New Cash and Home buyer Programs

New Cash and Home buyer incentive programs provide a good reason to take advantage of homes for sale

 Home purchase Incentives over the next 90 days

 Recent efforts to stimulate home sales by paying homebuyers have grown.  Many people already know about the $8,000 first-time home buyer tax credit and the $6,500 trade up credit. 

5 questions that quickly help determine eligibility:

  1. What type of house are you planning to buy? (Options include single family house, condo, co-op, townhouse, multifamily home, manufactured home, such as a houseboat, trailer or mobile home, or other.)
  2. Are you planning on living in the home for three years?
  3. Are you planning on buying from a corporate entity you control, from your close relatives (parents, siblings, grandparents, great-grandparents, children, grandchildren, or great-grandchildren), or from your spouse’s close relatives?
  4. Are you planning to buy a house that costs $800,000 or less?
  5. Will you be under contract by April 30, 2010? (You can close up until June 30, 2010, but must be in a legally binding contract by April 30.)

New Cash & Incentives

A new program to assist home buyers includes a Government Sponsored Enterprise that provides up to 3.5% of the final home sales price to the buyer.  This money can be used to purchase appliances for the new home or can be applied toward closing costs of the new home. 

 Shrinking Inventory

The number of homes for sale in local communities is steadily declining.  Altos Research reports that there are 20 percent fewer homes are on the market now than in 2008.

 While some people are waiting for “Shadow Inventory”  homes becoming available as a result of another burst of home foreclosures. Scott Sambucci, VP of data analytics at Altos Research, believes that banks are aware that a sudden jump in the number of homes on the market could be detrimental to already low property values. 

 Multiple Offers

 With prices already low and incentive programs available, multiple offers to purchase an n the same home is increasing.  It is not unusual for a home buyer to see a low price home and get out bid for the home.

 Realty World Complete Services can quickly help home buyers find out if they qualify for incentive programs. In addition, we can assist you through the mind field of home purchasing and selling. If you are planning to take advantage of the buyer incentive programs, timing is everything. Remember the average purchase take 30 days.

Derrick Holt