency out of buying.  Let it expire and move on.

Sep 17, 2009 03:52 AM #33
Rainmaker
671,195
Sandy Shores FL Realtor®, Melbourne Real Estate
M & M Realty of Brevard Inc. - Melbourne, FL
Brevard County Real Estate, Florida's Space Coast

Paul, I agree with you that talking about extending the tax credit does take the urgency out of the situation and it is making many first time buyers fence sit.  So true. 

Sep 17, 2009 04:07 AM #34
Rainmaker
652,899
Patricia Aulson
BERKSHIRE HATHAWAY HOME SERVICES Verani Realty NH Real Estate - Exeter, NH
Realtor - Portsmouth NH Homes-Hampton NH Homes

I'm with you on  this one!   I'm sick of reading/seeing/hearing every day about this tax credit!!

Are we suppose to do a "daily countdown?"

As  you said....enough is enough!

Patricia

Sep 17, 2009 04:23 AM #35
Rainmaker
1,278,099
Nick T Pappas
Assoc. Broker/Broker ABR, CRS, SFR, e-Pro, @Homes Realty Group, @HomesBirmingham & Providence Property Mgmnt, LLC Hun... - Huntsville, AL
Madison & Huntsville Alabama Real Estate Resource

I agree with Mike S. above that those in the military out of the country should be allowed a grace period when returning home.  If it is to be extended, do it on Nov. 30th with no pre deadline hype about it.

Sep 17, 2009 04:35 AM #36
Rainmaker
291,823
Darrell Walters
W. Darrell Walters - Newnan, GA

I have talked with a few first time home buyers (including my client closing today) that say they are going ahead becuase there may not be another tax credit. Others think that if they wait it will still be there and maybe an even greater amount. 

Sep 17, 2009 05:01 AM #37
Rainer
408,137
Gabriela Agostinelli
RE/MAX100 - Leonardtown, MD
your full time agent!

Great point! I think this tax credit is afecting the short sales and foreclosure listings...

Sep 17, 2009 05:40 AM #38
Rainer
413,624
Terry Miller
Miller Homes Group - Tyler, TX
Miller Homes Group and Tyler Apartment Locator

They need to let it go away or do something with long term teeth. The phone has quit ringing.

Sep 17, 2009 06:29 AM #39
Ambassador
890,118
Lane Bailey
Century 21 Results Realty - Suwanee, GA
Realtor & Car Guy

It needs to stop.  We need to get back to letting the market work.  In fact, we need to have the new construction starts DROP some more.  It is going to hurt, but otherwise we are going to have to play this game forever. 

Sep 17, 2009 06:53 AM #40
Rainmaker
1,555,731
Carla Muss-Jacobs, RETIRED
RETIRED / State License is Inactive - Portland, OR

The $8,000 credit has hurt my deals in a lot of ways.  I think I'm going to write a blog about it . . . thanks for the inspiration!

Sep 17, 2009 08:55 AM #41
Rainmaker
3,236,042
Lou Ludwig
Ludwig & Associates - Boca Raton, FL
Designations Earned CRB, CRS, CIPS, GRI, SRES, TRC

Paul

The program needs to end on November 30th.

Good luck and success.

Lou Ludwig

Sep 17, 2009 11:13 AM #42
Anonymous
William Van tol

Your right let it die.  Who needs a tax break when you can get a short sale and save more than 8k!  Especially when I can process them for free from start to finish in my short sale department.  All 50 states!

Sep 17, 2009 03:03 PM #43
Rainmaker
1,077,478
Sharon Alters
Coldwell Banker Vanguard Realty - 904-673-2308 - Fleming Island, FL
Realtor - Homes for Sale Fleming Island FL

It certainly has been an incentive to bring buyers out of the woodworks, but now they are thinking that it might be extended and that is taking away some of the urgency.

Sharon

Sep 17, 2009 03:15 PM #44
Rainmaker
325,715
Esko Kiuru
Bethesda, MD

Paul,

If they come up with another mortgage program, it ought include all buyers. That would give the real estate market even more kick than what this one did.

Sep 17, 2009 04:14 PM #45
Rainmaker
347,545
Melanie Ross
Coldwell Banker Solano Pacific - Benicia, CA
Benicia CA & Vallejo CA Real Estate, 707-319-2828

Our inventory is so low and has been for several months.  Many buyers are desperate to buy but cannot compete against the investors paying cash for homes or buyers who will lose out because the short sale is not approved in time.  We have buyers who have been off the fence for the past 6 months, there is just not enough market to go around for them to close in time.  We counsel them about not seeing the forest for the trees.  Cash is king, conventional is next, maybe fha and forget VA.

Sep 17, 2009 04:58 PM #46
Rainer
39,576
Matt Yogerst
RE/MAX Realty 100 - Menomonee Falls, WI
Metro Milwaukee Real Estate

I agree the program needs to end on Nov 30th, but why do we need a Govt bail out to move things? People will buy when prices come back into line, back to earth. The Govt is just trying to delay the Bubble Popping and it only will enlarge it into a bigger bubble. Let capitalism work itself out and not enslave our futures to the tax mongers.

Sep 17, 2009 05:24 PM #47
Rainer
162,577
Megan Izdebska & Hanna Manoufar Chandler, Scottsdale Real Estate Agent
United Brokers Group - Chandler, AZ
Double Commitment. Double Results.

Great point! It should expired on the 30th. We have no problems working with a new program.

Sep 18, 2009 06:03 AM #48
Rainmaker
354,231
Damon Gettier
Damon Gettier & Associates, REALTORS- Roanoke Va Short Sale Expert - Roanoke, VA
Broker/Owner ABRM, GRI, CDPE

It needs to expire.  Let the market correct itself.  You cannot force the econmy to heal...take the band aid's off and allow the economy to breathe and heal at its own pace.

Sep 18, 2009 04:06 PM #49
Anonymous
Jaclyun Kelley

What about all of those first time home buyers who have had an offer on a short sale for the last 6 months waiting for the lender to get it together! Here in the Florida Keys most first time homebuyers are priced out of the market, these short sales and the tax credit have opened doors for them, let's not slam it shut! I have also worked with those whom do not qualify for the tax credit and should. If there is a plan that would help everyone out, then I'm in until then, extend the credit!

Sep 21, 2009 05:38 AM #50
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