Based on statistics released today by the Greater Capital Association of REALTORS®, Inc. (GCAR) closed single family sales in May 2010 were up significantly over May 2009 while contracts of sale for the month were down sharply as the tax credit ended April 30th. The report is based upon data collected by the Capital Region Multiple Listing Service, Inc. a regional service owned by GCAR and the Saratoga Schenectady Schoharie Association of REALTORS®, Inc.
Laurene Curtin (459-4564), 2010 GCAR president says, “Closed residential sales in May were ahead of 2009 levels by 23% which is a direct result in large part to the homebuyer tax credit. However, if we look forward to closed sales later this summer we can see by the number of contracts of sale during May that we will see fewer closings.” She adds, “This is not unexpected. We know that many home buyers who would have otherwise gone to contract during May, June and perhaps even later pushed their purchase up to meet the April 30th contract deadline for the tax credit. And the tax credit as it stands now requires the transfer of title to take place by June 30th so closed sales are pushed forward as well.”
James Ader (464-0191 Ext. 16), GCAR’s chief executive officer says, “June closings should also be strong as buyers rush to meet the June 30th closing deadline. This might ease a little if Congress were to extend the closing deadline to later in the year, a proposal currently being discussed.” Mr. Ader adds, “The tax credit was a wonderful opportunity for buyers but it will take a few months for the market to readjust and return to a business as usual mode.”
“We would suggest to buyers that they take a look at the social and economic benefits of purchasing real estate and talk to their REALTOR® about taking advantage of the best market buyers have seen in many years,” says Mrs. Curtin. “We think they’ll be pleasantly surprised by the home buying power of their dollars in the Capital Region.”
GCAR is a professional trade association representing 3,000 real estate professionals in the Capital Region. GCAR is the “Voice For Real Estate In The Capital Region.”