I expect significant changes in the housing market over the next 6 months driven by a variety of factors. If you are thinking about buying or selling a home soon – read on!
But first, York Real Estate is excited to team with CrossFit Central to host the ultimate in endurance challenges, “A Fight Gone Bad IV“. Come join us next Saturday, September 26th, 8:00 a.m., at Long Center in downtown Austin as hundreds of Austinites put their fitness to the test, and raise money for our excellent service men and women who have been injured while serving our country abroad. Click here to see a recent interview with Steve York regarding York Real Estate’s title sponsorship of “A Fight Gone Bad IV”.
Home loan rates remain low, but the end is in sight. The Fed, which has committed $1.25 trillion to the purchase of mortgage backed securities, has now spent $849 billion. This has artificially pushed mortgage rates low, but this program is scheduled to expire year end. Expect mortgage rates to jump once this program ends.
The $8,000 First Time Home Buyer Credit will also expire November 30th, 2009. This has resulted in a surge of loan applications as buyers are seeking to leverage the low interest rates, high inventory and the $8,000 government gift fund. (Click here to see our recent blog explaining the terms of the 2009 First Time Home Buyer Credit.)
There are many variables that will impact home buyers going into 2010. Will the Fed extend the purchasing plan of Mortgage Backed Securities? Will the First Time Home Buyer Credit be extended? Will the stock market continue to go up (which will have a negative impact on the Bond Market, and a correspondingly negative impact on mortgage rates)?
As we continue to borrow and spend, these temporary programs will eventually run out, forcing us to deal with reality – a burgeoning debt, a weakened dollar, and growing competition abroad. Though the long term implications are sobering, the current opportunities in the housing market are excellent. Please call us, 512-275-9675 or email us, firstname.lastname@example.org today if you have any questions, or feedback, or would like to take advantage of these historic opportunities. You can also contact us if you would like information on how to use the $8,000 First Time Home Buyer Credit as a downpayment on the purchase of your new home.
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