The first-time home buyer’s credit of $8,000 expires on November 30^th but to get this credit a buyer must be in contract sooner if they hope to take advantage of this federal program.  With typical closing now averaging 45 to 60 days executed purchase agreements should in place by September 30 or at the very latest October 15. 

What we are seeing here in the Sacramento real market is a flood of activity in the under $300,000 price range which is typically where first-time home buyers are looking.  As Sacramento homes for sale have become more active in this range, the prices have firmed and we are seeing many of these homes get multiple, over asking price offers.  We are working with several buyers who are looking for homes in the $250 to $300,000 range in the Roseville and Rocklin area and it is difficult to get them into contract and have confidence the home will appraise a the purchase price.

We recently lost a home to an all cash buyer at a price my clients would have been willing to pay but there was nothing on the market or recently sold that would support the price.  I am seeing more agents using a strategy of offering a high price to get the house in contract and then negotiate the price down when the appraisal does not support the original offer.

If anything, the sunset on the first-time home buyer’s credit program has made the historically slow end of summer much busier and helping buyers get into their first home is fun and one of the most rewarding sales we do.

If you or someone you know is interested in taking advantage of the first time home buyer credit of $8,000 encourage them to act now as it is unlikely this program will be extended like the “cash for clunkers” was.  Give me a call at 916 276-6883 or drop me an email to JulieJ@Jalone.com and I would be happy answer your questions or help you find that first home…quickly!