Susan Baltaragis

The housing market has taken a turn for the better. Here are some facts:

*Home sales rose to their highest level in two years (June-July) - due to the lower prices and tax credit for first time home buyers.

*Foreclosures and short sales reflect 31% of those sales. We need to get rid of the inventory, especially the distressed properties. This is the good news. The bad news is that foreclosures and short sales are bringing down the value of all other homes. Until we have these in control prices will continue to decline. Nationally there has been about a 15% decrease in prices year over year.

*Interest rates have gone down again - let's get more buyers out there!!

*Our local Chicagoland market which includes Cook,De Kalb,Du Page,Grundy,Kane,Kendall,Lake,Mc Henry and Will counties, has seen a slight increase in sales for the first time in more than 3 years.

*The National Association of Realtors is working very hard to get an extension of the tax credit for home buyers which is due to end November 30th of this year. They would like to have it increased to $15,000 and have it include all home buyers. The $8,000 worked well for first time home buyer but now we need an incentive for the move-up and move-down buyer. It is the housing market that will bring us out of the recession we are in.

Finally things seem to be getting better; not great but better. It will take some time, but with interest rates still very low and the stock market gaining some momentum, hopefully we will continue to have good news!

It looks like there are some zip codes in my market area (Naperville,IL - DuPage, Will counties, IL.) that have been elevated from a depreciating market to a stable market. This is wonderful and joyous news. Hope it keeps up!

Part of the Obama stimulus plan is geared to helping responsible homeowners "refinance" their loans. You may be eligible if:

*You own and currently occupy a one-to-four unit home. *Your mortgage is owned or controlled by Fannie Mae or Freddie Mac *You are CURRENT on your mortgage payments*The amount you owe on your first mortgage is about the same or slightly less than the current value of your home * You have a stable income sufficient to support the new mortgage payments

Eligible loans will include those where the first mortgage will not exceed 105% of the value of the property. For example, if you paid $300,000 for your home and your home is now worth $285,000 or less, you may qualify. The interest rate will be based on the market rate at time of refinance, you may not take out extra money to pay down debt, but can add the closing costs to the refinance charge.

If you are really under water - you may qualify for the Modification Initiative. Call a reputable bank for more detailed information.