After the housing recovery act

[pboychuk]

Does any have any opinions of what will happen to house prices after the housing recovery act ends? I feel the artificial demand may be keeping prices level, but a few months after the program ends, when reality sets in, taking the $8000 credit could have been a mistake if prices go down again after april 30th (or whenever it ends now). Of course if you put the $8k back into principal immediately, knowing you have a check in the mail could also save a substantial amount with 8k less to amortize on your mortgage.

What would you do if you had to buy a house within the next year?

[DerekS]

I think you're right that housing prices might dip again after the end of the tax credit. At a minimum, existing home sales will hold steady or drop off, even if prices aren't affected.

It is still the best time in a LONG time to buy a house. Prices have come down significantly compared to where they were in '05/'06, interest rates are almost criminally low, and the government is paying you 8 grand to purchase. It's the perfect storm of opportunity. Even if prices dip in the next year, they'll come back over the long run (unless we suffer total economic collapse, at which point everything is moot.) Anyone who buys a house with the intention of selling it inside of 2-3 years (unless you're an experienced investor with a system that works) might as well just take their cash to Vegas and play craps.

I wish I hadn't bought in '07. I missed out on a free 8k, and a minimum of half a point of interest savings.

[CAbusinessman]

DON'T BUY A HOUSE!!

Rent, Rent, Rent- All this stimulus, cash for clunkers, bailouts, housing credits is poison to our economy.

What their trying to do is artificially keep the value of homes higher then they should be a lot of people don't understand that the Recession isn't the problem it's the fix. The issue is the artificially low interest rates by the Federal Reserve created these asset bubbles like the 1930's stock crash, .com bust, and now the housing market.

Prices are going to come crashing down back to reality, they can't keep this up because if they do their going to cause a major bankruptcy on our currency.

Pboy chuck - I can't post a video I want because I don't have 10 posts yet but drop me an e-mail or message. I'll leave a comment on your profile with the video.

Then check him out for more information, his forecasts saved me thousands of dollars.