      
 Home Buyer Tax Credit Extended Until April, 2010Published: Thursday, December 10, 2009 The federal tax credit has been extended to April, 2010, including an expanded benefit to existing home owners who sell their homes and then repurchase a new primary residence valued at $800,000 or less. This could be the perfect opportunity for buyers who wanted to cash in on home auction bargains but were fearful of lower resales on their existing homes. While first time home buyers still can claim $8,000 of tax credit, existing home owners can claim $6,500 if they sell their home and repurchase another primary residence. This extra tax credit might persuade some sellers to let go of their homes even if they have seen some price depreciation in recent months. By buying their new home at a foreclosed home auction, they can more than recoup their investment on their existing home, and claim a $6,500 tax credit in the process! Like the initial home buyer tax credit, there are some strings attached:
This means traditional home buyers have a leg up on investors who look to the real estate auctions and foreclosures listings for great bargains. With fewer tax credits available, investors are sure to pull back, if even slightly, from the market at this time. Lenders will also be looking at available equity, and potential income increases from the tax credits, when underwriting loans. Primary residence buyers will have an advantage there as well. Foreclosures Market Shifting From Listings to AuctionsThe Southern California foreclosures market is shifting from one where agent listings comprised the bulk of all real estate sales to one where foreclosures are declining, particularly in the agent listing marketplace. While lenders still have significant numbers of foreclosures on their books, they are rethinking how they dispose of them, and using agents less than in previous quarters. As a result, buyers can expect to see even more foreclosed home auctions than ever before. If you have been thinking about selling your existing home and moving up to something better, now might be the best time for you to consider buying your next primary residence at home auction. You will get a terrific price on your new home, and claim a $6,500 tax credit on the sale of your existing home. Talk to your tax professional today to find out how you can benefit from buying a foreclosed home at auction. Other Recent Articles57,000 Foreclosures Remain in California – Lenders Scheduling More Home AuctionsCategory: Recent Articles Published: Thursday, December 03, 2009 The Southern California foreclosures market may be shifting, with fewer homes entering foreclosure than in previous quarters. However there are still 57,000 existing foreclosures statewide that need to be sold, and lenders are looking at foreclosed home auctions as a major tool to sell large numbers of foreclosures in a short amount of time. Southern California Foreclosures Still the Bulk of Home SalesCategory: Recent Articles Published: Friday, November 27, 2009 Southern California foreclosures still account for the bulk of area homes sales and lenders are finding real estate auctions the fastest and most efficient method of clearing their books of REO properties. Buying a home at auction requires a little prep work, however and the experts at homeauctionexpo.com share their insight on how to find the best auction properties. Lenders Using Foreclosed Home Auctions As Top Selling ToolCategory: Auction Notes Published: Monday, October 12, 2009 Foreclosed home auctions are becoming the hottest place to buy Southern California foreclosures, as banks are stepping back from multiple offers and finding the ease of real estate auctions more to their liking. Homeauctionexpo.com points out the benefits of shopping the foreclosures auctions. |
