Evren Senol Saint Louis Real Estate

I am simply relaying the information I received from one of my partners.

• A Busy Winter for Real Estate?
• Current Interest Rate Trends
• NAR Reporting Rising Existing Home Sales    

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House hunting usually slows down this time of year, as people put their searches on hold during the holidays. But according to the Wall Street Journal, this winter could be different, however, thanks to the extension -- and expansion -- of the first-time home-buyer tax credit.

The new law extends the tax credit for first-time home buyers and opens it up to some existing homeowners as well: The credit is now up to $8,000 for first-time buyers and up to $6,500 for repeat buyers. Learn more about the newly extended and expanded home buyer tax credit.

Most U.S. cities have seen gains in the median price of single-family homes sold during the past 12 months. Check out the interactive map for specific market information. In addition, interest rates are low right now, but will likely rise next year. Higher rates will affect a buyer's monthly mortgage payments, thus the affordability of buying a home.

The Markets...  Last week rates moved to their lowest level in five weeks. Freddie Mac announced that for the week ending November 12, 30-year fixed rates averaged 4.91%, down from 4.98% the week before. The average for 15-year fixed fell to 4.36%. Adjustables were also down with the average for one-year adjustables falling slightly to 4.46% and five-year adjustables decreasing to 4.29%. A year ago 30-year fixed rates were at 6.14%. “Rates eased further over the week, helping to promote an affordable home-purchase market and stimulate refinances,” said Frank Nothaft, Freddie Mac vice president and chief economist. “This comes at a time when house price declines are moderating and consumer demand for prime mortgages at commercial banks has picked up. The National Associ ation of Realtors® reported that national median sales price of existing homes fell 11.2 percent in the third quarter relative to the same period last year. Moreover, almost 20 percent of the top metropolitan areas experienced positive annual growth, compared to only about 12 percent in the first quarter of this year.”

Most states continued to experience rising existing-home sales in the third quarter, with prices moderating in many metro areas, according to the latest survey by the National Association of Realtors®. Total state existing-home sales, including single-family and condo, increased 11.4 percent to a seasonally adjusted annual rate of 5.30 million units in the third quarter from 4.76 million units in the second quarter, and are now 5.9 percent above the 5.01 million-unit pace in the third quarter of 2008. Sales increased from the second quarter in 45 states and the District of Columbia; 28 states and D.C. saw double-digit gains. Year-over-year sales were higher in 32 states and D.C. Lawrence Yun, NAR chief economist, said the tax credit is a significant factor. “We can’t underestimate just how powerful a catalyst the first-time home bu yer tax credit has been for the housing sector,” he said. “It’s given buyers the confidence they needed to get off the fence and take advantage of extremely affordable housing conditions. The buying conditions this year are the most favorable on record dating back to 1970, but the tax credit is allowing buyers to set aside any reservations about waiting for a better deal.” Source: National Association of Realtors®