Grand Rapids real estate is still a good investment and here is why.

1. Grand Rapids is a great place to live. Lots of exciting things are happening in town with the Medical Mile being developed.
2. Interest Rates: Interest rates are still relatively low and are expected to hold for a little while longer.
3. Less Competition: In the weeks and months leading up to the deadline, we were quite busy. It has slowed down some so the odds are less that you will find yourself trying to outbid someone else for a home or condo.
4. House Values are still low: That’s right, values are low and are going to stay like this for awhile yet.

So it is still a good time to buy a home in Grand Rapids. If you have any questions about the market, the home buying process, or if you have a  home  to sell, give me a call or contact me anytime. Use this website to search the entire Grand Rapids Listing Service and if you have any questions about anything at all, let me know.

UPDATE: The 2009 Stimulus package includes an updated version of the First Time Home Buyer Credit. CLICK HERE for more information.

$7500 Tax Credit for First Time Home Buyers

The Feds have passed a new law enabling first time home buyers to benefit from a $7500 tax credit when they purchase a home. (The Housing and Economic Recovery Act of 2008 – HR3221). This is an excellent incentive to encourage some movement into the housing market. With interest rates low and large inventories of homes, there are some fantastic opportunities out there.

• The tax credit is available for first-time home buyers only
• The maximum credit amount is $7,500
• The credit is available for homes purchased on or after April 9, 2008 and before
  July 1, 2009
• Single taxpayers with incomes up to $75,000 and married couples with incomes up to $150,000 qualify for the full tax credit
• The tax credit works like an interest-free loan and must be repaid over a 15-year period

This has the potential of positively affecting the whole Grand Rapids market. As these 1st time buyers move in, the previous owners will move up. This is a smart move by the government in an attempt to stabilize the economy by bringing down some of the housing inventory levels. Property values have dropped dramatically in the last couple of years. And now with sellers getting very competitive by lowering their asking price, fixing up the house, offering Home Warranties… it is a good time to take advantage of this tax credit.

Here is a good FAQ from the National Association of Realtors.

UPDATE 2/11/2009: $15,000 Home Buyers Tax Credit