The Department of Housing and Urban Development announced recently that lenders will now be permitted to allow homebuyers to use their federal tax credit as a down payment on their purchase. Previously, the tax credit could only be received after buyers had filed their tax returns.
This development is good news for sellers as it adds yet another incentive for buyers to come off the sidelines. The tax credit is also, of course, beneficial to buyers (depending on how much upward pressure the additional buying puts on prices).
On another note, I apologize for the recent drought in posts on this blog. I’ve had the fortunate problem lately of being very busy with the recent increase in buyer activity. Specifically, my Team and I have seen the under $400k market pick up in the last month with more multiple bids and more sales.
Don’t worry, though! More great posts are still on the way, so stick around.
Affordable housing has long been the dream of American families and policymakers alike. Now both are seeing their wish fulfilled, though not in the way either envisioned: the housing correction. This drop in home prices will be remembered as a blessing for first-time homebuyers, but this comes as no comfort to those who are already locked in to a mortgage and struggling to make payments.