Here are some reasons why the holiday season promises better-than-usual home bargains:
Low Interest Rates:
Interest rates and home prices are at all-time lows.
Serious Sellers:
Many home sellers are extremely motivated to sell immediately and are more willing to negotiate a lower home price. Many owners are anxious to get the home sold before the end of the year because it helps on their taxes. A serious seller means more negotiating power for the buyer, especially if the home has been on the market for several months.
Slower Market:
With many people busy gift shopping, traveling and entertaining, November and December are traditionally slow for real estate. Alert buyers can take advantage of this and find less competition for the most desirable homes.
Faster Closings:
Fewer transactions mean faster closings. November and December are historically slower months in the mortgage business, so things get done faster.
Also, financial institutions and lenders that are looking to close the books on 2009 may be more willing to act quickly to get a transaction closed by year end. That means it may take less time to get an offer accepted.
Tax Reductions:
Most settlement costs paid to the mortgage company, lender or broker are tax-deductible in the year in which you pay them. If you close on or before Dec. 31, you may be able to deduct the interest on your first monthly mortgage payment from your taxable income. And, you may be able to deduct points paid to reduce your interest rate as well.
You may also be eligible for the tax credit for first-time homebuyers of $8,000 or $6,000 for existing home owners.
For more details.
Kwik Quote : "Reputation is for time, character is for eternity". --J.B. Gough
Know Your Real Estate: "ASSUMABLE MORTGAGE"... a mortgage that can be assumed by the buyer when a home is sold. Usually, the borrower must "qualify" in order to assume the loan.
To SEARCH FOR HOMES, visit the Triangle Estates Realty website. Or, email me at tim@timhaag.com. Or, for a no pressure chat, call me at 919-389-7135.
