Home Sales Continue to Outperform

May marked the 11th consecutive month where local home sales improved over a year ago. May
sales of 1,901 units -- a 14.17% gain over the same month a year ago -- is the highest number of monthly sales since June 2010. Year-to-date sales (Jan. through May) are up 10.31% from a year ago.



“What a great time to buy,” said Tom Hasselbeck, president of the Cincinnati Area Board of
Realtors. “Historically low mortgage rates and an inventory of affordable housing are contributing factors helping prospective and move-up buyers to stop looking and start buying.”



Average home sale price last month was $157,535, up 3.14% from a year earlier.
Local mortgage rates in May averaged 3.90%. That’s down from 4.77% a year ago. This week,
they’re at 3.80% (that equates to a $466 monthly payment for a loan amount of $100,000 over a 30-year term).



Cincinnati has a 6.5 months’ supply of homes at the current sales pace compared to an 8.5 months’
supply a year ago. A 6-month supply is considered a balanced market. “What we are witnessing is an
 increase in the number of sales each month with a year-over-year decline in our inventory,” said
Hasselbeck. “The continued increase in average price is a result of buyers acting quickly to purchase
reasonably-priced homes as soon as they appear on the market.” “Greater Cincinnati has been recognized as being one of the best in housing affordability,” said Hasselbeck.

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June 1, 2012: CNN Money Magazine ranked Cincinnati 10th in Most Affordable U.S. Cities to Buy a Home

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April 2012: Forbes ranked Greater Cincinnati 15th in America’s Most Affordable Cities.

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March 2012, Rent vs. Buy Index: Trulia ranked Cincinnati 17th of 100 U.S. Metropolitan Areas where it is cheaper to buy a home vs. rent. In 98 of the 100 markets, it was cheaper to buy vs. rent.

STAR ONE MOBILE MLS

Remember to use STAR ONE MOBILE MLS when touring open houses. The service will send you an email and/or text message of the house you just viewed so you can review it later. It will save you time!

Ever drive by a home and wonder how much is the listing price? or how many bedrooms does the home offer? or does it offer a formal dining room? Get information immediately from STAR ONE MOBILE MLS.

STAR ONE MOBILE MLS is easy to use. Simply call either 513-381-4000 for any Ohio listing for sale or 859-993-4000 for any Kentucky listing for sale.

The system will prompt you to enter the house number for the property and then respond with information on the property you are inquiring upon. While on the call you can press 1 to connect to a REALTOR, 2 to receive a text message about the property, 3 to receive estimated mortgage payment, 4 to physical street address and mls number, 6 to search for any other property within the local area.

Dial these numbers from any phone, any time on any listing (including other brokers' listings!) The phone number is easy to remember "4 1000's of listings"

TAX CREDIT EXTENDED FOR MILITARY

http://www.federalhousingtaxcredit.com/service_mem.php

Cincinnati Renters - ‘Buy Now’ Says Forbes

Cincinnati Renters - ‘Buy Now’ Says Forbes

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IRS spelled out guideline for elgibility...

The IRS has spelled out guidelines for eligibility for the home buyer credit when co-borrowers purchase a property.
When a home-owning parent of an adult child co-signs for a mortgage and both names appear on the note, the IRS says that under some circumstances, the first-time home buyer can qualify for the whole amount.
The IRS says the parent doesn't qualify for any portion of the credit, but if the child hasn't owned a home during the three years preceding the current purchase and can qualify based on income, he or she can be allocated the entire $8,000 credit.
When unmarried individuals co-purchase a home and only one of them is eligible for the credit, then the full $8,000 can be allocated to the eligible buyer.
Source: Washington Post Writers Group

Great Information - Website Links

http://www.nahb.org/generic.aspx?genericContentID=128298

http://www.realtor.org/home_buyers_and_sellers/2009_first_time_home_buyer_tax_credit

http://www.federalhousingtaxcredit.com/

http://www.irs.gov/newsroom/article/0,,id=204671,00.html?portlet=7

NAR Frequently Asked Questions Homebuyer Tax Credit Changes

National Association of REALTORS® Government Affairs Division
500 New Jersey Avenue, NW, Washington DC, 20001

Here are some of the most frequently asked questions on the changes to the Homebuyer Tax Credit:

Question: Existing homeowner credit: Must the new house cost more than the old house?
Answer: No. Thus, for example, individuals who move from a high cost area to a lower cost area who meet all eligibility requirements will qualify for the $6500 credit.

Question: I am an existing homeowner. On October 25, 2009, I signed a contract to purchase a new home. I have lived in my current home for more than 5 consecutive years and am within the new income limits. I will go to settlement on November 20. If President Obama has signed the bill by the time I go to settlement, will I qualify for the new $6500 tax credit?
Answer: Yes. The existing homeowner credit goes into effect for purchases after the date of enactment (when the bill is signed). There is no reference to the date of contract for the new credit. The provision looks solely to the date of purchase, which is generally the date of settlement.

Question: I am a firsttime homebuyer but was not within the prior income limits at the time I entered into my contract to purchase on October 30, 2009. I will be covered, however, by the new income limits. If the new rules have been signed into law by the time I go to settlement, will I be eligible for a credit?
Answer: Yes. The new income limitations go into effect as soon as the President has signed the bill. The income limit and other eligibility rules will look to your status as of the date of purchase,
which is the settlement date. So if the new rules have been signed when you go to settlement, you should be eligible for the credit (or a portion of the credit if you're within the phaseout range).

Question: I am an eligible existing homeowner. I have a fair amount of equity in my home. I have found a home with a nonnegotiable price of $825,000. Will I be able to use any of the $6500 tax credit?
Answer: No. The $800,000 cap on the cost of the purchased home is firm at $800,000. Any amount above $800,000 makes the home ineligible for any portion of the credit. The $800,000 is an absolute ceiling.

Question: I owned my home for 10 years, but sold it two years ago year and have been renting since. If I purchase a home, will I be eligible for the $6500 tax credit if I meet all the other eligibility tests?
Answer: Yes. Because you lived in the home for more than 5 consecutive years of the previous 8, you will qualify for the $6500 credit. For example, Say John and his wife bought a home in 2000 and lived there until 2008 when he got a divorce. Whether John has been renting or bought in the interim, he WOULD INDEED be eligible for the credit because he owned a home and
occupied it as his principal residence for 5 consecutive years out of the last 8 years. The keyword here is "consecutive." As long as he lived in that house for 5 years straight what he did since 3 years doesn't impact eligibility.

Question: I am an eligible firsttime homebuyer. I entered into a contract to purchase on November 1, 2009. Do I have to go to closing before December 1? How does the extension date affect me?
Answer: You do not have to close before December 1. Once the legislation has been signed, it will be as if the Nov 30 date had never existed. Therefore, so long as the contract settles before April 30 (or July 1, worst case), the purchaser will be eligible for the credit.