California Home Purchases on the Rise
Is California coming to the end of its housing crisis? Well, it’s definitely improving and finding its way up the ladder. Over the last 18 months, California has had a dramatic increase in home purchases, primarily because prices have plummeted to affordable rates for the average Californian family. Thanks to the government’s stimulus package and tax credit, there are now advantages to purchasing a home in California.
Now is a good time to purchase a home in California and take advantage of the tax break. If you are a first time home buyer and have not owned a home in the past three years, then you may be eligible for an $8000.00 tax credit on your 2009 return. To do this you must purchase you home between January 1st. and December 1st. of 2009 and cannot of owned a home in the past 3 years. The home must be your primary residence, which would also include houseboats, condos and trailers.
Most of the homes that are on the market for sale in California are a result of recent forclosures that are owned by the finance companies. Most of these homes are in very good condition and can be bought for 41.5% to 66% less, making it a very good time to buy a home. With the prices as they are, it has made California one of the leading states in home purchases. Homes have not been this affordable in many decades.
Unfortunately, for the people who are still struggling to keep their homes or need to sell because of finances or other circumstances will take a loss in the value of their home. The federal government has created a bail out for these California home owners through credit counseling and low interest financing, but for some it has come too late.
If you are looking to get involved with buying a home in California then the best method to do so is to use a real estate contact. Most times there are hidden bargains that are not always advertised openly. There may not be a for sale sign on the property, or an advertisement in the paper. Usually the only information that is listed is usually in the states MLS, which a real estate agent can access for you if you request them to.
The reduction in housing prices in California makes it more affordable to a wider base of people to buy a home in California. It is estimated that a family earning $53,400 annually can now afford to be a California dreamer to purchase a home and comfortably make the mortgage payments.
There are plenty of organizations out there to assist people in the dream of home ownership. Places such as Neighborworks homeownership center, the resale of HUD homes, veterans loans are just some of the places out there to assist in helping people to realize their dream of homeownership.