Comments on: South Bend Real Estate Report: January 2009

By: Dean

Dean — Fri, 13 Feb 2009 22:23:26 +0000

It looks like it’s going to be a tax credit of $8,000 that won’t have to be repaid. Not too bad.

By: Nick Molnar

Nick Molnar — Fri, 13 Feb 2009 01:57:04 +0000

At this point, it looks like the much discussed $15,000 tax credit won't materialize. There is discussion of a smaller credit, along the lines of $7,500 for first time homebuyers. Read more at the Wall Street Journal.

By: BG

BG — Mon, 09 Feb 2009 15:45:07 +0000

Joe – What you are describing is a tax deduction. The bill passed by the Senate is a tax credit. I read some more on it to make sure I understood correctly, and it is even better than I thought. The tax credit can be split between two years, which will benefit taxpayers that don’t pay enough federal tax in one year to get the full credit.

Here is a link that gives some more details:

http://www.bloomberg.com/apps/news?pid=20601087&sid=a30KUnGy1VEM&refer=home

Renter Tom – For the most part I agree with you. If I were in congress this is not a bill I would vote for. However, I don’t worry about what I cannot change. I just look at the laws and try to determine how they will affect me.

I do not think this bill will rob future demand very much. For the most part it will cause a lot of existing homeowners to shuffle houses. Some will upgrade, some will downsize. It will convince some renters to buy a home, but I don’t think there are many left who have decent credit that did not take advantage of the loose lending standards of a couple years ago.

By: Mary T

Mary T — Sun, 08 Feb 2009 06:56:37 +0000

Whatever happened to Woodbridge Villas??? I really like them but thought they were a bit over priced and sorta crammed in there next to Ironwood Drive if you had one that backed onto it. I had heard the developer was going bankrupt or the bank was or had taken it over? I feel bad for the building since they are a nice builder.

By: Renter Tom

Renter Tom — Sat, 07 Feb 2009 20:26:41 +0000

BG – The new tax credit for homebuyers is just a scam in an attempt to create demand now but it will cost demand later. Let the market work itself out and stop all the tax shell games. The responsible banks out there should be allowed to grow and thrive….they could buy up some of the large banks’ branches after those fail. The US had a bleak long term financial prognosis with all the social programs needing to be funded over the next 40 years but now we are barreling ahead into the brick wall even faster…..step on the gas. It is insanity, pure insanity. From $10 Trillion in federal debt to $16 Trillion by 2012???? That will put the US debt above our GDP! Crazy.

By: Joe

Joe — Fri, 06 Feb 2009 22:59:14 +0000

BC – I think you have it wrong. As I understand tax credit – it means that you get to take 15,000 off your adjusted gross income. If your income is 100,000, the credit would adjust the amount you pay taxes on to 85,000. The savings is whatever your tax rate is times the 15,000 credit (as an example 15K x 20% would be 4,000 saved)

By: Dean

Dean — Fri, 06 Feb 2009 17:20:24 +0000

Sammy S, I don’t have to sell this year but I do have to sell next year. I’m debating just putting it on the market and seeing what happens this spring. If there’s no action, I’ll just take it off and relist next spring. I’ll probably lose around $20K if I sell this year but will be able to recoup some of the loss by renting at a much lower cost. Who knows how much I’ll lose next year??? Owning a home is no longer the American Dream. It’s now the American Nightmare!

By: BG

BG — Fri, 06 Feb 2009 15:27:25 +0000

If Congress passes the new tax credit for homebuyers, that would really help.

Surprisingly the way it is written it will benefit those of us in “flyover country” more than it will those on the coasts. I believe the proposal will give a buyer a 10% tax credit on the purchase of a home up to a max of $15,000.

So on a $100,000 home in South Bend that will effectively make it $90,000. On a similar home in California that sells for $400,000 it will only effectively reduce the price to $385,000.

By: Sammy S

Sammy S — Fri, 06 Feb 2009 02:24:35 +0000

I’d wait until next year to sell your house if you have the luxury of waiting Dean. The whole mortgage financing things needs more time to shake out and settle down.

We like graphs, especially the graphs that show each year by month going back to 2001. One graph with nominal dollar sales per month and one with real dollars sales per month would be very very very interesting to compare.

I also say the Steve and Vanessa Smith article on CNN.com. Would be interested to know which developers or building bit the big BK in 2008 and in 2009.

By: Michelle

Michelle — Wed, 04 Feb 2009 18:17:48 +0000

I was wondering if there were any closings at Stadium Village Townhomes? Their website says some have sold. Also curious at what prices….