New housing incentives proposed in the economic stimulus plan could move many local buyers of the fence and into new homes. And, that would help build-up the local housing market.
There’s a large amount of pent-up demand in the local housing market says realty expert Steve Bois. He says demand could shoot through the roof in the coming months. If the economic stimulus plan is passed, congress may double the home buyer tax credit from $7,000 to $15,000. Other perks would encourage lenders to offer a 30 year fixed home loan with a 4% interest rate, but only for a limited time. On top of that, Bois says the plan to postpone foreclosures for three months, could allow more people to keep their homes because they’ll have more time to work out a new loan agreement. And, if your in the market for a new home, Bois says, start shopping now.
“You really need to be out shopping and ready to go. You need to find the property you are most interested in and be ready to make a purchase. It takes some time, so its not like there is a great incentive out there today. I'm going to buy a house this weekend... you've got to go through the process to make sure you buy the appropriate property in the neighborhood your most comfortable with at the right price. And part of that is getting the financial package together.”
Bois says the perks in the plan will most likely only last through 2009, so home buyers need to act quickly.