With the $8,000, first time home buyer tax credit quickly coming to an end, (buyers must “Take Possession” no later than December 1, 2009) the pool of buyers is most likely to dry-up fast.

Unless buyer’s have an aggressive marketing plan, a competitively price property, that is in top shape, they may be waiting a long time before they receive an attractive offer.

Recently we sold three homes in less than one week, but it took us three or more weeks to get the home ready for the market. The owners needed to first work with our stager and next came all the cosmetic fixes that make the difference between a sale and disappointment. Now, more than ever, homes find themselves in beauty contests.

One additional note, real estate is local, and sometimes really local. This is why we are always on the lookout for new and better tools for our clients…both buyers and sellers. Our weekly market reports by zip code are a must for all buyers and sellers that need to stay up to the minute on price. The nice thing about this report is it breaks price down in many different ways including by price quartile. As we all know homes in the lower price range have been moving much quicker than homes at the upper end…this report breaks out that difference.

OK…let’s look at some charts to see exactly what we are talking about:

Below, I’ve constructed a chart that shows the trend in three areas, Dublin, Westerville and New Albany.

As can be seen here, Westerville has faired better than the other two and has started an upward trend, while Dublin has suffered, has also started an upward trend. New Albany continues to tail downward.

We will need to keep an eye on this and other charts as we approach year end and the last of the homes are sold under the First Time Homebuyers Tax Credit.

Here is what we know:

1.) To be eligible for the credit, you have to take POSSESSION by December 1st.

a.) When everything was working well, it took around 30 days to close a loan. These days, things don’t work that well and it’s not going to get better.

b.) Underwriters are scarce and banks aren’t about to staff up for the onslaught knowing there is a going to be a huge void immediately following November 30th.

c.) It will take at least 45 days to close and most likely 60 days.

For better or worse, we don’t have a stake in the $8,000 tax credit game. You do though.

You have the opportunity to change your life for the better. You have been on one of our many home search sites, talking with us, gathering information, preparing yourself to take advantage of low interest rates, attractive home prices and the $8,000 tax credit. The moment of truth is quickly approaching…do you really want to make that move into home ownership. If the answer is a comfortable yes, you need to be taking action right now…just finding the right home can take weeks under the best of circumstances. The negotiating process can take an additional week or two. The loan approval process, home inspections and needed repairs before closing can take up to a month or more. From beginning to end, with most everything going right, you are looking at a three month process.

As of August 15, 2009 we are requiring all of our buyers and sellers to acknowledge that the time is short and that they may not qualify for the tax credit because of the time element and circumstances involved in closing a home purchase transaction in today’s difficult environment. This is especially true for buyers considering the purchase of a bank involved short sale.

So, if you are truly serious about purchasing a home and qualify for the $8,000 tax credit, we suggest that we meet as soon as possible to map out a plan of action. That way, come December 1, 2009, you won’t be on the outside looking in.

Here to help when the time is right for you.

Carol Ciroli
www.TheColumbusMLS.com

FIRST-TIME HOMEBUYER TAX CREDIT
As Modified in the American Recovery and Reinvestment Act
Major Modifications Bolded
February 2009

Remember to always check with your tax advisor on all these items, especially the dates involved. Remember, if you would like for us to send you a copy of our $8,000 Tax Credit Report you need to either Email Us or phone 614-212-7701.

• Would you like to be set up on auto notifications to receive updates when hot deals hit the MLS? We can set that up for you.

Our goal here is to provide you with the tools necessary to understand the many benefits associated with home ownership.

We will be here to answer any questions you may have throughout this process, and offer assistance when the time is right for you.

We will be holding our Buyers Seminar on Sat. March 28th from 10AM-11AM. We will have a planned discussion for the first 30-45 minutes then open the floor to answer any specific questions you may have. This will be brief and very informative, so reserve you seat now.

Seating limited to first 25 people to RSVP. Please call 614-212-7688 to reserve your seat.

We look forward to seeing you on the 28th.

Robb Harpster
BSBA in Real Estate
and Urban Analysis

Exit One Realty

If you doubt that homes are “bought” more than “sold”, I ask you to think back to the last time someone walked up to you and sold you a $300,000 product you were not looking to buy.

There are seven reasons homes don’t sell, or are NOT BOUGHT:

7. Fear

We have produced this special presentation in three parts that explains each of these reasons and how they impact the sale of your home. To receive your special report discussing this topic just CLICK HERE.

If you would like our report on purchasing power just Email Us or call us at 614-212-7729.

Remember the best way to search the local home market is at www.TheColumbusMLS.com.

$8,000 to new buyers: This credit is equivalent to 10 percent of the purchase price of the home–although it’s capped at $8,000–and applies only to first-time home buyers and principal residences. But unlike an earlier $7,500 home buyer tax credit, this one does not have to be repaid.

I hope you enjoy our presentation. If you have any questions please e-mail us and we will send you our report on the $8,000 tax credit. Contact Us

As always, you can view all the homes available in the Columbus Board of Realtors at www.TheColumbusMLS.com.