While existing home sales were up in November over October by 7.4%, new home sales were down 11.3% according the Census Bureau. They had expected new homes sales to go up in November but this could be an affect of the First Time Home buyers Federal Tax Credit. To qualify for the tax credit you have to have closed on the purchase by November 30th. New homes can take 3 to 4 months to build and close so it would appear many First Time Home Buyers went to the existing market for low prices and to qualify for the tax credit. As nice as a new home can be there are many existing homes on the market that may need a little work and the tax credit can certainly help that. Also, many new homes in the Phoenix area are out in the suburbs and many people are moving back into the city.
December 23, 2009
December 22, 2009
Homes Sales up in November.
Home sales were up on November up 7.4% over October sales according to the National Association of Realtors. This was due in part by the first time home buyers tax credit that was scheduled to end at the end of November but was extended through June. Home sales have been up nationwide and even in the Phoenix market. Phoenix once again has many homes that are priced so low the investors can’t stop themselves from buying and the first time home buyers are getting in on the action in part because of the Federal Tax Credit and also because the near record low interest rates. There are many great Phoenix condos on the market at very good prices. It’s not hard right now to find a nice 2 bedroom condo for under $100k. With FHA financing you can get it for as little as 3% down. Phoenix Historic homes are also back in play again with good prices. There are many historic areas near Downtown and walking distance to the Phoenix Light Rail. With Urban Living coming back into fashion in Phoenix and historic homes have been very desirable for years, it’s great to live in a home with character and be able to walk to a Light Rail stop.
Downtown Phoenix
Downtown Phoenix has made some real improvements since 2000. The boom of the real estate market really helped and although the decline may have stopped many projects from getting off the ground, it also become more affordable with prices coming down. The Downtown Phoenix Partnership has great information about the successes of Downtown Phoenix. Check out the successes of Downtown Phoenix.
Phoenix Home Prices
Phoenix home prices went up over 50% in the boom of the market and now they are down about the same. With interst rates still very low and federal tax credits, it’s a great time to buy. There are news reports all the time in the last 12 to 18 months saying lenders are not lending but I have many clients that didn’t have a problem with many different lenders. Try Legacy Home Mortgage, they do great work. Then, check out some of the great properties around the Phoenix Metro area. There are many great values all over town. Some of the best values under $100k will be in the Phoenix condo market. There are some nice Pheonix single family homes just under $100k but if you get down to $50k they normally need a lot of work.