TIME IS RUNNING OUT1 THE CLOCK IS TICKING!

As the spring real estate season kicks in and the tax-credit deadline for sale agreements approaches, the government is ending a program that has kept interest rates low and housing-affordability levels high for months.

On March 31, the Federal Reserve will stop buying mortgage-backed securities from Fannie Mae and Freddie Mac, returning control of interest rates to private investors. For months, industry observers have predicted that once government supports are removed, interest rates will rise quickly, pushing many of the first-time buyers critical to housing’s recovery out of the market.

In late summer and fall 2009, lured by fixed 30-year mortgage rates under 5 percent and the first $8,000 tax credit, which expired Nov. 30, first-timers pushed sales of previously owned homes to the highest levels in at least three years, reducing record inventories and braking price declines. That tax credit was renewed Nov. 5 and expanded to buyers who had not purchased a property in five years, although the credit for repeat buyers is $6,500. The second credit expires April 30, is unlikely to be renewed. If you are a buyer you need to get going or you will miss the boat!

Just Marching Along!

The Real Estate Sales continue to improve throughout the Month of March. We have experienced several closings and put many properties under contract. The problem that our Company is now experiencing is we are running out of Residential Listings to promote. Obviously we can continue to sell other Realtor’s Listed Properties but we really could use some of our own to promote. This is a great time if you are thinking of selling to consult with one of our expert Realtors, prices have stabilized and you might be surprised as to the value of your home. After all it is a free service that we offer and with no obligation!

Positive News for Floridians

A plan to channel $1.5 billion to housing agencies in five states hit hardest by the real estate crash has Florida officials hopeful they can keep more people in their homes and out of foreclosure.
President Obama announced the program Friday while in Nevada for a town hall meeting and campaign push for Senate Majority Leader Harry Reid. The states included in the new program are Nevada, California, Arizona, Florida and Michigan, all of which consistently rank high on mortgage related issues.
But with more than 20 percent of its home loans seriously delinquent or in foreclosure, Florida tops the nation for defaults, according to a Mortgage Bankers Association report also released Friday. What this truly means is that the government is making serious strides to stem the foreclosures. This has to happen or property values hit hard are not going to improve. However once we do get this situation in check I look for values to rebound rather rapidly. Buyers should get busy.