Bill Passes to Extend Tax Credit Deadline
Home buyer tax credit
A stand-alone bill passed today extending the closing deadline for the federal home buyer tax credit to Sept. 30, 2010. Backers of the measure said the 90-day extension would permit tens of thousands of home buyers whose paperwork didn’t clear by June 30 to still receive the credit. Estimates from the National Association of Realtors show as many as 17,700 home buyers in California may not receive the tax credit if the deadline was not extended.
Home Prices Rise in 18 of 20 Metropolitan Areas
home prices
According to the Standard & Poors Case-Shiller home price index, home prices rose 0.8% in April compared to March in 18 of the 20 metropolitan areas surveyed. This is the first monthly home price increase after six consecutive months of declines.
According to the index, home prices have moved up 3.8% in the last year. Read more 
It’s Back – Eliminating the Home Mortgage Interest Deduction
home mortgage interest deduction
Washington talk is once again directed toward the real estate market. As part of the original Cap & Tax energy bill, a costly energy efficiency inspection was proposed for all home sellers. Also included was that the home mortgage interest deduction would be severely limited, or eliminated, for ‘high income’ homeowners. Luckily, both these ideas never materialized.
Modified Mortgage Default Rate is Sky-High
home mortgage defaults
The government has spent BILLIONS to lenders, loan serveries, and salaries of administrative staff in an effort to help troubled homeowners. Actually, it seems like a new or modified government real estate assistance program for ‘under-water’ homeowners is announced every month. So, what has all the effort and money gotten us?
The sad fact is the re-default rate within a year is likely to be 65% to 75% under the Obama administration’s Home Affordable Modification Program, or HAMP, according to a report to be released Wednesday by Fitch, a New York-based credit-rating firm. Read more
UCLA Economists … California’s Economy to See Sluggish Recovery
California housing market
California’s unemployment rate, currently at 12.4 percent, will not return to single-digit levels until 2012 and the state’s inland areas will continue to be impaired by excess housing inventory and state budget cuts, according to a recent forecast by UCLA’s Anderson School of Business. Read more
Housing Double Dip?
May’s housing numbers were a shock for many, but does the drop in housing mean we are headed into a double-dip for housing … or, is this an excellent time to pick up a real estate bargain at a historic low interest rate?