From the Austin Real Estate Blog: in December, for the fourth month in a row, Austin real estate sales were up over the previous year. The average and median sales price were up 6 percent, and the number of active listings is down 5% from this time last year. With 1373 sales, December was still weaker than October (1783 sales) and November (1542 sales). The market’s strength is probably attributable to the Federal housing tax credit, which will expire. According to the Real Estate Blog, “For buyers the trade off is that later there might be less buyers to
compete with in the market later but interest rates might be higher.
For sellers there is no real trade off. Waiting a few months for higher
interest rates and less buyers is probably far from ideal.”

The Baltimore Sun has a good overview of the homebuyer tax credit, including five tips you’ll want to read, starting with “Don’t procrastinate.”

Getting your search started now will give you a better chance of finding the right house before the credit deadline. When first-time buyers thought the credit would expire Nov. 30, people scrambled to find properties in September and October, said Pat Lashinsky, chief executive of real estate brokerage ZipRealty. In some cases, “there wasn’t inventory that fit people’s needs,” he said.

Another great tip is near the end: “Don’t take shortcuts.”

Don’t forgo any steps take just to make the tax-credit deadline. Make sure the house is a good fit for your needs and get a home inspection, Lashinsky said. Skipping steps could cost you in the long run.

If you’re thinking about pursuing the new $6,500 tax credit that is available to some current homeowners who buy another home, I recommend that you also read USA Today’s overview of “frequently asked questions.”

This time the tax credit isn’t just for First Time Homebuyers!

A new bill extended the tax credit of up to $8,000 through June 30, 2010, and opens new opportunities.

Even more people are now eligible, because the amount of income you can earn has increased. The program also offers those who already own homes the ability to move to a NEW home — there’s a tax credit of up to $6,500 for qualified purchasers who have owned and occupied a primary residence for five consecutive years during the last eight.

Call today—get moving to get your tax credit now!

Who’s eligible?

Anyone who has not owned a primary residence in the previous 36 months, prior to closing and the transfer of title, is eligible. This applies both to single taxpayers and married couples. If owned property is an investment property or a vacation property, or if a couple is married but filing jointly, special rules will apply.
The tax credit has been expanded so that existing homeowners who have owned and occupied a primary residence for a period of five consecutive years during the last eight years are now eligible for a tax credit of up to $6,500 if they move to a new home.

Singles who earn up to $125,000 are eligible for the full credit amount, and partial credit for those earning up to $145,000.

Joint filers earning up to $225,000 can get the full credit, and up to a $245,000 limit can get partial credit.

For more details, give me a call! (512) 779-3518