Tax Credit Almost Done – Now What?
Many in the real estate industry are holding their collective breath to see what comes next after this Friday’s expiration of the First Time Home Buyers Tax Credit. While some thought it would be extended, the reality is that the Federal government has got to back off from its assumed role as rescuer of the housing market, and let people get back to business.
So does this mean that sales will dry up? Probably not. While we may have borrowed a few transactions from the summer months into the spring, the housing market does not really ebb and flow that much around special incentives, and is driven more by jobs, and the need for housing. Young people are still graduating from college, getting married, having kids and buying their first homes (not necessarily in that order!), with or without tax credit help. People are still transfering to accept new jobs, or retiring, or divorcing, or whatever other ‘change of life’ event that happens that changes housing needs.
Interest rates are trickling up a little, but are basically still at incredibly low levels. Colorado Springs homes are a great value, and there are lots of nice homes for sale right now. The economy is not great, but getting better by the month, if not the week. And Colorado Springs is still a GREAT place to live. Will sales slow? Maybe a little. But my own perspective is that there will continue to be many reasons for people to buy a house in Colorado Springs. And I’ll be here to help them! 🙂