R U A FTB??

If you have spent any time on this blog or with me in person over the past six months, there's no doubt you have heard this message: this is the best market for investors and first-time buyers in 15 years.

It's not just spin - it's a fact.

The inventory of homes under $250,000 is shrinking faster than any other segment of the Denver market, and we are seeing fewer foreclosures now than any time in the past few years. The number of homes on the market is down over 21% from one year ago.

The absorption rate for all homes - foreclosures and private sales alike - at price points below $250,000 is less than four months. For homes above $1 million, it's nearly 60 months! There is obvious value in the bottom of our market for buyers today.

Here's a rhetorical quesiton: do markets change, or do they stay the same forever?

Obviously, they change. And they are changing. We lose opportunities only when they are taken by others. And right now, there are lots of people who are fearlessly snapping up the deals I see everyday.

Here are some compelling reasons why NOW is the time to get off the fence if you a first-time buyer:

-- FTBs are buying homes today that don’t have inflated equity...
-- FTBs don’t have to wait for their home to sell…
-- FTBs have sellers willing to pay their closing costs and buy-down already low interest rates...

-- FTBs are finding in many cases that it's cheaper to own that to rent, and that's before considering the tax benefits of home ownership...
-- FTBs are in the first true "buyers market" in nearly eight years.
-- FTBs still buy a home with 3% down, a job, and reasonable (not perfect) credit through FHA...
-- FTBs who purchase a home by July 9, 2009 are eligible for a $7,500 federal tax credit...

-- FTBs who buy and close before December 31, 2008, will receive their cash credit as soon as they file their 2008 tax returns...

-- FTBs who buy before December 31, 2008, will still be able to buy a home with just 3% down using FHA financing (down payment requirement increases to 3.5% January 1, 2009)

If you would like to wait another 12 months... until the news gets better on the television and word somehow reaches the Denver Post... that's your right. My concern, however is that by waiting you will face higher prices, less inventory, higher interest rates and tighter qualifying guidelines. Plus that tax credit is a great tool to help with rehab and improvements.

Please keep in mind that our market is complex and what applies to first-time buyers may or may not apply to $400,000 move-up buyers. All markets are local... and every buyer or seller is an individual.

Give me a call and let's talk about what the market looks like for you...