Today's KCM Blog Post: "The Post Tax Credit Housing Market (Part 2)"
Monday, June 14, 2010
What will housing demand look like for the rest of 2010?
It has been an interesting six weeks since the last of the government programs for buyers, the Home Buyer Tax Credit, has expired. Demand has slowed down but has not come to the screeching halt some had expected. The million dollar question is ‘What will happen to demand as we continue through the rest of this year?’ We will attempt to answer that question today.
Demand should be broken down into three categories of homes for sale:
- entry level homes: for first time home buyers
- move-up homes: for the sellers of the homes that first time buyers purchase
- upper end homes: the highest priced homes in the area. In some pricier marketplaces, the upper end homes will be luxury homes (selling for more than $1 million).
Each marketplace will have all three types. Let’s take a look at what will potentially happen in each category in the second half of 2010.
