National home resales in July posted the largest monthly increase in at least 10 years as first-time buyers rushed to take advantage of a tax credit that expires this fall. Sales jumped 7.2 percent and beat expectations. Sales hit a seasonally adjusted annual rate of 5.24 million in July, from a pace of 4.89 million in June. It was the fourth-straight monthly increase and the strongest month since August 2007. Sales had been expected to rise to an annual pace of 5 million.
The risks to that healthy pace, however, are job cuts, mortgage rates and a homebuyer tax credit that is over at the end of November. And the last one could be a doozy because first-time buyers are snapping up one out of every three homes.
First-time buyers get a credit of 10 percent of the purchase price of a home, up to $8,000. Singles must earn less than $75,000, and for couples earning more than $150,000, the credit phases out with higher incomes. The real estate industry is lobbying to have the credit extended, but it’s unclear if Congress will be swayed.
Are you a qualifying “first-time buyer” and have yet to take advantage of this great home ownership opportunity? The Freeman/Davis Team is here to help and can assist you in finding the home of your dreams. Now is the time to act because to receive the $8,000 tax credit, you must close on your new home by the end of November. Considering that the average closing time on a “normal transaction” home is 45 days, you’ll need to be under contract by early to mid-October. Right now, you have less than 6 weeks to find your home if you hope to get the $8,000.
Call the Freeman/Davis Team now at 919-649-6638 and visit www.HomeSearchRALEIGH.com. We have access to all of the homes currently for sale in the area and can schedule your showings right away. Don’t let this $8,000 opportunity pass you by!
