Jeannette Karis, President
Spokane Association of REALTORS®
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Spok ane RE ALTORS® are big supporters of Greater Spokane Incorporated’s “Buy Local” campaign to keep our community strong. Over 1,800 members of the Spokane Association of REALTORS® are helping area home buyers “buy local.” Attractive market conditions and affordable interest rates continue to stimulate home buying in our region this summer.

According to Greater Spokane Incorporated (the region’s Chamber of Commerce and Economic Development Council), the Buy Local campaign strengthens area businesses, service providers and employees. Every dollar spent at a business in the Inland Northwest re-circulates, creating jobs and revenue for supporting services.

Consider the impact of real estate on our local economy. The value of residential properties sold in Spokane County totaled over one billion dollars last year, and even after closing, many new homeowners have a lot more shopping in mind for new furnishings and appliances, renovations and remodeling upgrades, yard and lawn products, or other needed services.

Beyond existing residential real estate sales, the strength of our local economy is also positively impacted by commercial properties bought and sold, office and retail lease rents, new home construction, and property tax revenues. All together, local real estate activity richly fuels the economic engines in our region.

Former fence-sitters are choosing to “buy local” right now while interest rates are low and affordable prices are within their grasp. Local REALTORS® are reporting that the $8,000 federal tax credit has positively stimulated many that qualify as first-time buyers, and the eight thousand dollar tax credits have already begun recycling back to new homeowners that choose to file an amended 2008 tax return. This will continue building new momentum in our local economy when the rest file their 2009 returns later this year. My REALTOR® colleagues report that, for many first time buyers, the $8,000 stimulus means “all the difference” in their ability to become homeowners.

Buying local real estate not only contributes to our community’s tax base but also community services and charitable giving. Studies show that homeowners have a greater vested interest and play a larger role than renters in supporting the community in which they live.

Buying local at this time can also mean it’s a good time to receive Energy-Star rebates that can be as high as $1,500 and may help you purchase new energy-efficient appliances and replace older, less efficient models. Those getting ready to sell their homes or investing in their newly purchased residence can recycle those rebate dollars for even more local purchasing power. Visit www.energystar.gov/ and search for “Tax Credits for Energy Efficiency.”

Hesitate and you may be too late. The $8,000 federal homebuyer tax credit is scheduled to expire November 30, and while some potential buyers I’ve spoken with think prices will drop further, waiting for that elusive “right time” may prove to be expensive. If interest rates inch up by one percentage point, prices would have to decline by more than 10 percent to compensate for the rate increase. According to the Spokane Association of REALTORS®, the average price of homes sold in Spokane was down 11 percent from June 2008 to June 2009. But from May to June 2009 it rebounded, from $181,677 to $192,970.

The public is invited to contact a Spokane REALTOR® today to discuss your specific real estate needs. Remember to visit www.SpokaneOpen.com to preview information online, 24/7, about REALTOR®-sponsored local open houses. If owning a home is your dream, we’re here to help you buy local!

Jeannette Karis can be reached at President@spokanerealtor.com