Real Estate Update September 15, 2013
The real estate market is starting a shift
We have been watching over the past few weeks and the news seems to be pointing to another market shift, but it will not be as last time was, not over night.
This real estate shift is going to take much longer to complete. The reason is we need more inventory to make the complete shift from a Sellers real estate market to a Buyers market like we saw back after the last fall.
Foreclosures increasing a bit...
Only in the Judicial states, those states in the United States requiring court approval to be liquidated as Foreclosures.
California is one such state, but the "increases" you have been hearing about are not those like had happened in the past, with the sheer numbers driving prices down.
They are much more calculated and are nothing to be concerned about. In fact, the banks handling the Foreclosure assets are pricing their REO(real estate owned) inventory above Fair Market Value and not below.
Even the Foreclosure Banks are in this for more $$$, being shown by the increasing Days on Market of the Bank Owned inventory that is eek ing out of their coffers.
Good Neighbor Program Update
Buying a home as a Teacher, Firefighter, Paramedic, EMT, Police Officer or deputy sheriff is not a clever marketing tactic thought up by a group of realtors.
It's a real proposal and all you have to do is find one that is in an areas or neighborhood where you want to live. That is the more "tricky" part of the equation for sure.
Also, make sure you are looking at the actual listings and not those that are not in the Good Neighbor Program. At the top of this screen, type in: GND -Into the MacBoX and you will be seen the actual listings that are within the program after a short presentation as to how to make sure you are looking at the "real" GND homes.
50% discount is not bad and the requirement is having to live in the GND home for 3 years.
Debt Forgiveness Coming to an End
For those of you needing to short sale or those of you that know someone that does, make sure they get the news that as of December 31, 2013, the debt forgiveness act is going to come to an end, unless extended.
Last year we were hopeful it was going to be extended and it was. This year we are much less positive about it being extended.
Typically, when a property is sold for less than an owner owes the bank on it, the "balance" is taxed. If you sold short a home when you owed $500,000.00 and when it sold for $250,000.00 - you would then typically be taxed by the IRS for the difference, the $250,000.00.
Because of the debt forgiveness act, this amount has been forgiven since the end of the Bush Administration who enacted it.
Hire The Paris911 Team to represent you
Be safe and thanks for watching our real estate update for the latest in news, events and real estate knowledge.
We will see you in two weeks...