I just had the pleasure of listening to Dr. Lawrence Yun, the chief economist for the National Association of Realtors speak at a luncheon right here in Burlington. After listening to Dr. Yun's analysis of the national housing market, I left the luncheon feeling incredibly...optimistic!!! (Mind you, Dr. Yun was recently named one of the top ten economic forecasters in the nation by USA Today!)
Basically, Dr. Yun stressed that 2010 is likely to experience a healthy boost in home sales, which will lead to modest increases in home values (good news for homeowners)! Helping to nudge the number of home sales upward are two crucial factors: historically low interest rates and the homebuyer tax credit that is currently in place. All good things must come to an end though, and this holds true to both the current interest rates and the homebuyer tax credit.
REMEMBER- if you are looking to take advantage of the homebuyer tax credit, you MUST be under contract by no later than April 30, 2010 (READ: you have 110 days left!!!)! Dr. Yun also pointed out that interest rates will likely rise to close to 6% (or higher) by the end of the year, if not sooner....so time is really of the essence!
Finally, I thought that one of the most notable points that Dr. Yun made today had to do with the ability of current renters to purchase a home. I thought this was particularly interesting because I often hear from aspiring homeowners that they do not think they would qualify for a mortgage. However, Dr. Yun said that in 2000 (when the Real Estate market was quite "normal") 11 million renters had the incomes necessary to qualify for a mid-priced home. In 2009, roughly 16 million renters had the necessary income to qualify for a mid-priced home! If you are one of the 16 million renters that think you could not qualify for a mortgage, you could be sorely mistaken! I can put you in touch with a wonderful local lender who can help you determine whether or not homeownership is an option for you!
To read more about Dr. Yun, check out his impressive bio: http://www.realtor.org/research/chief_economist_bio
Of course, feel free to call or e-mail me if you would like to start your home search today! JWright@HickokandBoardman.com or (802)846-9530. As always, you can search our entire inventory of homes 24 hours a day at http://www.hickokandboardman.com/
Happy House Hunting!
-Jamie Wright, REALTOR