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Description: Just 5% of Americans planning to buy house within a year, with top motivation being a belief that prices have "bottomed"
URL: http://www.boston.com/business/articles/2009/11/11/just_5_percent_of_americans_p ...truncated...
Info/Broken?: http://www.bostonbubble.com/link_info.php?id=2669

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[dublin26]

Hello,

Actually, I'm living in California & next month I want to change my house because my job location is transferred to Newyork city. So in that case, I want to buy a new house in Newyork state. I have a family so I want house according to them. If anybody knows the best agent which gives me desire location & a house. Tell me.
Thanks...

[beautifulhomes1]

[RealEstateCafe]

Glad to see this timely thread as it provides an opportunity to compare today's housing market to the recovery that began a DECADE ago, 2009! Appears the 5% figure was newsworthy then because an experimental federal home buyer tax credit was showing signs of success -- increasing demand a full percentage point from June 2009 and:

"...prices appear to have bottomed out."

HISTORIC CONTEXT: After housing prices peaked in 2005-2006, federal policy makers were throwing money at the housing market to stimulate demand:

"Buyers who have owned in their current homes for at least five years are eligible for tax credits of up to $6,500, while first-time homebuyers - or anyone who hasn’t owned a home in the last three years - would still get up to $8,000. To qualify, buyers have to sign a purchase agreement by April 30 and close by June 30."

Fast forward a decade and let's ask BostonBubble readers to crowdsource signs local housing markest has reached a turning point. Despite predictions that Boston would rank in the Top 10 housing markets for 2019, newest stats undercut that forecast:

https://twitter.com/RealEstateCafe/status/1133732892641812480

Are today's homebuyers at risk of buying at the top of housing cycle? Historically, real estate markets have run in 7 to 10 year cycles, and some argue that the Great Senior Sell-Off is poised to begin in 2020:

http://bit.ly/SrSellOff

Is the risk of buying in 2019 unintentionally compounded by another grant source, not homebuying tax credits offered by the Feds but family gifts from the Bank of Mom & Dad? As a group, they represent the 7th largest lender in the US and their median gift of nearly $40,000 is five times the Federal subsidy a decade ago. Nationwide, they're involved in about 1 in 5 sales, probably more in Greater Boston:

http://bit.ly/CautionBoMaD

What's your take?

PS. If you've made a decision to buy, like Dublin26, ask about @RealEstateCafe's can you help us create a new rebate option we're calling a #REGiftMultiplier. Traditionally, clients have used our industry leading buyer rebates to reduce housing costs (and occasionally winning bidding wars), but the REGiftMultiplier gives you the ability to payback mom and dad or your student loans:

http://bit.ly/Shop4EBA
_________________
Bill Wendel
The Real Estate Cafe
Serving a menu of money-saving services since 1995
97a Garden St.
Cambridge, MA 02138
617-661-4046
realestatecafe@gmail.com
http://realestatecafe.com/blog
http://twitter.com/RealEstateCafe

[RealEstateCafe]

Cross-posting from Twitter. Invite comments there or below:

Q: @JohnWake @BubbleInfo Is risk of buying in 2019 unintentionally compounded by #BankOfMomAndDad? As group = 7th largest lender in US, median gift of nearly $40K or 5X homebuyer tax credit in 2009. Nationwide, approx 1 in 5 sales, more in Metro #Boston?

http://bit.ly/CautionBoMaD

+ + +

TWEET: http://bit.ly/BoMaDEMAND
_________________
Bill Wendel
The Real Estate Cafe
Serving a menu of money-saving services since 1995
97a Garden St.
Cambridge, MA 02138
617-661-4046
realestatecafe@gmail.com
http://realestatecafe.com/blog
http://twitter.com/RealEstateCafe