HOMETOWN REALTY BLOG

The expiration of the tax credit clearly motivated buyers to take action by April 30. Last week, there was a significant 31.2 percent jump in Pending Sales versus last year, bringing the total number of contracts written to 1,469. But for the first time this year the number of New Listings was down. A total of 1,803 of them entered the market, 11.5 percent lower than a year ago.

Some encouraging figures include a Days on Market count of 127, down 15.3 percent compared to last year, and Percent of Original List Price Received at Sale of 93.6 percent, up 4.0 percent over last year.

These statistics include all of the Regional Multiple Listing area not just Hutchinson, MN.

We expect buyer activity to continue over the coming weeks, although not with the same level of urgency due to the expired tax credits and a slight seasonal lull before we get into the heart of summer.

According to the Minneapolis Association of Realtors, the local housing market continues to mimic spring growth, as Twin Citizens emerge from their wintry cocoons just in time for the final days of the home buyer tax credit. For the week ending March 20, there were 2,277 new listings, up 28.8 percent from a year ago and marking the seventh consecutive week of strong year-over-year increases.

Pending sales dropped a bit from their high the previous week, but the 950 signed purchase agreements for the week were 10.2 percent ahead of where they were at this point last year.

Keep in mind that these numbers reflect the entire Regional Multiple Listing area. The housing market in Hutchinson, MN appears to be following the same trends.

As the tax credit’s April 30 deadline looms, expect a flurry of home sales activity. Time will tell what happens when the credit has expired, but the next few weeks should be extremely active.

Here are some interesting statistics recently published in “The Residential Specialist” magazine. (Their source for the information was Harris Interactive.) This magazine is available to all real estate agents who have earned their Certified Residential Specialist certification through the National Association of Realtors.

Several of Hometown Realty agents in Hutchinson, MN have earned this CRS designation.

What percentage of Americans participated in energy-saving activities within the past year?
Installed more energy efficient light bulbs: 63%
Purchased energy efficient appliances: 36%
Started paying bills online: 46%
Switched to paperless financial statements: 40%
Donated an electronic device for recycling: 41%
Swithed from bottle to tap water: 29%
Installed a low flow showerhead: 17%
Installed a low flow toilet: 16%
Made home improvements that provided government tax credits: 14%
Bought a more fuel efficent car: 13%
None of thes: 13%
So, how do you and your family compare?

By now most of you have heard that the first time buyer tax credit has been extended to April 30, 2010.

In addition, there is now a tax credit for current homeowners who have used their home as a principal residence consecutively for 5 of the previous 8 years. This credit also runs to April 30, 2010.

This is good news for anyone who has been thinking about selling their current home and moving into another. The housing market here in Hutchinson, MN is well positioned for anyone wanting to buy another home.

There are some income restrictions to both credits, but most people will fall into the income limits.

If you have any specific questions about either of these tax credits, please call our office.