Almost every day I am asked, "So, how is the market?" Well, that's a tough question to answer in passing. However, there is always one quick way to get a feel for how things are going.

Looking at the trend of the average sale price of homes in the market is a great way to see what has been going on. In some cases, it can help predict what is to come as well.

Currently (as of November 09) the average sale price in Spokane County was about $188,000. Compared to a year ago we are down from an average price of $215,000. That's about a 12% decrease. Not so good you say? Well, in comparison to some other areas of the country we're doing quite well. Can you believe some areas are down 50% or more?

So what does the future hold? It is hard to say for sure but with the extension and expansion of the Homebuyer Tax Credit, continued low mortgage rates, and an improving economy things appear to be looking a little bit better.

So now you know a few things about what is going on, and hopefully you have a better feel for how the market is doing.

Home Buyer Tax Credit Extended and Expanded

If you missed the $8,000 first-time buyer tax credit earlier this year there's no need to worry! As part of the plan to stimulate the economy, legislation was recently passed to extend the credit through April of 2010.

Also, if you didn't know, the tax credit was expanded to include buyers that already own a home.

Watch the video above for more details.

As always, never make any financial or tax decision until you have talked to your attorney, CPA or tax person. Which, by the way, if you don't have one you can contact me for a referral to one that I trust.

If you or someone you know may benefit from the program or you'd like more details feel free to get in touch with me. I'm always here to help.

2009 Months of Inventory

Months of inventory is a key indicator of the current market conditions and when viewed as a trend can often indicate where the market is headed.

It is generally agreed that 6 months of inventory is considered to be a neutral market. Less than 6 months is considered a "Seller's Market" and more than 6 months is considered to be a "Buyer's Market".

As you can see Spokane if faring well and is in a close-to-neutral market. In November we had just over 6 months of inventory. This indicates a healthy market with fair prices.

What does this mean to you?

Well, if you're selling a home it tells you that you need to be competitive. Your home needs to be priced fairly and it needs to be in good showing condition based on the price you are asking.

If you're a buyer it tells you that in general homes are priced competitively and are selling in a reasonable period of time. If you're looking at the trending you can see that the inventory has been heading down most of the year, telling you that prices will likely level out and may even start a very slight increase if we happen to get under the 6 month mark. If you're a buyer, now may be a good time to make you're move especially with the extended tax credit. I'll talk more about that in another post later.

Please let me know if you have any questions! Post to this blog or contact me:

Josiah Boone

509.389.0733
http://www.josiahboone.com/

Post Number 1

I intend to provide you with relevant and valuable information about the real estate market for Spokane and the surrounding area as well as other useful real estate related information. I hope you'll visit this blog regularly as I plan to post useful information several times throughout the week.

If you have any specific questions please respond, call, or email me any time. I'm always here to help.