So the Federal home buyers tax credit is ending. The rush is dying down. What should Los Angeles home buyers be doing now?
Hopefully, those buyers who purchased their homes in a rush to get in under the wire before the expiration of the home buyers tax credit got the homes they wanted. Those that have not yet purchased should not take their time.
May 1, the California first-time home buyers tax credit kicks in and that is not going to last long. This is a $10,000 tax credit given over 3 years. This is also available for the purchase of a previously unoccupied home. This also is not expected to last as the monies will run out.
Interest rates and home prices are slowly rising so it is a good time to catch the wave. What we do need to see is new inventory, so it is a win-win situation for both buyers and sellers. A new, well-priced home is going to be a desirable commodity.