Rob & Jeannie Steward

The real estate uptrend continues as the National Association of Realtors (NAR) announced today that existing-home sales rose 7.2 percent in July. This marks the first time in five years that existing-home sales have increased for four months in a row and is the largest monthly sales gain on record.

In addition to the month-over-month increase, existing-home sales were 5 percent higher than in July 2008. The last time sales were higher than a year earlier was November 2005.

NAR Chief Economist Lawrence Yun is encouraged by the recent statistics. "The housing market has decisively turned for the better. A combination of first-time buyers taking advantage of the housing stimulus tax credit and greatly improved affordability conditions are contributing to higher sales," he said.

High affordability, low mortgage rates and the $8,000 first-time buyer tax credit make now an excellent time to purchase a home. For those consumers interested in taking advantage of these favorable market conditions, it pays to do your homework.

Buying a home is probably the biggest purchase one makes in their lifetime. According to the National Association of Realtors, prospective buyers should spend some time getting educated before embarking on a house hunt:

Decide what you want. Make a list of the features you want in a home. For example, figuring out the preferred style, size, location and number of bedrooms and bathrooms will help narrow down the possibilities.

Search online. Browse the Web for homes that meet your criteria. Many sites, including Weichert.com, allow you to see multiple photos, view school and neighborhood information, and set up e-mail alerts to notify you of new listings.

Explore the community. Drive through the neighborhoods and visit nearby shopping areas to get a better sense of the areas you are focusing on. Local real estate agents can also be a great source of information about the communities in which they do business.

In July, the National Association of Realtors (NAR) Pending Home Sales Index rose to the highest level since June 2007. Not only was the number of homes pending sale up from June, the index was also 12 percent higher than the same month last year. Pending home sales are a good indicator of the future pace of existing-home sales, since they reflect the number of contracts that were signed to purchase a home. Once under contract, most of these pending sales become actual sales within the next two to three months. In fact, NAR Chief Economist Lawrence Yun expects existing-home sales to rise through the fourth quarter of this year due, in part, to the $8,000 first-time buyer tax credit and high housing affordability. He said, "The buyer psychology may be shifting from 'Why buy now when I can purchase later?' to 'I don't want to miss out on a recovery.'"

Valuable information to share with buyers!

The economic stimulus plan signed into law in February included a financial incentive for first-time buyers -- an $8,000 tax credit, that unlike past versions does not need to be repaid. Combined with historically low interest rates and more affordable home prices, the tax credit has made the decision to purchase real estate an easy choice for many buyers.

Review the following information to see if you are eligible to take advantage of the tax credit:

• The home purchase closed/will close on or after Jan. 1, 2009, and before Dec. 1, 2009.

• The home is being used as a principal residence.

• You have either never owned a home, or have not owned a home in the last three years.

• Your modified gross income is less than $95,000 for single tax payers or $170,000 for married filers.

Weichert has a resource for first-time homebuyers on its Web site that includes the most up-to-date information on the $8,000 tax credit. Click here or visit www.weichert.com/firsttimebuyer today to learn how this incentive can help you achieve the American dream of homeownership.

Homebuyers are more interested than ever in purchasing an energy-efficient home. With the warm weather months upon us, buyers will be looking at a home's cooling costs and energy-saving features with a more critical eye.

Get started by making some of these simple improvements to your home to help lower monthly utility bills, increase your property's overall appeal and reduce the impact on the environment:

• Contact your utility company to arrange for an energy audit that will show where the home is energy inefficient.

• Caulk and use weather stripping to fill air leaks around doors and windows. This will minimize the amount of air conditioning that is required to keep the house cool. It will also help keep the house warm during the winter months.

• If you will be purchasing any new appliances, choose energy-efficient units that appeal to buyers because of the savings on energy costs.

• For a major project like installing new windows, double-glazed windows are recommended because they help insulate the home from both hot and cold weather.