PRO and CON: Should I Buy a House in 2009?
North Highlands, CA (PRWEB) June 10, 2009
Tax attorney Roni Deutch is helping taxpayers by examining the financial pros and cons of home ownership on her personal blog.
"The real estate industry in this country is in shambles," notes Ms. Deutch. "Not only have prices plummeted over the past five years, but both Federal and State agencies are also providing incentives to help taxpayers make the big leap. Although there are plenty of good reasons to buy now, getting into a mortgage during a nation-wide recession might not be in the best interest of every single American."
To help taxpayers understand the advantages and disadvantages of purchasing a home in 2009 Ms. Deutch took to her blog and published an entry titled "PRO and CON: Should I Buy a House in 2009?" Included below are a few of the tips from Deutch's blog entry, but the full version can be found at The Tax Lady Blog.
PRO: Tax Credits
To encourage home buying, the Federal government is offering a one-time tax credit to first-time buyers who purchase a home before the end of 2009. The credit is for $8,000 (or 10% of the sale price, whichever is lower), and--unlike last year's incentive--it is a direct credit and does NOT need to be repaid.
In addition to the Federal tax credit, numerous state and local government agencies are also offering incentives. For example, here in California there is a $10,000 credit for the purchase of a new construction home. The specific rules and amounts will vary by your location, so be sure to ask your agent and/or lender for more information on the incentives you might qualify for.
CON: Prices still dropping
Although some experts predict the economy will begin rebounding at the end of 2009, many are saying that the real estate market will not follow as quickly. Real estate prices are actually still dropping. Financial analysts insist they may continue to drop for another year, which would lower the value of any home you buy now. However, if you are looking to buy a house in the near future, then make sure you do not wait too long. Also, remember that it can take months to complete the purchase of a home.
PRO: Interest Rates
If you are thinking about buying a home, and trying to calculate how much you can afford, then you need to think about the interest rate on your loan. Right now, interest rates for qualified buyers are still very low. However, experts are speculating that rates could go up in the next few months, so waiting could result in higher mortgage payments.
Millions of people recognize tax attorney Roni Deutch as The Tax Lady®. She has been helping taxpayers nation-wide resolve their tax liabilities for eighteen years. As an industry leader, she has saved her clients tens of millions of dollars and has helped thousands of families settle their back taxes.
About Roni Deutch, A Professional Tax Corporation
Roni Deutch, A Professional Tax Corporation is a nationally recognized law firm that has been helping clients find solutions to their back tax liabilities for eighteen years. To find out more about the law firm or its IRS tax relief services, visit their website at RoniDeutch.com or call 1-888-TAX-LADY. To learn more about The Tax Lady Roni Deutch, you can visit her blog or YouTube profile.
The Tax Lady's Guide To Beating The IRS And Saving Big Bucks On Your Taxes
(BenBella Books, February 15, 2009, Paperback Price: $16.95, ISBN 978-1-933771-77-9)
Roni Deutch, A Professional Tax Corporation
877-232-8477 Ext. 2410
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