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This is it - the end of the Homebuyer Tax Credit

By
Real Estate Sales Representative with W.C. & A.N. Miller Realtors, a Long & Foster Co.

It appears that there's little hope for an extension of the now infamous "Homebuyer Tax Credit".  Every
Realtor, Settlement Attorney, and Lender is crazy busy through Wednesday as you've got to settle by 6/30 to be eligible for the credit.  Although the credit certainly seemed to boost home sales in the $800K and below price range, the reality of the situation is that it's still a great time to buy a home.  In most cases buyers can negotiate the list price down these days. 

For example, if you had purchased a home for $800,000 this month, you would have been eligible for the  1% tax credit ($8000).  That was the maximum buyers could receive with the credit.  Don't get me wrong, $8000 is a lot of money, but if you're looking to buy a home now all is not lost.  Even though the credit is going away, there's still plenty of room for negotiating the sales price down somewhat in today's market.  Interest rates are still incredibly low. Jumbo loans are available again, and the rates on those are even amazing.

Personally, I'm optimistic that things are turning around for our economy as a whole.  Although home sales continue to be slow in the over $1.2 million price range, homes under $1.2 million sell fairly quickly if they are well maintained and staged to show well.  Buyers are out looking.  My Open Houses have been very, very busy over the last several months.  That's a good sign.  I'm hopeful that although the tax credit is ending, we'll continue to see the local housing market recover nicely.

Wish you and yours all the best,

Colleen Barlow, Realtor

W.C. & A.N. Miller Realtors, a Long & Foster Co., 10200 River Rd., Potomac, MD 20854

Aaron Silverman
SuccessfulRental.com, Bluewater Property Management, LLC and Lowcountry Turnkey Properties, LLC - Charleston, SC
Improving Real Estate Experience through Education

I am glad the tax credit is expriring.  100% financing helped land us in the housing mess we are currently in, and they tax credit is another way to help people receive 100% financing.

Buyer activity is a very good sign for your area.  Good luck, and hopefully the activity remains at an elevated level.

Jun 28, 2010 04:31 PM
John Pusa
Glendale, CA

Colleen - Tax credit helped many people buy their first home. However, some buyers took risk got into homes.

Jun 28, 2010 05:24 PM
Ryan Smith
Allison James Estates & Homes - Temecula, CA

Would you buy a house just for the tax credit?  I think some buyers have lost sight of the real prize....it's the house, not the credit.  Just my opinion.

All the best!

Ryan Smith from Temecula, CA

Jun 28, 2010 05:59 PM