Spring Market - Tax Credit

As spring approaches, the federal tax credit enacted by Congress will expire unless Congress decides to extend it one more time.  Overall, the housing market took a real hit in 2009 with values dropping in most cities.  The forecast for this year is also expected to be slow and steady.  The U.S. economy is trying to recover and the federal government is now working on a new job bill to help stimulate the economy.  As jobs return, so will consumer confidence, but don’t expect miracles or a surge in pricing. Expect interest rates to continue to remain low.

In Broome County, NY residential homes sales were down about 9% from the previous year.  For the last 4 years the market has declined in the number of homes sold despite being named one of the most affordable places to buy in the country.

We can all hope that homes values will continue hold their value, but there is no certainty.  It comes down to supply and demand, interest rates, consumer confidence, needs of buyers, etc..  So if you are planning to sell this year, get your home on the market early and see what the market brings.  Buyers on the other hand will have to choose from the  inventory available and should try to take advantage of the tax credits while they last.