First-time home buyers will receive an $8,000 tax credit if they purchase a house between January 1, 2009, and December 31, 2009.  The $8,000 tax credit is for the purchase of a primary residence, must be for a first-time home buyer and is not meant to be re-paid.  This is a credit not a loan and has been created to be an incentive for people who are considering purchasing their first home. The tax credit is to be claimed on the buyer’s tax return and any unused portion will be mailed to the buyer.  The $8,000 tax credit is a fantastic opportunity for those on the fence about purchasing their first home.  This is an opportunity for first home buyers to seize.  Combine the $8,000 tax credit, lower home values and historically low mortgage... [Read more]

Desirable towns seem to maintain their values where nearby, less high-end towns’ housing values are declining.  This phenomenon is an interesting one to say the least, one town’s property values drop significantly while a neighboring town’s property values rise.  A recent article by Ted Seifer in the Boston Globe pointed out how Wellesley, MA and Weston, MA real estate values remained strong while nearby Wayland home values dropped significantly.  In fact real estate values in Weston and Wellesley increased while the median Wayland home value dropped by nearly 20%.  Seifer demonstrates this in the Globe article “Just compare Weston and Wayland. In ultrarich Weston, the median sales price of a single-family home sold last year climbed... [Read more]

Last Wednesday the Senate approved of a $15,000 tax break for home buyers.  The tax incentive was approved separately from the overall stimulus package which is still being discussed by congress.  The aim of the $15,000 tax break is to help jump-start the housing sector.  The tax break is meant to  give prospective home buyers the encouragement that they might need to buy a home.  The details of the tax credit are not completely clear yet.  Originally it was planned to be for first-time home buyers but it appears as if the tax credit will be for new home buyers. Stabilizing the housing market is imperative to the economy as a whole.  The creation of the tax credit might create the incentive for people to consider investing in real estate. ... [Read more]

In real estate location can mean all the difference.  When real estate across the country has taken a nose dive, the only areas which are holding up are either those where the economy is still strong (yes there are some), areas where banks did not partake in the sub-prime lending or in areas that are always desirable to live in.  There are many high-end towns across the country that are in areas where real estate values have dropped 20%.  In these areas the most desirable towns have only dropped 10%, if at all. A recent article in the Boston Herald mentions the “grim” Boston housing market “at the end of 2008 nearly 18 percent of homeowners in Boston were living in homes that were worth less than they paid for them. . . Also, home values... [Read more]

Buying a home today is different than it was even a year ago.  Some things change and some things stay the same but in today’s market you are definitely better off preparing yourself before you find a home that you have your heart set on.  Her are a few important things to keep in mind when you are preparing to buy a home: Save. It is very important to save money for a down payment.  95-100% mortgages are much less common these days, if not a thing of the past.  Having a 20% down payment to put down will make securing a loan much easier. Stay within your budget.  Sit down and really look at your budget, picking a price point that won’t bankrupt you.  Don’t leverage yourself and get into a loan that you  can’t afford.  Analyze... [Read more]