Nov. 14-15, 2009

Homeowners who are planning to market their homes for sale in 2010 may want to accelerate their time tables and put their homes on the market in February instead of April. The extended Home Buyer Tax Credit will apply to any sales under contract as of April 30 and closed by July 1, 2010.

This incentive should support home sales into next year as now move-up buyers who already own a home can get a check of up to $6,500 from Uncle Sam for buying a home. The maximum sales price is $800,000, and the buyers must have lived in their former home for five of the last eight years. There are income and other guidelines which I can explain if you would like to give me a call or if you would like to get pre-qualified for the program.

First-timers still stand to gain up to $8,000 for taking the positive step of becoming homeowners. First-time buyers include anyone who has not owned a home in the last three years. Call me to get pre-approved and prepared to purchase with confidence.

First-time buyers typically constitute 41% of all buyers, and they support the market by freeing the equity of sellers, who in turn can buy and move up, sending a ripple of buying through the markets. Those of you who have seen my first-time homebuyer workshop may remember that I liken the real estate market to a food pyramid, and first-timers are at the base.

Major stock indices were up about 2.5% for the week. A slide in the U.S. dollar was a factor for rising stocks, as investors took advantage of a cheaper greenback to invest in equities and commodities. The dollar weakened as the U.S. trade deficit widened in September by an unexpectedly large 18.2 percent, the most in more than 10 years. The 10-year Treasury closed at a yield of 3.43%. Mortgage interest rates were down for the week.

30-Year Conventional Fixed

4.75% $100,000-$417,000

FHA-100% VA

5% $100,000-$393,300

100% Guaranteed Rural Housing w/no MI