The new stimulus bill has definite benefits for today’s first time home buyer. This could mean great things for both first time home buyers AND sellers.
Buyers: If you are a first time home buyer and had heard of the $7500 tax credit (which was a 5 year interest free loan) you now have an upgraded offer: $up to $8000 in your pocket AND its not a loan! Yo can learn more about this at: http://www.realtor.org/government_affairs/gapublic/american_recovery_reinvestment_act_home#taxcredit
Sellers: With today’s market being an incredible buying opportunity, all sellers feel they are in the same boat shouting “Pick Me, Pick Me!!!” Well the great news is that buyers may have just been encourage to take action and do just that. For the West Michigan and Grand Rapids areas the “first time homes buyer market” primarily is at $175k and under. In some cases professional, dual income home buyers may touch upon $200k but we are seeing most stay at $175k and below. With the new $8k tax credit this buyer group has been called to action. Couple this with the banks making an effort to reduce the number of foreclosures on the market an the market could potentially loosen up over the next 6 months.
Lastly, for sellers in the mean time – prior to your home selling, you may consider a refinance. If so the stimulus bill may have something in it for you too. You can find our more at:
http://www.nytimes.com/interactive/2009/02/18/business/0218-housing-graphic.html
As always please feel free to email us your questions.