Impact of Loss of Federal Tax Credit

The loss of the Federal Tax Credit for first time buyers and some repeat buyers has had a definite impact on the number of homes going contract in my market area for May 2010. My market area is in the South Shore communities of Hillsborough County Florida. I did the numbers today and contracts for May were down almost 40% from what the were in April. I was hoping that low interest rates and attractive home pricing would compensate for the tax credit. I see now that the tax credit was driving home sales in our market area. Hopefully, the summer selling season will compensate for the loss of tax credit.