Yayyyyy.....foodstamps for everyone!

See highlights here - sure thing at this point:

YES!!! Bill passes yesterday to extend & expanded just waiting President Obama signature. Wonderful news! Now you won't miss out!

Cindy Goree Black
Associate Broker
William E. Wood & Associates
Virginia Beach, VA
757-478-1600
cindyblack@williamewood.com
Experience Counts!

The answer just in from Obama.

No.

Natedogg,
The real question you should be asking is "Do I have a need to buy a home now, versus the following year?" If you really don't have a need to buy, or even more important, the ability then the $8,000 you may get isn't a good enough incentive. That's your first qualifier, second is the value of money to you.

The likelihood is that the credit WILL END on November 30th as originally intended. When that occurs, most of the first time buyers that either didn't get the memo or were just riding the fence about making a purchase will have far less incentive to make a purchase than they do now. When that happens, just as simple economics tells us, the demand for those homes will go down...this translates into a bit of a price dip in the market.

The likelihood that the home you may want to purchase will be a good $8,000 cheaper than it is right now, and probably double that.

The trick here is that that $8,000 to $16,000 hypothetical savings will reasonably translate into about $60-120 less expensive in a mortgage payment. Dividing out a break-even point would be just over 5 years on the short side to make that back up.

The other side of the coin with the scenario is that if you buy now, you may be paying more for the home you purchase, but you also get up to $8,000 right now! If the economy dips and you need to pull from that $8k, you can. If you wait, that $16k less isn't going to help you in the immediate future.

The long and short of it is that if you don't act now, you could be missing out on $8,000 cash in hand. If you wait, you may get this "phantom" $15,000 that has been kicked around, but there's no guarantee that it's going to be there. If you wait till Dec or later, you may be able to get a home for less money, but you don't have $8,000 from Uncle Sam in your pocket.

Here's another snag in the argument...as of January '10, guidelines for purchasing WILL change. The Debt-to-Income ratios will be tweaked a little, so what you can afford right now is considerably higher than what you will be able to afford next year. That right there is the kicker for me in this scenario is that when it's harder to afford the same house next year that you can afford this year, NOW is the time.

Another note is that the chance of Interest Rates going down next year is very unlikely. That means again that what you can afford later is lower than what you can afford right now.

The choice is yours, but I would take advantage now!

Rob Rathbun
Coldwell Banker
Denver, CO

Keeping the home-buyers credit and broadening it has been a priority for real estate agents and the home builders lobbies, and for Mr. Reid, who faces a tough re-election race next year in a state that has been among the hardest hit by the housing crisis since mid-2007. In a statement after the White House meeting, Mr. Reid said the government should “continue efforts to strengthen the housing market by extending the home-buyer tax credit.”

The home-buyers credit has come in for criticism similar to that lodged against another popular stimulus program, the “Cash for Clunkers” subsidy that went to people who traded in vehicles for more fuel-efficient models — that the credit persuades people to act faster on purchases, depressing activity later.

http://www.nytimes.com/2009/10/08/us/politics/08stimulus.html?hpw

God help us if an (unlikely) extension happens.

The NAR and NAHB would have you think this money is coming out of thin air. It's not. We all still have to repay this money (via taxes). If we have to repay this money anyway, we should just make it a part of the mortgage payment.

It's just incredible how unclearly some people see this situation and that so many people look forward to these government handouts.

This just in today: The estimated number of additional home sales attributed to the tax credit is 200,000. This not only helps you, the home buyer, but also the economy in general because the estimated increase in jobs is 187,000. Therefore, the National Assoc. of Home Builders is pushing for an extension to Nov. 2010 and for all purchases of principal residences.

According to Robert Gibbs, who is the White House Press Secretary, President Obama is considering an extension due to this success.

Still, it is important to wait for the Bill to pass before one takes action. Not a done deal until it is.

I specialize in helping first-time homebuyers in the greater Houston area personally, or anywhere in the world through our relocation dept. Please contact me today if you are considering buying your first home, or if you have a starter home to sell.

Linda@LindaFath.com. http://www.LindaFath.com.




Read more: http://rismedia.com/2009-10-07/builders-ready-to-work-with-w…

There is hope that the tax credit will be extended but certainly no guarantee. You still have time to find a good home and qualify for the credit as long as you close by November 30th. There are many great deals to be had but as I am sure you know, the homes in the 200 - 250 price point are disappearing quickly.

Let me know how I may assist you.

Nelene Gibbs, Realtor e-Pro
William E. Wood & Associates
757 672-3232
mail to: nelene@homesbynelenecom

Hi Nate, First, no one has a crystal ball, and speculation regarding home prices in either direction, to my mind, is a slippery slope. Instead, I suggest a simple test. Is the home you are interested in purchasing going to cost you on a monthly basis about the same amount (or even better, less!) than the rent you are currently paying? I bought my first home in 89, where upon the market promptly dropped 30% in value over the next 4 years. However, I was paying 1500 a month rent, my mortgage was 1400, and I loved the home so much, and I did not need to sell, so home valuation made NO DIFFERENCE to me, and in fact, I was SAVING 100 dollars extra a month. After the market came back, well, I do not have to tell you what happened, that house tripled in value. Even now, I can sell it for twice what I paid for it. I now rent it for 1400 a month.

So yes, if you are buying the home for speculation purposes, it may not make sense today, even with the tax credit. BUT, if you are buying your home to live, and have no plans to sell over the next 3 to 5 years or more, AND you are paying a similar amount to your rent, my simple suggestion is buy. Hope this helps you, Jim.

Nate:

I forgot to mention that home values are projected to drop another 8 to 13% over the next year without accounting for the effects of the tax credit, so buying now vs. buying later means looking closely at whether you NEED to buy now.

Here is a recent Bloomburg article to read:
http://www.bloomberg.com/apps/news?pid=20601087&sid=aw6_…

Nate:

The day the tax credit expires is the same day that property values will decline in response. So don't worry about it, you are not going to lose either way.

If the real estate market can't function without this welfare program, as the NAR would have you believe, that only means that prices will further decline and offer even better bargains to buyers in 2010.

I believe waiting until it expires will actually be the smarter move.

Jeff

Dear Nate,
At present no extension on the $8000 Tax Rebate is finalized. The National Realtors Assoc., and a number of other prominate organizations are pushing hard for an extention to 2010. There is at this time there is no sure answer. We are writing to our Senators and Congressmen to push this option. I find it personally a tragedy that you had a month to buy a $20,000 auto with a $4500 Rebate, and yet the Housing Market is the Engine to move the economy with only $8000 for a $250,000 home. There is discussion to extend the amount of time, as well as the amount of money for Home Buyers. No promises as yet. You must have a reason for waiting, I'm sure, but a "bird in hand" is a surety, and the extention is a hope. Call me at 757-474-0040, as I work mostly in Virgina Beach. Let's see what options you have.

Betty Stern,CRS,GRI
Associate Broker

Yes, NAR, NAHB and others are pushing for an extension. But there are no guarantees that it will be extended nor for what amount. You can take the Vegas option and wait (gamble) or you can take the "a bird in hand is better than 2 in the bush" option and take advantage of the existing tax credit now - that's your call.

Natedogg,

The National Association of Home Builders and the National Association of Realtors want to persuade Congress to extend and maybe even broaden its coverage to include not just first-time home buyers and also to increase the amount to up to $15,000.

But with the opposition and fillibusters, nothing in the government is a sure thing until it's a done deal.

Linda Fath, Agent
Coldwell Banker United, Realtors
Linda@LindaFath.com
281.259.0488