Pam's Prescott Blog

More than ever, December 2009 - March 2010 is THE time to buy a new or second home.  In fact, we have NEVER seen such a perfect storm of buying conditions. 

Here are four reasons why buying a home now may be one of the best financial decisions you will make this year:

1. The new home buyer tax credit

New home buyers can get up to $8000 in tax credits on the purchase of their first home.  But a new purchase MUST close by April 2010.

2. The EXISTING home owner tax credit

Existing home owners are now eligible for $6500 in tax credits being offered to people who have lived in their existing homes for at least five years and who plan on living in their new home in the near future.  You do not have to sell your home right now to buy another home; you must simply declare your intent to do so.  Again, your purchase must close escrow by April 2010.

3.  There are lots of great bargains out there, but they won't last forever. 

Right now there are still foreclosures available and prices for non-distressed homes are the lowest they have been in at least five years.  In many places they are 1/2 of what they were four years ago.  But the National Association of Realtors looks for sales to increase 10% in 2010 and for prices to increase, too.  Those who wait much longer will miss the bottom.

4. Rates are phenomenally low.

We have never seen 30 year fixed rates in the mid 4% range like we are seeing now.  With rates slated to go up in the next year, buyers may never find such cheap money again.

As a Realtor who Specializes in YOU, I cannot help but alert you to these facts.  If you have been considering a new home purchase, do not wait.  Get busy looking right now.