The indispensable Finance and Commerce has up a nice recap of how last week’s tax credit expiration deadline unfolded, and a look at what to expect from the market now that the real estate market has had another leg of government support kicked from under it:
Alex Stenback, a mortgage banker at Residential Mortgage Group in Minnetonka, agreed. “People buy homes because the circumstances in their life make that an attractive option,” he said. “The tax credits are a nice bonus, for sure, and pull some sales forward in time. I’d expect there to be a slight hangover effect as the expiration date probably cleared most active, serious buyers.
“But there will be new buyers and those that could not find a suitable property before the 30th will remain in the marketplace,” Stenback continued. “So I’d expect total sales for the year to continue apace.”
Stenback added, “Affordability is still high, and interest rates remain rock-bottom. We can’t discount the motivational impact of those things either.”
Yes. I just quoted myself being quoted – the ultimate in navel-gazing.
Minnesota Housing Sales Gathered Steam [Finance and Commerce]