Written by Kenneth R. Harney
Realtors, home builders and consumers hoping not just for an extension of the $8,000 tax credit, but an expansion to all buyers in 2010, shouldn't hold their breath.
That's because it's looking more likely that Congress will only agree to a continuation of the current credit beyond its scheduled November 30 termination date.
But that's not bad news. Just a few weeks back the key question was: will Congress extend the credit at all? Now that looks like a pretty safe bet.
When it comes to tax issues, you've got to follow what New York Congressman Charlie Rangel is saying. He's the chairman of the Ways and Means committee, and no tax legislation has even a chance of getting anywhere without his say-so.
On the other hand, bills he supports, they just about always make it at least to the House floor, and usually beyond.
Here's what Rangel told reporters last week about the housing tax credit: "There's no question I think it should be extended," he said. How long, I haven't discussed." Rangel also said he doesn't thing that "eligibility should be expanded beyond the first-time home buyers," according to Dow Jones Newswires.
That's probably the kiss of death for lobbyists pushing for an increase in the maximum credit to $15,000, and expansion of coverage to nearly all buyers of homes in 2010, and an increase in the income limits for eligible purchasers.
The National Association of Realtors and the National Association of Home Builders have been the most outspoken advocates of a year long extension and expansion of the credit, up to a maximum $15,000.
Informed of Rangel's comments, home builders president Jerry Howard said he's no longer as "optimistic about expansion" as he once was.
But, on the other hand, chairman Rangel's endorsement of an extension of the credit -- for a yet-to-be specified period of months -- has got be a lifesaver for thousands of buyers who've been worried they'd miss out on this year's credit because they can't close their transactions by November 30.
The politics of the tax credit, and the likely rejection of a bigger credit, are all about the budget deficit. Lawmakers on both sides of the aisle are looking for ways to cover the multi-billion-dollar revenue costs of an extension of the credit. Some estimates go as high as $15 billion.
One idea advanced by Georgia Republican Sen. Johnny Isakson: tap into some of the unspent economic stimulus bill money still sitting in the $800 billion economic stimulus bill.
Published: October 19, 2009
Tuesday, October 20, 2009
Saturday, August 1, 2009
Four Easy Ways to Improve Curb Appeal
Curb appeal can make or break a sale in today’s market.
If you’re willing to improve the outside of your home, here are some low-cost ways to increase a home’s curb appeal.
1. Clean up beds by weeding and pruning shrubs. Add mulch or pinestraw for a high-end look.
2. Invest in pots. A couple of attractive ceramic pots filled with attractive plants can really make an entrance look classier.
3. Install landscape lighting on the path to the front door.
4. Replace the mailbox with a newer one and put some nice plantings at its base to dress it up.
With a beautiful front yard, think of the positive first impression your home will make on potential buyers!
If you’re willing to improve the outside of your home, here are some low-cost ways to increase a home’s curb appeal.
1. Clean up beds by weeding and pruning shrubs. Add mulch or pinestraw for a high-end look.
2. Invest in pots. A couple of attractive ceramic pots filled with attractive plants can really make an entrance look classier.
3. Install landscape lighting on the path to the front door.
4. Replace the mailbox with a newer one and put some nice plantings at its base to dress it up.
With a beautiful front yard, think of the positive first impression your home will make on potential buyers!
Monday, July 6, 2009
Where are We in the Housing Bust?
Some people are wondering if we’ve hit the bottom in the housing market. Realtors are seeing some positive signs that say things are getting better. These include increased numbers of home showings in many areas, and housing affordability was up to 72.8% in Q1 ’09 v. about 45% for the same period the previous year.
While these indicators are positive, some professionals believe we still have a while to go before we begin to see home prices level off. Check out this chart created by Yale economist Robert Shiller, which follows American home prices since 1890 and draw your own conclusions.
