Market Insights Blog

http://www.calculatedriskblog.com/2010/04/home-tax-credit-costly-failure.html  When you read this article, you can easily come to the conclusion that the Home Buyer Tax Credit cost too much and did not accomplish what it was intended to do.  Even if I agreed with the statements made in this article (which I don't), the writer leaves out the other side of the home buying story.  Even if 1 out of 4 or 5 buyers would have bought anyway, that is still 20-25% more which is huge when you think how miserable the housing market had been.  I have a hard time with that stat especially as I look at the buyers our agents have been working with over these last two weeks.  Many are looking to buy knowing 4/30 is coming and they don't want to miss out on the $8,000 1st time buyer or the $6,500 move up buyer credit.  That said, the other aspect of this story is the many people who were put to work because these 20-25% of home buyers chose to buy.  Here are some who have benefitted just to name a few. Real Estate Attorneys and their staff, lenders and their staff, increased city and county tax revenues, builders and local sub-contractors. local movers who moved the seller and the buyers from and into their new homes, local merchants to whom home buyers went to buy tv's, window treatments, appliances, etc.  Unlike the bank bailouts, this stimulus money trickled down to help the local (Charlottesville and surrounding counties in VA) economy which means the dollars spent made a difference to many of our neighbors and friends.

there are many signs that say the economy is in some stage of recovery.  what should be seen as good news, could be a negative for those who are looking to buy a home or refinance their existing property.  why? will, often times when the economy improves, interest rates go up.  that, along with the goverment no longer subsidizing mortgage backed securities, means we can expect to see higher interest rates.  read more by clicking on the following link http://realestate.aol.com/article/refinance/_a/mortgage-rates-on-the-move-time-to-refinance/201004280001?icid=main|main|dl4|link3|http%3A%2F%2Frealestate.aol.com%2Farticle%2Frefinance%2F_a%2Fmortgage-rates-on-the-move-time-to-refinance%2F201004280001

Even in the toughest of times there are opportunities to find success.  Here at Roy Wheeler Realty Company we believe in "showing up every day ready to take advantage of the opportunities that come our way."  Here is an article that points us toward doing just that.

http://www.jongordon.com/newsletter-032210-5waystothrive.html

http://www.bigbuilderonline.com/industry-news.asp?sectionID=365&articleID=1251103

Click on this link for a recent Daily Progress article on the Charlottesville 1st quarter real estate report.  You will find glimmers of hope that then housing market is beginning to recover.  The number of homes sold YTD vs last year has increased but prices in most areas continue to fall.  Look for that to continue until the number of homes for sale begins to significantly decline.

In some ways, you could read this report http://caar.com/files/market/00_2010/2010%201st%20Qtr%20CAAR%20Market%20Report.pdf and see some signs that the market is improving.  Yes the 1st quarter of 2010 was better than the 1st quarter of 2009 in number of homes sold and we have now seen two quarters of improvement.  The bad news remains that prices still face downward pressure due to the amount of homes currently for sale. Until the inventory gets reduced by at least 33%, there are just too many homes for sale vs the number of buyers in the market place.  Nothing on the economic horizon gives us reason to think the housing market will rebound over the course of this year.  Expect things to stabilize and for the 2nd quarter to once again be better compared to last year.  Year over year improvement over The 2nd half of the year remains in question because the 3rd and 4th quarters of 2009 were better than the smae quarters in 2008.

There are laws and tips that will help make sure you know what is right or wrong with the home your buying.  check out this abode article to find out more. http://www.c-ville.com/index.php?cat=11801401090601933&ShowArticle_ID=11800204104137476

There is a wonderful Charlottesville Albemarle initiative called LEAP which is encouraging homeowners to make their homes more energy efficient resulting in significant savings.  You can find out more about this effort by visiting their website at http://www.leap-va.org

LEAP's proactive programs has resulted in Dominion Power making Charlottesville its 1st partner with their Smart Grid Technology.  One graph was particlularly interesting.  It showed that the money a home owner invests vs the money saved long term is better than most other investment opportunities.

Check out the link to learn more about you can get an Energy Audit for your home.

The Charlottesville community needs to address important issues as it relates to services provided by the city and the county.  Schools, Water, and community amenities along with many others need to be placed on the table.  Del. Toscano has started a blog so interested parties can keep up with what is happening and post their own comments as well.  the blog is http://city-county.blogspot.com 

If you or anyone you know is in a home with negative equity, FHA has announced a new loan modification program for those who qualify using TARP funds.  Click on this link to hear FHA Commissioner explain how this program will work.http://www.cnbc.com/id/15840232?video=1451971342&play=1

A simple tip:  If you need to sell in a short sale or possible foreclosure situation, consult a real estate attorney at your earliest convenience and use a Realtor who is knowlegeable about who this sale needs to be handled