Most of us expected that the New Home Buyer incentive of $8,000 would be renewed. In my experience, in the original time frame, the incentive has helped stir interest in the market, and get some homes sold, and at least get some movement in the Utah market.
I see the segment of buyers wanting to move up are quite excited about the new incentive for existing home owners who have lived in their home for 5 of the last 8 years. Their incentive is $6,500, less the the new home buyers, but significant. It should broaden the pool of buyers.
It still poses a problem for those who need to sell there home first. We should see a increase in the number of home coming on the market, likely after the first of the year. It is a real opportunity for those interested in moving. However, the bulge in inventory of existing homes for sale could dampen the need for the market prices to rise.
What is your take on the the renewed and expanded federal government incentives? What impact do you predict for the short run and on into the first half of 2010. Will it be different for the Salt Lake market and for diverse areas like Riverton and Cottonwood Heights?
Would it not be smart for those looking for a newer home to get theirs listed and available now while there are fewer homes on the market, or at least early in the new calendar year to take advantage?