Coldwell Banker Prime Properties - Blog

Every month Coldwell Banker Prime Properties proudly brings you our Market SnapShot- take a look at our February snapshot while we all continue to enjoy this mild winter in Upstate New York!

And don't forget Coldwell Banker Prime Properties is your HOMETOWN REALTOR whether you need to list your home or if you're looking to buy a new home...we are here to help!

Housing market picks up speed for 2012!!

paul.friello@coldwellbankerprime.com — Tue, 07 Feb 2012 00:00:00 GMT

Housing market picks up speed for 2012

Excerpts taken from Article By Ilyce Glink
(MoneyWatch)

The latest real estate news indicate that the housing market is looking up.

CoreLogic's latest MarketPulse report, released Wednesday, suggests 2012 could be the year of the housing turnaround. Improved unemployment figures, low mortgage interest rates and inexpensive homes could be just the kick the housing market needs to begin a recovery.

Home sales are expected to rise between 2 and 5 percent year-over-year, according to Freddie Mac's U.S. Economic and Housing Market Outlook survey, also released Wednesday. That's not as much - or as quickly - as some people would like to see, but at least it didn't forecast home prices to fall further than they already have.

(Foreclosures hit lowest level since 2007,FHA extends waiver to help resell foreclose homes
Freddie Mac offers a break to unemployed homeowners)

This optimistic outlook is due largely to all the good economic news we're hearing about the end of 2011: Existing home sales increased in November, while the inventory of unsold homes decreased to a six-to-seven month supply. Nearly 80 percent of American households believe now is a great time to buy, and if that optimism translates to sales, the inventory could dwindle even further.

It's not just buyers who are feeling good about the 2012 real estate market. Homebuilder confidence is the highest it's been since 2007, due once again to the economic news we're hearing about the latter part of 2011.

Housing starts began to climb last year, rising to around 600,000 in 2011 from 587,000 in 2010. The latest National Association of Homebuilders (NAHB) index rose four points from December 2011, reaching 25 on the 100-point scale. The optimal score is 50 and, while we're not there yet, we could be on our way: According to the NAHB, confidence has risen four months in a row, with the latest uptick measured across each region.

"Builders are seeing greater interest among potential buyers as employment and consumer confidence slowly improve in a growing number of markets, and this has helped to move the confidence gauge up from near-historic lows in the first half of 2011," said NAHB Chief Economist David Crowe. Crowe knows many builders are still cautious due to tightened credit markets and the threat of more foreclosures, but "homebuilders are still more optimistic about sales over the next six months than they have been since September 2009."

Instead of selling their homes at a reduced rate, those would-be sellers who can afford to stay in their homes are putting money back into them. "Residential remodeling in 2011 grew substantially above 2010 rates and remained strong through the end of the year," according to Joe Emison, vice president of research and development at BuildFax.

If foreclosure rates don't skyrocket and prices remain steady through the beginning of 2012, this might be the year things start to turn around.

2011 Energy Tax Credits: Good Information to Know

andrea.burr@coldwellbankerprime.com — Thu, 02 Feb 2012 00:00:00 GMT

Although federal energy tax credits are not as generous as in the past, you can still reap the benefit. First let me define tax deduction vs. tax credit. Tax DEDUCTIONS only reduce your taxable income. Tax CREDITS give you a dollar-for-dollar reduction in your tax LIABILITY. (Better!)

In a recent article authored by Donna Fuscaldo, contributor for personal finance for Dow Jones Newswires, the Wall Street Journal and Fox Business News, Ms. Fuscaldo explains that for 2011 tax credits can be taken for up to $500 for some home improvements. Systems included are roofs, HVAC, windows, doors, skylights, water heaters and insulation. Credit is only extended to 10% of the cost with $500 as a lifetime limit.Improvements also need to meet IRS energy efficient standards in order to qualify. In some cases installation can be covered but the policy can be tricky. To determine if the system you installed is eligible for tax credits, go to Energy Star's website for detailed information. Talk to your vendor too. Save your receipts and file IRS Form 5695 with your 2012 tax forms. For more detailed information visit the link, Good Luck!