Home sales in Snohomish County rose in July for the second straight month, buoyed by a drop in prices and a federal tax break set to end in November.
Closed sales rose nearly 19 percent last month after rising about 1 percent in June. A total of 858 homes were sold in the county last month, compared to 719 in July 2008, according to the Northwest Multiple Listing Service.
A continuing fall in home prices has fed this activity. The combined median price of single-family homes and condominiums was $292,000 in July, a drop of more than 12 percent from a year ago.
Another big factor: The government tax credit for first-time buyers. People are more eager to take advantage of the program before it ends.
To qualify for the $8,000 credit, buyers need to close on their home sale by Nov. 30. The tax break applies to anyone who hasn’t owned a home for three years.
Also, more people are selling a home and stepping up to a larger, more expensive one. For much of this year, home owners have been selling but buyers were not buying. That’s changing. Now, they’re selling a home for $275,000 that two years ago was worth $325,000 and buying for $475,000 a home that used to sell for $575,000. The move-up buyer is really in a good position.
I think people are more positive about buying a home than they have been. The consensus seems to be that now is the time to buy a home.
According to the MLS, the median price for a single-family home was $299,990 last month, 14.3 percent less than it was a year ago. For condos, the median was $229,000, an 8 percent drop from July 2008.
