However, given the 30 to 45 days - or longer - it takes to close escrow - especially on some distressed properties - you can’t wait until Nov. 30 to buy a home. In fact, if you’re not under contract in the next week or so, chances are, you will miss the deadline.

The federal tax credit for 2009 is only for first-time home buyers - people who’ve had no ownership interest in a home in the three years prior to the purchase. Single and head of household tax payers can earn no more than $75,000. There’s a $150,000 ceiling for married couples filing a joint return.

A tax credit is a big deal because, unlike a tax deduction which reduces your taxable income, a tax credit reduces the taxes you owe, dollar-for-dollar.

This home buyer tax credit can also net you a rebate if the credit is more than the taxes you owe. The rebate is the difference. If you owe no taxes, your rebate can be a maximum $8,000.

So far, 1.4 million people have used the credit, including 160,000 in California, the Internal Revenue Service said Friday.

For an Orlando real estate tax credit home purchase, contact us here at the Orlando Real Estate Pros ASAP: 407-290-3408.

The “Pending Home Sales Index”, a forward-looking indicator based on contracts signed in July, increased 3.2 percent to 97.6 from a reading of 94.6 in June, and is 12.0 percent higher than July 2008 when it was 87.1. The index is at the highest level since June 2007 when it was 100.7. Lawrence Yun, NAR chief economist, said the housing market momentum has clearly turned for the better. “The recovery is broad-based across many parts of the country. Housing affordability has been at record highs this year with the added stimulus of a first-time buyer tax credit,” he said.
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Lawrence Yun, chief economist for the National Association of Realtors, pointed to two key factors that are pushing up market activity - The near record affordability of house purchases caused by moderate prices and low mortgage rates. Plus, the eight thousand dollar federal tax credit for first time buyers.

Meanwhile, there is more evidence that prices are turning around in growing numbers of markets around the U.S. Freddie Mac’s most recent home price index, released last week, showed national prices up by an average 2.7 percent. Orlando real estate is seeing markedly increased sales activity over a year ago, although mostly in the condo market.

There was more good news on the mortgage front with average rates on thirty year fixed rate loans declining to just below 5.2 percent last week, according to the Mortgage Bankers Association. Fifteen year rates averaged 4.6 for the week.

Looking at the larger economic picture, the Mortgage Bankers Association’s top forecaster, Orawin Velz, continues to predict that the recession will be over shortly - or already is over. She cited rising consumer expenditures - up two percent in the third quarter compared with a minus one percent in the second quarter. Plus manufacturing output is up, and new layoffs declined last week.

Who knew?

“So anyway, this is the kitchen - beautiful isn’t it - and in the living room you will notice the, um, the dead body on the floor?”

Many of you telephone us, having seen something you like the look of online, and ask us to just meet you there at the property for a viewing. We’ve never met you, you’ve never been to our office - you’re not even a client.

Some buyers are surprised when we want to “pre-qualify” them before meeting them at an empty house or putting them our cars; that is, make sure they are ready, willing and able to purchase a home before they we show them homes.

This period is also an opportunity for the buyer to decide if they would like the Realtor in question to represent their home buying interests, while the Realtor also has an opportunity to decide whether or not the buyer is likely to be um, an axe weilding psychopath? You see, meeting random strangers who want to go see houses isn’t really part of a Realtor’s job description, although many agents are willing to take the risk in the hope of finding a client. But in reality, a buyer should become a client first, get pre-qualified for a loan second, and look for houses last of all. But I digress.

Back to the story: the dead man on the living room floor is 45 year old Ricardo Contreras, a California agent that had gone missing the week before. In this case, the victim was actually male - which only goes to prove that equal opportunity is alive and well in the murder business. 

And which is why an agent might respectfully ask to meet with you at the office before showing you homes. They’re not being awkward, they just don’t know you from Adam. Chances are that you’re not a homicidal maniac but you might not have a penny to your name, which is far, far worse. Personally, I don’t mind being found dead on my own living room tile, but on a dirty carpet in a foreclosed home? Mamamia… the indignity of it all!

Original news post

Association members sold 2,131 homes last month in the Orlando metropolitan area, and the sales growth has finally helped bring down area inventory supply to single digits.

