Update- Tax Credit For First Time Home Buyers

There has been some encouraging news on the extension of the $8000 tax credit… however, it is NOT a done deal, as it still must be reconciled between the House and Senate and then voted on for final approval.
It is not only looking good for the extension, but there are some additional enhancements to the credit in the works as well. Yesterday, the Senate reached an agreement to extend the $8000 tax credit for first-time home buyers. They also added a $6,500 tax credit for other primary home purchasers, meaning that it is not just limited to first time home buyers.
They also raised the qualifying income limits in a very meaningful way – singles were increased from $75,000 to $125,000, and joint taxpayers from $150,000 to $250,000. Buyers must have executed purchase agreements in hand by April 30th, and then will have until June 30th to close.
More details are likely to come, and changes could be made as reconciliation and voting takes place.
I will keep you posted, but if you have any immediate questions, please feel free to contact me.

Seven New Rules For First Time Home Buyers

Very good information for first time buyers:

http://www.nytimes.com/2009/09/12/your-money/mortgages/12money.html?_r=1

October 2009 Real Estate Outlook

October Housing Supply Outlook

The October Housing Supply Outlook just hit your intertubenetz. As usual, here's some quick takeaways from this dense and detailed look at supply-demand dynamics in the Twin Cities housing market:

Takeaway #1: If you're buying a home in the price range below $120,000, you're gonna have to move fast. There's only 2.9 months of supply in that range, which places it in the extreme seller's market category. The reason for the tight inventory picture? There's been a huge upsurge in home buying activity—sales are up 127.5 percent in that category over the last twelve months.

Takeaway #2: The number of new construction properties available for sale continues to shrink rapidly as builders pull back from creating new inventory. The current inventory of 2,426 listed new construction properties in the MLS system represents a drop of over 1,200 units from a year ago.

Takeaway #3: Unfortunately for builders, new construction home sales have also rapidly declined, falling by 18.8 percent (over 800 units) in the last twelve months.

Crunch Time for First Time Buyers

The rush is on for first time buyers trying to get into a house and get the $8000 tax credit. Check this out:

http://www.startribune.com/lifestyle/homegarden/63358102.html?elr=KArksUUUoDEy3LGDiO7aiU

Get The Skinny on the Twin Cities Real Estate Market

Here is The Skinny on the Twin Cities Real Estate Market for September:

http://www.youtube.com/watch?v=DVmF9otaRbg

Twin Cities' Real Estate Market Looking Optimistic

Median Twin Cities Home Prices Crawling Back Up

The median home sale price in the Twin Cities was $175,000 in August, down 12.5 percent from a year ago, but continuing its run up from this spring.
From March 2009 through August, the median sale price has grown from $154,125 to $175,000. It climbed $4,000 from last month, when it was reported at $171,000.
“Prices are stabilizing due to strong buyer demand – especially in the lower price ranges – buoyed by low mortgage rates and the federal tax credit for first time buyers,” the Minneapolis Area Association of REALTORS (MAAR) said in a press statement.

The tax credit expires in November and the number of sales that close should stay robust for at least the next two months, said Brad Fisher, president elect of MAAR, in a statement.

“Time will tell what the market looks like after that, but there will be less inventory left.”

Minneapolis is on Forbes list of best places to live.

Best U.S. Cities To Earn A LivingFrancesca Levy, 09.03.09, 06:00 PM EDT
Forget New York and L.A. The best career prospects are in these places.

Best U.S. Cities To Earn A Living
For the exasperated job-seeker to whom employment opportunities seem bleaker than ever, salvation may lie in the Lone Star State. Texas, home to dozens of energy heavyweights and nearly as many innovative small companies, has three of the best cities to earn a living: Dallas, Houston and Austin.

When taking into account the cost of living, strength of industry, economists' predictions for the future state of employment and, of course, salary, these are some of the best U.S. cities in which to take home a paycheck.

In Depth: Best U.S. Cities To Earn A Living
It's no secret that, in general, jobs are tight: The U.S. Bureau of Labor Statistics reported on Aug. 7 that non-farm payroll employment sank further in July, and unemployment is entrenched at 9.4%. But some job markets manage to remain healthier due to one or more factors, like a concentration of top companies a resulting prospective annual jump in job growth. Such is the case for the Texas towns on our list.
And then there's Minneapolis-St. Paul. Cold weather, yes. Dismal employment landscape, no. The reason is that the area is home to 10 of Forbes' top-ranked companies--and comes out third on this list.
While employees everywhere are anxious about their jobs, they have less to worry about in cities with clusters of businesses in high-paying or growth industries, and there just so happens to be a relatively low cost of living as well. It all adds up to people earning a better living.