The 2010 Home Tax Credit

It has been a year since the federal housing tax rebate program that drove a lot of home sales last Spring.  As a reminder, the Feds were giving first time home buyers $8,000 and all other home buyers $6,500 to purchase a home with certain restrictions (like the house had to be your primary residence).   The buyers needed to have a contract on a house by April 30, 2010 and close on that house by June 30, 2010.

As that deadline approached, home closings in March, April, and May were very brisk as one would imagine.  People usually do not like to pass up “free” money from the government.  :-)

2011 Sales

So how have home sales compared in Cypress this Spring?  As expected, the March and April numbers are definitely down from last year.

Total sales in the Cypress area are down about 10.5%, sold homes were listed on the market about 70% longer, $/sqft prices are down about 6.3%, and median prices are down about 1.5%.

These numbers should look MUCH better on June – August closings this year since (1) that is traditionally the peak of the moving season and (2) a lot of people who would have closed on homes during those months last year pushed their schedules up a few months to get the government rebate.

Cypress Homes Sold Comparison