Nearly 46 percent of the homes were either bank-owned or distressed property sales. Homes in the Orlando area spent an average of 104 days on the market before being sold in June, and the average home sold for 93.8 percent of its listing price - which may surprise many.

About 184 single-family homes sold in the $200,000-$250,000 range, while 10 homes sold for $1 million or more.

Along with stronger sales, 7,230 homes were awaiting closings, more than double the 3,329 that were pending at this time last year.

Duplex, townhome and villa resales also jumped nearly 32.8 percent, from 131 in June 2008 to 174 last month.

There are currently 19,123 homes listings available for purchase through the Orlando MLS. For assistance in finding some of these once in a life time foreclosure bargains, contact us here at the Orlando Real Estate Pros or call 407-290-3408.

The Orlando market indicates about 12,000 buidling starts for the 12 months ending March 2009, making it  #4 nationwide. Houston led that list with 22,000 home starts during that same period, while the Dallas area posted 17,638 starts. Phoenix was #3 with 12,302 starts.

The Orlando area also was fifth in move-ins, or absorptions, with 18,423 posted for the same 12-month period. Houston also topped that list with 28,326, followed by Dallas/Fort Worth with 23,957, Phoenix with 21,838 and Atlanta with 20,007.

For more info on the Orlando market, contact the Orlando Real Estate Pros.

Under the bridge loan concept, an FHA-approved private lender, a state or local housing agency, or an FHA-approved nonprofit organization could advance as much as $8,000 for downpayment and closing costs — in anticipation of receipt of the $8,000 credit months or weeks down the road.

It has been estimated that half of all would-be first-time buyers lack the downpayment resources needed to complete a purchase, and therefore are unable to make use of the credit.

For more information on the program contact the Orlando Real Estate Pros or call 407-290-3408.

The median price of all Orlando homes sold in April ($132,900) decreased by 37.01 percent compared to April 2008 while the area’s average interest rate increased to 4.86 percent, up from last month’s record low of 4.67 percent.

The area’s affordability index continues to nudge the 200 percent mark. (An affordability index of 99 percent means that buyers earning the state-reported median income are 1 percent short of the income necessary to purchase a median-priced home. Conversely, an affordability index that is over 100 means that median-income earners make more than is necessary to qualify for a median-priced home.) Buyers who earn the reported median income of $52,307 can qualify to purchase one of 11,233 homes in Orange and Seminole counties currently listed in the local multiple listing service (MLS) for $257,840 or less.

The first-time homebuyer affordability in Orlando is currently 137.96 percent. First-time buyers who earn the reported median income of $35,569 can qualify to purchase one of 7,027 homes in Orange and Seminole counties currently listed in the local multiple listing service (MLS) for $155,850 or less.

Homes of all types spent an average of 104 days on the market before being sold in April 2009, and the average home sold for 93.14 percent of its listing. In April 2008 those numbers were 120 and 93.18 percent, respectively.

The majority of single-family homes (153) that changed hands in April 2009 were sold in the $200,000 - $250,000 price range. Eight hundred eighty-seven homes sold for less than $200,000 in April, and 159 sold for more than $300,000. On the far ends of the scale, 12 homes were sold for $1 million or more while 102 homes sold for less than $50,000.

There are currently 20,194 homes available for purchase through the MLS. Inventory decreased by 1,254 homes from March 2009, which means that 1,254 more homes left the market than entered the market. Compared to last year, the April 2009 inventory level is 20.60 percent lower than it was in April 2008 (25,436).

The inventory level reflects an 11.60-month supply at the current pace of sales, which is down from the 12.23-month supply recorded in March 2009 and equal to the pace during the last quarter of 2006. Altogether, inventory months-of-supply has declined 5.15 percent since January 2009.

There are 14,472 single-family homes currently listed in the MLS, a number that is 4,579 (24.04 percent) less than this time last year. As usual, most (1,755) are listed in the $200,000 - $250,000 price range. Condos currently make up 3,928 offerings in the MLS, while duplexes/town homes/villas make up the remaining 1,794. Most condos (622) are priced below $50,000; the majority of duplexes/town homes/villas (273) are listed in the $120,000 - $140,000 price category.

Source: Orlando Regional Realtor Association (ORRA).

For more info on the Orlando real estate market - and to search for homes see our Orlando Real Estate Pros site.