Home Buyer Tax Credit

If first-time homebuyers wait until November to sign a sales contract, it's probably too late to get the $8,000 tax credit. To qualify, buyers must CLOSE before Dec. 1 - a signed contract is not enough. New construction should be started by mid-summer to qualify.

Interest Rates for Week ending April 23, 2009

Freddie Mac (NYSE:FRE) today released the results of its Primary Mortgage Market Survey (PMMS) in which the 30-year fixed-rate mortgage (FRM) averaged 4.80 percent with an average 0.7 point for the week ending April 23, 2009, down from last week when it averaged 4.82 percent. Last year at this time, the 30-year FRM averaged 6.03 percent.

Existing Home Sales

Florida's existing home sales rose 30 percent in March, making it the seventh month in a row that sales activity was higher than year-ago levels, according to FAR's latest housing data. Statewide existing condo sales increased 25 percent over the same period; and last month's home and condo sales were higher than February's levels. NAR reported that national existing home sales - all housing types - fell 3 percent compared to February's activity.

Current Mortgage Rates

Rates on 30-year mortgages inched higher this week to 4.87 percent after two straight weeks of record lows, but still remained at attractive levels for borrowers looking to refinance their home loans.

More Good Housing News!

Second straight monthly gain in pending home sales -- up nearly 11 percent in the Northeast, 15 percent in the Midwest, and 4.4 percent in the Southern states. Only the Western region saw a decline at 13.5 percent.

The ability of consumers to buy a house, as measured by the National Association of Realtors' Affordability Index, hit a record new high last month thanks to declining home prices and record-low mortgage rates.

Mortgage rates continued to drop last week -- even from the record lows the week before, according to the Mortgage Bankers Association. Thirty year rates now average just 4.6 percent and 15-year fixed loans average 4.45 percent with about a point.

Consumer spending registered a small increase, up by seven tenths of a percent in the last month. Personal income was up slightly as well.

Both the major indexes that measure consumer confidence, which is a key driver of home buying, were up slightly in the last month. The University of Michigan's survey and the Conference Board's index both registered small gains.