Smoky Mountain Real Estate joins the rest of the country in an adjustment to life without federal stimulus, for buying houses. The May news out of the National Association of Realtors for Pending Home Sales was totally expected. The report for May showed the Pending Home Sales Index fell 30% from the April index reading. This forward-oriented index tracks home purchase contracts that are signed, but the transaction is not officially closed. The Pending Home Sales Index has proven to be a useful gauge in tracking home sales. Trends are more accurate in longer term comparisons. For instance, there is better accuracy in time frames year vs year, than in month to month match-ups. The significant drop from April to May was almost a forgone conclusion. The extension of the “homebuyer tax credit” artificially forced hesitant homebuyers into the market. This provided robust home sales figures for; February, March, and April of this year. When the homebuying incentive ended, activity fell off.
NAR’s chief economist, Lawrence Yun expected this homebuyer behavior from the federal stimulus. He is pleased that congress has extended the deadline on official closings, because approximately 180,000 buyers missed the original June 30th close date. Unusually long closing times were caused by tighter lending qualifications, and by lengthy short sale processing. Yun also expects June figures to be low, as the adjustment to a more natural home buying market takes effect. The Chief Economist is pleasantly surprised, that some markets have seen increased home purchases without the federal stimulus. Furthermore, the tax credit appears to have helped stabilize home prices. Additional good housing news appears in a congressional renewal of the National Flood Insurance Program.
Today’s housing and real estate market is still a great place for purchasing a home or investment property. Given the uncertainty across the world’s investments markets, Smoky Mountain real estate looks quite good. There is ample inventory for sale and qualified buyers will find low interest rates on mortgages. Our mountain area is geographically beautiful, with many man-made attractions throughout the region. Check out properties on our user-friendly web site, using your personal search criteria. Contact the Jason White Team to finalize your purchase with help from our experienced real estate professionals.
Here are a Couple of My Latest Listings:
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Private Bedroom Suites w/Mountain Views! Incredible mountain views with private bathroom suites. Type: Single Family Home Location: Chalet Village Price: $269,900 Get more information > |
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Mountain Community w/Serene Privacy Nestled among 13+ acres this Mountain Community offers a mountain stream, tennis courts, pool and many more amenities. This hand crafted custom log home is ideal for retirement living due to the layout. Type: Single Family Home Location: Gatlinburg ,Tennessee Price: $399,000 Get more information > |