Great Time to Buy....and Sell?

Everyone knows that right now is a great time to buy a home. All you have to do is pick up a newspaper, watch TV, or just listen to anyone speak about the real estate market, and you have heard this fact over and over!

Most experts say that there is really no immediate or sustainable recovery in the short term. Since there are still literally millions of distressed properties (short sales, pre-foreclosures and bank owned properties) in the U.S., common wisdom says that we will continue to see prices drop in the next 12 to 18 mos. The price drops should be much less severe than we have seen thus far, but competition with "underwater" homeowners and banks trying to clear inventory off of their books is putting the average home seller at a disadvantage.

So, that leads us all to the conclusion that it is a buyer's market, right? Of course! However, that is not the entire picture. Sellers who need to sell still need to strategize; they need to leverage the benefits of the current market. What benefits, you say?

Consider the following 3 BENEFITS OF SELLING RIGHT NOW:

1) RATES ARE STILL QUITE GOOD, FOR NOW: The Fed has communicated its intent to raise rates. Even without this directive from the Fed, most economists and armchair financial analysts knew the rate hikes would be coming sooner rather than later. What this means to a home seller is that qualified buyers are less inclined to sit on the fence any longer. We are now seeing increased activity in the market, and there will continue to be activity while rates are as good as they are currently!

2) GOVERNMENT INCENTIVES ARE STILL IN EFFECT: The current government backed incentive programs ($8,000 first time home buyers and $6,500 for the "move-up buyers", see www.federalhousingtaxcredit.com ) says, in essence: If you are under a binding contract by April 30th, 2010 and closing by June 30th 2010, this money is available to you (see your mortgage professional for all details and qualification requirements)! That will get buyers moving too!

3) THE TIME OF THE YEAR TO SELL: Historically, we are coming into the best time of year to sell, and I mean NOW. Putting your home on the market in early to mid-spring is ideal as this is typically when the buyer are out in full force.

So, if you are thinking of making a move-up purchase, or if you just have to sell because life happens, the important thing to do is: Understand your advantages and hire a great full-service agent who will help you develop a strategy to sell intelligently, even in a less than desirable market.