Edmonds, WA

The Northwest Multiple Listing Service reported that in October 2009, the number of pending sales increased 63 percent as compared to the same month in 2008. At the end of October 2009, there were 38,159 active listings, a drop of 17.4 percent as compared to the same month one year ago.

In King County, closed sales were up 33 percent as compared to closed sales in October 2008. The median price of sold properties in King County in October 2009 was $377,5000, which was down from the $392,000 median price from October 2008. In Snohomish County the median prices of sold homes was $292,725, which was 12.2 percent lower than the median price from October 2008.

The sales of higher priced homes are increasing as buyers are taking advantage of soft prices. Higher end properties are selling for a substantial discount when compared to 2005 prices. As an example, a home in downtown Edmonds, that sold for $800,000 in 2005, can now be purchased in the range of $580,000.

To search for properties in the Seattle metropolitan area, go to my website www.davidsundquist.com

If you live in the Seattle metropolitan area and you have owned your home for 5 of the last 8 years, than you can receive a tax credit, if you move up. Check the details below. Pay attention to the deadlines. You have to be under contract by April 30, 2010 and close by the end of June 2010

The $8,000 homebuyer tax credit for first-time buyers, will be extended through April 30 of next year and buyers will have an additional two months, until the end of June, to close. First-time buyers who are in the process of making a purchase will no longer need to worry about qualifying for the $8,000 credit if they close after the November 30 deadline. The new legislation increases the income limit for couples with income up to $225,000, a nearly $55,000 increase above the level in existing law.

For the first time, the new legislation makes buyers who already own a home eligible for a credit. A $6,500 maximum credit will be available to existing homeowners who have lived in their current residence for five of the prior eight years. The legislation limits eligibility for the existing homeowner credit to homes worth $800,000 or less.

The legislation takes effect December 1 and is not retroactive. Both credits are available only for primary residences, not second homes or investment properties.

This animated video can help you decide to buy vs. rent. It's a straightforward look at some of the pro's and con's of buying and selling. There are so many advantages - from tax deductions, to zero or reduced capital gains tax on certain profits of a future sale of your home, to simply having ownership in a community - that it's important you know before you rule it out. Of course you will want to consult with a CPA or other financial expert to learn about your specific situation.

Don't miss out on the convergence of exceptionally low interest rates, low real estate prices, federal tax breaks for new and current homeowners and the opportunity to take ownership in your community.

EDMONDS, WA -- Seattle Times writer Lynn Thompson wrote a nice article on Edmonds, WA in the November 5, 2009 edition of the paper. It focuses mainly on how the town has evolved and yet kept true to its past, with the shops and stores that have clustered around the downtown area.

It's worth the read. Perhaps over some coffee or breakfast at your favorite eatery.

On Wednesday, Nov 4, the U.S. voted 98-0 to pass the expanded Homebuyer Tax Credit and yesterday, the House voted 403-12 in favor of it as well. The extended and expanded bill now goes to President Obama for his signature. Among the bill's provisions, it will:

• extend the $8,000 first time homebuyer tax credit through April 30;
• create an additional $6,500 tax credit for current homeowners who have lived in their property for 5 consecutive years out of the past 8 (they must sell that home too);
• require proper documentation (aka proof) that they purchased a home on their federal tax filings.

For details, check out this summary of the tax credit changes on my Google Docs.

I've also posted a FAQ summarizing homebuyer tax credit changes for those who have further questions.