Posted by: Meena Gujral | December 5, 2009

Should I sell my house now or wait till Spring of 2010?

If you haven’t asked your for free list of homes for sale in Fremont to see how much your home is worth, you can sign up here: List of Homes for Sale.

Good News for sellers:

More homes are selling and they are moving more quickly than a year ago. Existing, single-family home sales increased 1 percent in October to a seasonally adjusted rate of 562,400 units on an annualized basis.

The statewide median price of an existing single-family home increased 0.3 percent in October to $297,500, compared with September 2009.

C.A.R.’s Unsold Inventory Index fell to 4 months in October, compared with 6.1 months in October 2008.

“Home sales historically trail off during the fall and winter months as we move to the off-peak season for the housing market,” said C.A.R. President Steve Goddard. “However, with affordable home prices, mortgage rates hovering around 5 percent, and the extension and expansion of the federal tax credit, we expect first-time and move-up home buyers to drive home sales through the end of this year and into early 2010.” For the first-time since July 2007, sales of homes priced $1 million or more rose in year-to-year comparisons.

“California’s median price rose for the eighth consecutive month in October and sales continued to show strength, signs that California has hit and passed the bottom of this real estate cycle,” said C.A.R. Vice President and Chief Economist Leslie-Appleton-Young. “The number of distressed sales as a share of total sales has shown considerable improvement since the beginning of the year, as a result of loan modifications and other efforts to prevent troubled mortgages from going into foreclosure. This has led to a decline in inventory levels since the start of the year that is more consistent with the price gains we have seen in recent months.”

Great news for buyers:  The Mortgage Protection Program has been extended through 2010.

To continue to provide first-time home buyers with peace of mind when purchasing their first home, the CALIFORNIA ASSOCIATION OF REALTORS® Housing Affordability Fund has extended the Mortgage Protection Program (MPP) through December 2010.

Through the C.A.R. Housing Affordability Fund’s MPP, first-time home buyers who lose their jobs due to layoffs may be eligible to receive up to $1,500 per month, for six months, to help make their mortgage payments. A qualified co-buyer also can participate in the program, and receive a monthly benefit of $750 per month for up to six months.

TO QUALIFY FOR THE MORTGAGE PROTECTION PROGRAM APPLICANTS MUST:
Be a first-time home buyer – someone who has not owned property in the last three years
(includes co-buyer).
Open escrow April 2, 2009, or later, and close on or before December 31, 2010
(purchase agreement cannot be dated before April 2, 2009)

Use a California REALTOR® in the transaction
Purchase the property in California
Be a W-2 employee (cannot be self-employed)

Housing affordability reaches 70.1 in third quarter.

Housing affordability stood at 70.1 percent nationwide in the third quarter, according to the National Association of Home Builders/Wells Fargo Housing Opportunity Index (HOI) released last week.

That means more than 70% of all households in the country can afford to purchase a home. When you consider that so many families are settled in homes they purchased years ago at much lower prices, the percentage of people being able to achieve the American Dream of homeownership is even higher.

Low Interest Rates.

Interest rates have been historically low all year. Average conventional mortgage rates have hovered between 5 and 6 percent through most of 2009 and are currently below 5 percent. Interest rates can have even more impact on the actual cost of homeownership than sales prices.

Extension of first–time home buyers’ tax credit.

First time home buyer $8000 tax credit has been extended till April 30, 2010. Homebuyers who are in transactions of that date can close escrow on or before July 1, 2010 to get the tax credit. The amendment establishes income limits of $125,000 for an individual or $225,000 for a couple. So far an estimated 1.5 million buyers who purchased homes in 2009 are expected to claim the credit and the numbers are growing because of the extension.

New Tax credit for existing homeowners.

Homeowners that have lived in their home for 5 out of the last 8 years can get a tax credit of $6,500 when they buy another home as long as it is going to be a primary residence. In other words the buyers do not have to be first time home buyers. This means, current homeowners who want a home that is larger or smaller or in a different location may be eligible for this tax credit.

Extension of higher conforming loan limits.

Congress has agreed to extend the conforming loan limit from $417,000 to $729,750 through 2010. As you probably know jumbo rates are expensive and more difficult to obtain.

If these are not enough reasons for any buyer or seller to seriously consider buying or selling a house NOW, I wonder what is.

Are you looking to do a short sale? I specialize in Short Sales. I have had a 100% success rate with my short sales. Are you a For Sale By Owner? I can show you ways of selling through Help-U-Sell to save thousands of dollars and sell your home quickly for a low set fee.

Please call Meena Gujral (California Realtor) at 510-279-9580 if you are looking to buy or sell a home in Fremont, Castro Valley, Pleasanton, Dublin, or anywhere in the Alameda County or go to my website at:

Fremont homes for sale

Homes Sold by Meena in Fremont

Fremont Realtors site

Advertisements

Responses

  1. Thank you for this blog, keep up the informative posting. I will be sure to reference it when needed throughout our website once we add our resources section. Keep up the great blogging and thanks again.

  2. You always amuse me when you write an article. And this time you did the same.
    I loved this article because you did not miss any important issue for such a topic. Its really great. I think everyone should read such topics who are interested to sell their home. Because there is so much new and updated information (according to me) in this post for selling home.

    This is really new information to me that very first time home buyer $8000 tax credit has been extended till April 30, 2010.I think this is really a good news. Now first time home buyer will get some more time. This information or news will relax to them, no doubt!
    And this is really great news for all that congress has agreed to extend the conforming loan limit from $417,000 to $729,750 through 2010. I mean…it approximately double amount!
    Last of all, I thank to you for such a great writing. I hope I will get more writing from you in short future. I also hope that like other posts, those will have updated and instant information, which will help us to take decision.

    I will also inform and invite others to visit this article. I am sure they will get benfit from this article as other articles.
    And thanks once again.


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Categories

%d bloggers like this: