What does the $6500 tax credit mean to you?

[Jon Klaus]

http://news.yahoo.com/s/ap/20091105/ap_on_bi_ge/us_homebuyers_tax_credit

Will you use it personally?

Are you a broker/agent--how will it affect your business?

Wholesalers--what will it do for you?

Will it stimulate a substantial amount of transactions in your area?

One requirement is that you must have owned your primary residence for at least 5 years. This is probably a pretty strong group, financially. $6500 may not be enough to entice them, but if they are on the fence it might cause them to buy. Or if they were going to buy in the next couple of years, they might move up the purchase date. Or they might see this as an opportunity to unload their home now.

What do you think?

[Account Closed]

I suspect it will do more good in the long run than the $8,000 first time buyers credit.

People who have owned a house for 5 years are going to be more financially stable than first time buyers who can't get together a down payment without the government chipping in.

I know a few people (lots of people) who have told me they want to buy, but they are waiting for the bottom of the market. Well, prices are plenty low right now and take another $6500 off the price and it's even more attractive. Banks are starting to give mortgages again.

The big catch is that in order to buy, they must sell their existing house first. I don't know how long that $6500 credit is good for, but if it expires too soon, few are going to be able to take advantage of it.

I also know peole who sold at the top of the market, put their money into savings and waited. But it sounds to me like the guys with cash to buy aren't going to qualify because they sold their house 2 years ago, therefore haven't been living in their house for the past 5 years.