If you look out across the rest of the country, about half of of the homes being sold are via First Time homebuyers, with many purchasing due to the just extended first time Homebuyers Tax Credit.
National Real Estate Market
Approximately 35-45% of all homebuyers who purchased homes this year have not owned a home during the previous three years, according to the National Association of Realtors. These numbers are up from approximately 35% in 2008 and around 33% in 2006 across the country.
The just extended Homebuyer Tax Credit will continue to boost the National Real Estate Market through the middle of 2010 when it expires and this has generated a great deal of buzz throughout our industry as well for good reason!
Our market here in Las Vegas will certainly benefit from the extension of the tax credit for first time Homebuyers, but, the amount of investor activity here in Las Vegas has also had a huge impact on our market, coupled with affordability.
Bank of America is available in our offices everyday to help First Time Homebuyers.
We don’t think investor interest will slow down anytime soon, affordability and positive cash flow with minimal amounts down continues to drive Las Vegas Real Estate.
National Picture via National Association of Realtors
“The credit is working much better than first projected, indicating we have 2.3 to 2.4 million first-time buyers this year,” according to Lawrence Yun, the chief economist for the National Association of Realtors. “With expansion of the tax credit to additional buyers through the middle of next year, and no major unforeseen events impacting the economy, home prices should rise between 3% and 5% in 2010.”
NAR forecasts that existing-home sales will total slightly over 5 million in 2009, a 2% increase compared with 2008. Next year, they predict a gain of 13.6% to 5.69 million units. That should draw down inventory and prop up home prices, according to Yun, but, he cautioned: “Risks, such as unemployment, remain.”
Just to underscore, these numbers in this post are for perspective on what’s occurring with the National Real Estate Market and are different from our local Las Vegas Real Estate Market.