Thursday, February 12, 2009
The Importance of a Home Warranty
When I work with sellers I like to be sure they understand the importance of purchasing a Home Warranty (even though Realtors don’t make commissions when these warranties are sold). During the listing period, should an appliance break down or should the HVAC system have problems, if the homeowner has a comprehensive home warranty they will only be responsible for the cost of a service call, typically about $60. This service provides huge peace of mind when there are so many other things on your plate. In addition, a home that comes with a warranty provides a comfort level for interested buyers, as well as an edge over the competition.
Even if your home isn’t on the market, you should consider a home warranty for all the same reasons. And if you live in an older home, unless your HVAC and appliances have been replaced recently, their pieces and parts are beginning to wear out. For example a new HVAC system may cost over $5,000 making the cost for a warranty seem well worth the investment.
Even if your home isn’t on the market, you should consider a home warranty for all the same reasons. And if you live in an older home, unless your HVAC and appliances have been replaced recently, their pieces and parts are beginning to wear out. For example a new HVAC system may cost over $5,000 making the cost for a warranty seem well worth the investment.
Thursday, January 15, 2009
The Economist - December 2008
Charleston, SC
A Turn in the South
Dec 30th 2008 CHARLESTON From The Economist print edition
A blue-collar military town transforms itself into a white-collar security cluster until the government closed it in 1996, the Navy base in Charleston was the region’s economic engine. The navy was Charleston’s largest employer, directly providing work for more than 22,000 people. But after a decade of decay, some 340 acres (140 hectares) of the site is now part of a 3,000-acre redevelopment plan in North Charleston called Noisette, billed as “a city within a city” and costing $3 billion over 20 years. The redeveloped navy shipyard has already attracted a number of green businesses. Clemson University’s research campus has also moved there.
Partly as a result, the region’s economy is healthier and more diversified than it was a decade ago. Job growth for the Charleston region was 16.5% between 2000 and 2007; nationally, it was less than half that. Charleston’s growth in GDP, wages and bank deposits all outpace national averages. Household income has increased by 30% since 2000. In July Inc, a magazine for entrepreneurs, described it as among the best cities for doing business.
The armed forces still have an impact, generating $3.5 billion a year. Charleston is still home to an air force base, a training school for nuclear-power engineers, a naval weapons station, a Coast Guard training centre and Project SeaHawk, a model multi-agency anti-terrorism program. Convoys of “mine-resistant ambush-protected vehicles” (MRAPs) drive along conspicuously in South Carolina’s picturesque Lowcountry. They are heading for Charleston’s Space and Naval Warfare Systems Centre Atlantic (SPAWAR), where they are outfitted with communications, command and control equipment and prepared for shipment to Iraq and Afghanistan. SPAWAR is the navy’s engineering and research arm.
The heavily armoured vehicles offer better protection against improvised explosive devices than Humvees do. Since their use has increased, troop deaths from roadside devices are said to have fallen by about 90%. MRAPS are mostly built by manufacturers based in Charleston, such as Force Protection, with much of the technology developed by local companies like SCRA and Science Applications International Corporation. Some 80% of SPAWAR’s projects involve partnerships with private business, according to Philipp Charles, the centre’s technical director. All these defence and security companies are attracting highly skilled workers.
In September the Milken Institute declared the Charleston metro area, which includes North Charleston and Summerville, to be among the leading ten cities for job creation. Between 2000 and 2007 the number of people working in IT grew by 52% in the Charleston region; nationally, it went up by only 9%. The numbers of scientists, architects and engineers grew by 52%, while dropping 3% nationally. South Carolina has the second-highest concentration of industrial engineers in the country, after Michigan. Manufacturing is growing in Charleston, as factories expand and new ones open, even as it seems to be dying a public death in the rest of the country.
As a result, the area’s population has grown 10% to 603,000 since 2000 and is forecast to grow to 624,000 by 2010. And to top it all, National Geographic recently ranked Charleston as being among the 50 best places to live.
