We are thinking about migrating to the Clear Internet plan. they are running a special for two devices at $50/month. We could have home and mobile internet...
The Home package is supposed to run between 6 - 12 Mbps. The local computer store that we use is running on clear and even though there are officially on the edge of the service area they are running around 6 Mbps.
The Mobile device will run up to 4 Mbps. That is easily in the 4G realm...
The biggest downfall we see is coverage outside of the Atlanta Metro. We would love to be able to take the home modem with us in order to fire up the network when we are on vacation.
So, what I am wondering is if any of you are currently using Clear, and what your experience has been...
Do you know what those initials (FTHBTC) stand for?
First Time Home Buyer Tax Credit...
If you aren't already familiar with it, it might be gone before you get a chance to get more familiar... It is currently slated to expire at the end of November. And the clock is ticking.
In a nutshell, the First Time Home Buyer Tax Credit is the governments way to push a few first time home buyers (people that haven't owned a home for 36+ months) off of the fence and get them buying sooner rather than later. It is $8000, in form of a refundable tax credit, for those targeted buyers if they buy a qualifying home.. and don't earn over the income caps.
There are a LOT of posts written about the tax credit... this post is about the clock. Or calendar, rather.
While talking with one of my "Go To" Mortgage Gurus, the subject of mortgage application turn times came up. He is up to his eyeballs in applications, as are other Mortgage Originators. They are currently turning from application to close in about 21 days...
The credit is slated to expire on November 30th... about 33 days from now. Given that most homes take a few days to negotiate, time is short...
Scratch all of that...
Alright, literally as I wrote the last line I got word that the credit is likely to be extended until April of 2010. The details haven't been hammered out yet, but it looks like the credit will survive for a few more months...
Nevermind.
But, don't wait until the last minute. Over the last few weeks we have seen homes in multiple offer situations. We have seen a little inflating of entry level home prices. Acting sooner, rather than later, might be a good idea... things usually slow during the winter here.
Aurthur Blank is at it again. He is making noise about wanting a new stadium for the Atlanta Falcons to play in. And to that extent, I have no issue with it...
But he seems to think it is the responsibility of the taxpayers to pick up the tab. Why? What responsibility do the taxpayers have to fund the business locations for private businesses? The Falcons are arguing that the need more luxury suites in order to increase revenue... Ok.
The State of Georgia will only barely be at the end of paying for the Georgia Dome when Blank wants another one... 2015.
But that doesn't matter... What matters is that there shouldn't even be a question. If the Falcons want a new stadium, make a business case for it, go out and get the money... and BUILD IT. But don't get the money from taxpayers, get the money yourselves.
Has Road Atlanta or Atlanta Motor Speedway taken hundreds of millions of dollars from the state to build new facilities? No... Even though there are more tickets sold for TWO weekends at AMS than for a season of Falcons football. Road Atlanta hosts 320,000+ fans each year... One could certainly make a case that they have a significant economic impact on Hampton and Braselton, GA.
Sports teams don't have a right to taxpayer money... They are business franchises, and as such should be responsible for their own venues... Just like ANY other business.
The market is in a state of change. And things are in a state of flux for the next few months... and depending on what happens with the First Time Home Buyer Tax Credit, maybe longer.
Inventories are dropping and sales are rising... September numbers:
Absorption rates are a good way to gauge market direction in both short and long terms. It measures the number of months it would take to absorb all of the current inventory if sales remained constant and no more homes came on the market. In general, maintaining about 6 months of home inventory is considered balanced.
Averaging the last three months of sales, there is about 8.5 months of inventory. Last year at this time we had 13.4 months of inventory using the three month average.
Using the last six months of sales, there is about 9.0 months of inventory. Last year we were looking at 13.2 months under the six month average.
The long term measure utilizes an average of twelve months of sales. With the long term look-back, I see 10.6 months of inventory. Last year was 14.6 month of inventory averaged over the past year's sales.
What does that mean?
From the Absorption Rates, I can tell several things. The market has been improving over the last few months. Each shorter time frame lowers the inventory lag. The market is MUCH better than last year at the same time, and last year the market had started a turn... but also started a seasonal downturn that we don't seem to be seeing yet this year. Finally, the market still has a distance to go before it is really balanced.
Combining this with the above data tells me that Gwinnett County has seen most of its improvements because of a lower supply, not an increased demand. Despite incredibly low rates and reasonable prices, buyers aren't jumping in to the market in higher numbers...
But...
There is an anomaly. When we start breaking the sales up by price, we see that entry level homes ARE selling at increased rates, while being offset by continued slackness in the higher end homes. This would be due to the $8000 First Time Home Buyer Tax Credit. It IS pushing sales of entry level homes, typically in the "under $150,000" price arena. But there are very few first time buyers looking in the $500,000 range.
The problem is that most of the sales to first timers are sales that would have likely happened next year anyway... which means that the tax credit, if continued, would lose effectiveness. But, if the credit isn't continued, the drop in sales will be more precipitous in December.
If you are an entry level buyer, and haven't found your house yet, the chances of getting closed before November 30th are pretty slim. But don't despair, you might be able to find the house you want for less money in December or January.
If you are a seller with an entry level home, things might start looking ugly... now. If the property isn't under contract, don't hold your breath. Right now it is taking 30 days to close buyers with excellent credit and perfect properties. Most first time buyers have some sort of issue that needs correction prior to closing.
The real test...
Will be the December numbers. I expect to see November come in with a HEALTHY increase. Nov. 2008 saw 376 sales, and I think that will be in the range of double for Nov. 2009. December 2008 had 503 sales... I'm looking for half of that if the tax credit goes away.
If sales come in higher in December and/or approach 370 (which was the number for January, 2009) in January, 2010, then we are on the road to recovery... I'm not expecting that.
Have you heard about Fusion 41? Ford is grabbing a handful of social media and leveraging it to promote the 2010 Ford Fusion.
I'll give you the link to check out the contest. It is pretty cool. Go buy a 2010 Fusion, grab a few friends and have some fun. BTW, I'll be happy to be on a team if you have the car...
;^ )
from LaneBailey.com
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Specializing in properties in Lilburn, Gwinnett County, Lake Lanier, cool garage properties, and "hobby" properties. Twitter: @LaneBailey or @Lilburn LaneBaileyCarGuy on FaceBook
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