This month's photo montage is a response to water, beaches and warm summer breezes. They tend to be my first thoughts when the calendar shows a new year, there is snow on the ground and a feeling of optimism in the air.
Real estate writers are supposed to have some picture of where the market is headed. If the common thought I hear from brokers and the public alike the past few days is any indication, there seems to be more uncertainty yet more optimism and excitement in the air.
I honestly do not have a strong sense one way or the other. Based on the last 6 months, I am expecting a good personal year in real estate. I just am not certain where that leaves our buyers. Mortgage rates have come up a bit and seem to be settling around that 5% level. Several mortgage brokers and banks I trust are looking at no upward movement until mid spring.
Just as in the Northeast as a whole, the number of sales on Martha's Vineyard the last 6 months is up 25% over last year and although median price has seen some erratic growth, currently stands about 10% below last years levels. Where prices will be in six months is not as clear to me as mortgage rates. Any further dip is difficult to imagine and we have had double dip recession before.
Of special interest to our buyers, when you remove land and condominiums (particularly slow in the recession), the median sale price of single family homes has shown a constant increase since August.
President Obama's extension of the Home Buyer's tax Credit to include existing home owners among the best real estate news items of the year. You can review the basics at NEW 2009-2010 Federal Homebuyer Tax Credit Information Contact your accountant for the particulars.
The Wall Street Journal had an eye opening article about the current state of real estate:
Five Key Housing Issues to Watch in 2010
For a wrapup of everything not real estate related, the Vineyard Gazette reports: White House to Bleak House, Year of Challenges on Island
The brokers of Martha's Vineyard Buyer Agents (and Shelby, of course) wish you and yours a healthy, happy and prosperous new year!
I have lots of reason to be optimistic this year. Thanks for posting the summer breeze. :)
Posted by: Realtors | January 26, 2010 at 11:20 PM