[quote=jpinpb][quote=urbanrealtor]The 500k mark is major point of cleavage in the way people buy.
You are totally right.[/quote]
Why do you think that is? I have my opinions on it, but would love to hear why you think it is so.[/quote]
The lower priced homes have always been the most contested because there are a greater number of people who can afford them.
Also, with 6% “seller concessions” on a $500K house ($30,000), and the $8,000 tax credit, with a 3.5% FHA loan, you get $38,000, while only having to pay $17,500 (the 3.5% downpayment), plus perhaps $5,000 in closing costs (someone correct me if my numbers are off too much). In other words, someone buying under these conditions is BEING PAID $15,500 to buy the house. All of it legal, from what I understand. It’s not just a free call option, the buyer is being paid a premium to take it!
Any wonder the market under $500K is hot right now? 🙁
