Positive news about the real estate market hit the front page of the Indianapolis Star today. In the article, “Realtors: First-timer tax credit recharging home sales” Star writers discuss the impact of the $8,000 tax credit on the local real estate market.
“First-time homebuyers enticed by an $8,000 tax credit are stabilizing the real estate market in Indiana and across the nation, and agents anticipate an even bigger sales surge before the tax break expires Dec. 1.”
We have found this to be true with our clients as well. Buyers are eager to take advantage of the $8,000 tax credit prior to its expiration and are making the most of the area’s plentiful housing opportunities.
“Low mortgage interest rates and declining home prices are also attracting fence-sitters to the closing table, said Walter Molony, spokesman for the national Realtors group. But ‘the tax credit has really been the encouragement that is needed,’ he noted.”
Buyers are not the only ones benefiting from the $8,000 tax credit. Our sellers are also seeing an increase in showings as well as internet traffic.
“Sales to first-time buyers are up by a third over normal times, according to estimates from local agents, accounting for 40 percent or more of all sales of existing homes in the metro area.”
Historically low mortgage rates and abundant opportunities are not always enough of an incentive. One of our recent clients, Greg, a proclaimed “renter for life” decided that the $8,000 tax credit was too good to pass up and has purchased a home. The $8,000 tax credit made the difference is his decision to remain a content renter versus a new homeowner.
The $8,000 tax credit is only applicable to transactions that close prior to Dec 1, 2009. To make the most of this incentive and insure ample time to get to closing, do not delay in beginning your home purchase. Contact David Brenton’s Team today to get the process started.
