Eco Design Resources and Real Estate

Increase in demand, the federal homebuyer’s tax credit, low interest rates, and affordability of housing are some of the major factors that Springfield real estate experts believe have played a major role in promoting the recent improvements made in the Springfield real estate market in Illinois. Although median prices are still below the previous year’s levels, the decline has slowed and prices have stabilized. However, it is the significant increase in home sales that have given Springfield real estate experts optimistic views of the future of the real estate in Springfield. Although recovery may still be months off, many local realtors feel that the end of the Springfield real estate struggles are near.

According to PR Newswire, Illinois has posted a 64 percent increase in home sales between November of 2008 and 2009. Many Springfield real estate experts have attributed the major improvements seen over the past few months to an increase in demand and consumer confidence, as well as low interest rates and affordable housing options. Many realtors have also noted that the federal tax credit for first-time homebuyers was also a major incentive for homebuyers, especially towards the end of November when many people rushed to close on properties before the original expiration date of the tax credit. Since the deadline for the federal tax credit has been extended to April of next year, many realtors are hopeful that the credit will continue to spur Springfield real estate activity and promote further improvement of the real estate market. Real estate experts have also noted that the unemployment rate in Illinois has also stabilized, even declining slightly over the past month, suggesting that as job security becomes less of a concern, more people will be willing to invest in the Springfield real estate market.

The Real Estate Rama in Illinois has also reported that the Springfield real estate market is forecasted to continue to experience an increase in sales but a slight decrease in median sales prices, although prices are expected to hit bottom sometime next year. The federal tax credit is also expected to increase the momentum of the real estate in Springfield, supporting significant improvements in the future. However, many experts believe that unemployment will be the main obstacle in preventing the recovery of the Springfield real estate market.