Houston Realtor & Will There be Another Tax Credit? Should There be Another Tax Credit?

There have been some rumors floating around that another tax credit could be arriving some time in the future.

Really? Could this be true?  Should it be true?  I have to admit that the tax credit helped sales in the later part of 2009 and the early part of 2010.  However, the last couple of months have proven to me that the credit brought forward those folks who might have waited a bit to make a home purchase until spring and summer.

Not to say that the tax credit didn't help the housing industry because it definately did so in the short term.  But now we are wondering if another credit is necessary to stimulate sales in the housing market.  It could be said that folks are not making a purchase now for fear that if they do and a credit comes along they will have lost out on free money.  So the home buyer may think why not wait a little bit longer for another tax credit to come along and then we will make a home purchase. 

It could also be said that a tax credit is making us spoiled for short term benefits which could have nasty long term consequences.  The last couple of months of lagging home sales have given me some pause for thought about how the tax credit has effected our business in not such a glamorous fashion.

Now that we are heading into election mode, the talk is that folks are waiting to see who takes control of congress and therefore how our tax rates are going to be decided good, bad, or just plain mystifying.

Normally I'm excited about the Holiday Season because home sales usually pick up to take advantage of the homestead tax savings.  I havent heard any more rumors about a tax credit so maybe I'll just keep looking for investment homes for my eager investors.

Until next time.

Good Home Hunting!