Young Brothers

Florida real estate is one of the several in the United States that will likely benefit from the unprecedented housing legislation bill passed by the U.S. government last month. It will still take some time to see whether allowing thousands of borrowers to refinance their mortgage will have a positive long term effect but for the meantime, let’s see what some industry experts have to say about it, in this case Pete Flint the CEO of the popular Trulia real estate website.

Hesitant first time buyers will be critical in boosting home prices throughout the country and this trend may begin to occur sometime after the month of October as the incentives of the legislation go into effect and ease buying jitters. A boost in buying demand should prove vital in encouraging the languishing economy once again.

More importantly, will this legislation ameliorate the foreclosure situation? Flint says that while this should inspire homeowners to try and keep their homes instead of giving them up, lenders will be the ones with the upper hand when it comes to slowing down the rise in foreclosures since it will be up to them whether they decide to take the financial burden or simply allow yet another foreclosure. Borrowers who refinance should also understand that when they decide to sell their Jacksonville home, part of the money earned on the sale will be going to the government.

Even as the housing legislation starts to go into effect, there is a possibility that home prices and the market climate will be in better shape come next year. When (and if) the real estate market and the economy do recover, lenders and borrowers should learn from the mistakes that caused the market plunge in the first place. Do you agree with Mr. Flint’s observations? How do you think the housing legislation will affect Jacksonville real estate?