62 days left for tax credit (short sale, real estate market, rent)

[Sergio M]

Don't miss this window of opportunity. Prices have come down quite a bit and interest rates are at a historical low. The market is very active and buyers still have a lot to choose from. Good Luck everyone!

[GiantRutgersfan]

Are the banks going to fast track properties in the short sale process to be finalized before this runs out?

[JERSEY MAN]

Originally Posted by Sergio M

Don't miss this window of opportunity. Prices have come down quite a bit and interest rates are at a historical low. The market is very active and buyers still have a lot to choose from. Good Luck everyone!

Serg, all kidding aside I'm watching CNBC and it's justed reported that last months sales are down 8% on existing homes. That followed sales being down 12% in December. If the market was very active as you put it you wouldn't have time posting this thread you would be busy with clients. But I do hope that housing and the overall economy does pick up.

[nemmert]

Originally Posted by GiantRutgersfan

Are the banks going to fast track properties in the short sale process to be finalized before this runs out?

Actually from what I've been told, banks are sensitive to that. There's also rumors floating around that if the home is under contract and going through the negotiations with the bank, there may be an extension offered on the closing by End of June requirement.

That would be great for seller's as it would lock buyers into the short sale more so than they typically are after the under contract requirement expires the end of April... if they want the tax rebate, they better ride out the short sale even if it takes 4 months!

[IanErikson]

I am betting they will extend it as the date comes closer

[bababua]

Originally Posted by IanErikson

I am betting they will extend it as the date comes closer

Honestly this would be a huge mistake. Extending the credit does nothing but waste tax dollars. People who will buy home will do so regardless of the tax credit. . I understand the govt doesnt want to see real estate get any worse but honestly they cant control the market by throwing money at it. Sooner or later they will have to stop and the situation will be worse. They should have just let things go and we could have been on our way up already instead of this situation that nobody knows what will happen. My prediction is, when the credit runs out the housing market will finally bottom out and we will see things were they really should be. Then and only then will things get better and we can work our way up. That is until the next get rich scheme come along.

[bababua]

Originally Posted by Sergio M

Don't miss this window of opportunity. Prices have come down quite a bit and interest rates are at a historical low. The market is very active and buyers still have a lot to choose from. Good Luck everyone!

This is no window at all. Once the tax credit expires buyers will just expect a bigger discount on the purchase price. Everything works itself out. Actually as a buyer you most likely will be going up against less buyers which we all know what that does to pricing. Low rates are great but again, rates go up prices must go down. The days of banks and people pulling cash from theirs butts is over. Thank God.

[tahiti]

Originally Posted by bababua

This is no window at all. Once the tax credit expires buyers will just expect a bigger discount on the purchase price. Everything works itself out. Actually as a buyer you most likely will be going up against less buyers which we all know what that does to pricing. Low rates are great but again, rates go up prices must go down. The days of banks and people pulling cash from theirs butts is over. Thank God.

I tend to agree with this and wholeheartedly agree with the bolded.

[elflord1973]

Originally Posted by bababua

This is no window at all. Once the tax credit expires buyers will just expect a bigger discount on the purchase price. Everything works itself out. Actually as a buyer you most likely will be going up against less buyers which we all know what that does to pricing. Low rates are great but again, rates go up prices must go down. The days of banks and people pulling cash from theirs butts is over. Thank God.

Right on the money (both in that it's a bad time to buy and a terrible misuse of resources). If you're one of those HGTV buyers who wants to buy with little to nothing down (e.g. extract a seller concession to push up-front costs close to zero), it's a great time to buy.

Otherwise, this tax credit is just blowing smoke into what's left of a dying bubble.

[bababua]

Originally Posted by elflord1973

Right on the money (both in that it's a bad time to buy and a terrible misuse of resources). If you're one of those HGTV buyers who wants to buy with little to nothing down (e.g. extract a seller concession to push up-front costs close to zero), it's a great time to buy.

Otherwise, this tax credit is just blowing smoke into what's left of a dying bubble.

I am really curious how bad the real estate market will get if they dont try and prop it up again. I am thinking pretty bad but who really knows? My general idea of this is that most people dont have any money at all. These people like elflord said are the people who are rushing out trying to get their hands on the 8k. My question is should these people be buying houses at all?
Not sure when this happened but renting and saving money has become equivalent to being on welfare. If you tell people you rent they look at you like you are leper. Did the media do this to us? What is it? I could care less about what people think of me and that would explain my financial situation. I really feel bad for those that listen to headlines and word of mouth to make THEIR decisions for them.