Not all is rosy. Charleston’s port has been struggling to compete with neighbouring Savannah. On December 18th Maersk, the world’s largest ocean carrier, announced it would leave Charleston by 2011, citing high costs and union intransigence. This is a big blow: Maersk accounts for 25% of Charleston’s container volume. But for the most part Charleston is weathering the economic downturn well. Defense contractors are not relying solely on America for revenue. Force Protection, for instance, is building MRAPs for America’s allies. A hybrid carmaker plans to open there. The economy has slowed since the summer, according to Karen Kuchenbecker, of the Charleston Regional Development Alliance. But, she says, “We are holding our head above water.”
A Turn in the South
Dec 30th 2008 CHARLESTON From The Economist print edition
A blue-collar military town transforms itself into a white-collar security cluster until the government closed it in 1996, the Navy base in Charleston was the region’s economic engine. The navy was Charleston’s largest employer, directly providing work for more than 22,000 people. But after a decade of decay, some 340 acres (140 hectares) of the site is now part of a 3,000-acre redevelopment plan in North Charleston called Noisette, billed as “a city within a city” and costing $3 billion over 20 years. The redeveloped navy shipyard has already attracted a number of green businesses. Clemson University’s research campus has also moved there.
Partly as a result, the region’s economy is healthier and more diversified than it was a decade ago. Job growth for the Charleston region was 16.5% between 2000 and 2007; nationally, it was less than half that. Charleston’s growth in GDP, wages and bank deposits all outpace national averages. Household income has increased by 30% since 2000. In July Inc, a magazine for entrepreneurs, described it as among the best cities for doing business.
The armed forces still have an impact, generating $3.5 billion a year. Charleston is still home to an air force base, a training school for nuclear-power engineers, a naval weapons station, a Coast Guard training centre and Project SeaHawk, a model multi-agency anti-terrorism program. Convoys of “mine-resistant ambush-protected vehicles” (MRAPs) drive along conspicuously in South Carolina’s picturesque Lowcountry. They are heading for Charleston’s Space and Naval Warfare Systems Centre Atlantic (SPAWAR), where they are outfitted with communications, command and control equipment and prepared for shipment to Iraq and Afghanistan. SPAWAR is the navy’s engineering and research arm.
The heavily armoured vehicles offer better protection against improvised explosive devices than Humvees do. Since their use has increased, troop deaths from roadside devices are said to have fallen by about 90%. MRAPS are mostly built by manufacturers based in Charleston, such as Force Protection, with much of the technology developed by local companies like SCRA and Science Applications International Corporation. Some 80% of SPAWAR’s projects involve partnerships with private business, according to Philipp Charles, the centre’s technical director. All these defence and security companies are attracting highly skilled workers.
In September the Milken Institute declared the Charleston metro area, which includes North Charleston and Summerville, to be among the leading ten cities for job creation. Between 2000 and 2007 the number of people working in IT grew by 52% in the Charleston region; nationally, it went up by only 9%. The numbers of scientists, architects and engineers grew by 52%, while dropping 3% nationally. South Carolina has the second-highest concentration of industrial engineers in the country, after Michigan. Manufacturing is growing in Charleston, as factories expand and new ones open, even as it seems to be dying a public death in the rest of the country.
As a result, the area’s population has grown 10% to 603,000 since 2000 and is forecast to grow to 624,000 by 2010. And to top it all, National Geographic recently ranked Charleston as being among the 50 best places to live.
Not all is rosy. Charleston’s port has been struggling to compete with neighbouring Savannah. On December 18th Maersk, the world’s largest ocean carrier, announced it would leave Charleston by 2011, citing high costs and union intransigence. This is a big blow: Maersk accounts for 25% of Charleston’s container volume. But for the most part Charleston is weathering the economic downturn well. Defense contractors are not relying solely on America for revenue. Force Protection, for instance, is building MRAPs for America’s allies. A hybrid carmaker plans to open there. The economy has slowed since the summer, according to Karen Kuchenbecker, of the Charleston Regional Development Alliance. But, she says, “We are holding our head above water.”
Subscribe to:
Posts (Atom)
