Capitalizing on the success of the $8,000  home buyers’ tax credit, Congress expanded the credit in legislation signed by President Obama on Oct 6.  The new law raises the income ceiling to $125,000 for single people and $225,000 for married couples, with a phase out for incomes up to $245,000. The home must be priced below $800,000, under contract before April 30, 2010 and close before July 1, 2010.
 

This credit (if you owe less, you get a refund) has been claimed by 1.4 million people nationally, based on figures from the Internal Revenue Service (IRS). According to the NAR, about 350,000 of those would not have made their purchase without the tax credit. These home sales boosted the homes market and helped bring the larger economy back from the brink. For more information click here.

Here in Hunterdon County, and in New Jersey, real estate sales have been increasing and the inventory dropping.  While the inventory is still well above a balanved market, more homes went under contract last month than in any October since 2005.  

The inventory has slipped to 9.7 months to sell every home at today’s sales pace.

Home sales are far better in Hunterdon County, NJ than in any year since 2005!  With the extension of the tax credit, and the FED’s recent extension of a program to keep mortgage rates low, this is the start of something we haven’t seen in a long time – a return to a ‘normal’ real estate market.  

For a survey of recent home sales in your town, an analysis of your home’s current
market value, and a dynamic marketing plan from the industry’s leader, RE/MAX,
please call me, Don Sherblom at 908 797-9900 or by email.  

Today – Thursday, November 5th –Congress extended and expanded the homebuyer tax credit.  The bill will be sent to President Obama for his signature.  First-time buyers (those who have not had a principle residence for three years) are still eligible, and the maximum amount remains the same – $8,000 for married couples, $4,000 for those filing separately.  When President Obama signs the bill, which he is espected to do quickly, the expiration date for the credit will move to April 30, 2010 for a binding contract that closes before July 1, 2010.

Current homeowners who have used the home as their primary residence for five of the last eight years are also eligible. However, the maximum amount for those homeowners is lower: $6,500 for married couples and $3,200 for those filing separately. The tax credit may not used to purchase a home for more than $800,000. All buyers who want to get the credit must include documentation of the purchase on their tax returns.

For a survey of Hunterdon County sales, an analysis of your home’s current
market value and a marketing plan from the industry’s leaders, RE/MAX,
please call me, Don Sherblom at 908 797-9900 or by email.