For homebuyers looking for a bargain there are enticing markets all across the nation. In the following cities, reports show the prices have dropped by double digits during the last year.
1. Stockton, California
Stockton along with Vallejo, Fresno, Modesto, Merced, Bakersfield, Madera, and Riverside were the hardest hit when the real estate bubble burst. Last year in Stockton, home prices decreased 40.19% due to foreclosures on the market.
With Stockton, the area is close enough to the San Francisco Bay Area that it offers a few advantages that are not seen in other areas of the country. Those looking for affordable homes outside the bay area but close enough to commute are buying up the homes. When prices here become stable, Stockton will more than likely have affordable homes instead of rock bottom prices.
2. Naples, Florida
Naples at one time was hot on the market due to the energetic art scene as well as the Everglades. However, the real estate bubble burst and prices in 2011 declined 32.87%, which now offers bargains to homebuyers that want to live in a beach town.
3. Las Vegas, Nevada
Las Vegas was another area in which investors flocked during the boom. Now, the hype has died down and prices declined 32.60% in 2011. This may be the best bargain market as Las Vegas is on the top foreclosure markets as reported by RealtyTrac.
4. Ft Lauderdale, Florida
One time known as the spring break destination, Ft. Lauderdale has changed its image to a pedestrian friendly community offering unique shopping, Old Florida communities, and a vibrant nightlife. Prices of homes in this area fell 25.95%.
5. Miami, Florida
Tropical weather, vibrant nightlife, and beaches are the attractive features found in Miami, and with the home prices down 24.15% – it is a bargain hunters dream come true.
6. Napa, California
Prices during the boom were pretty much out of sight in Napa, as this is a very sought after area of California in wine country. Now, these luxurious million dollar homes can be purchased at 20.11% below the price last year.
7. Phoenix, Arizona
Investors in Phoenix are willing to bargain since the bubble burst. For those that love the summer like weather and all kinds of outdoor activities, the drop of 18.85% will certainly help you find that dream home at a huge bargain.
8. San Diego, California
San Diego may be one of the most beautiful places to live offering summer like weather year round, the beach, family activities, and so much more. Home prices in 2011 dropped 18.03% allowing homebuyers the opportunity to find a home within their budget and still live in the prestigious area of the city.
9. Detroit, Michigan
Unemployment, job losses, and the burst of the real estate bubble caused home prices in Detroit to drop 16.42% in 2011 due to foreclosures. The city is revitalizing and restoring many of the homes as well as providing a unique blend of new developments and historic areas.
10. Washington, D.C.
Washington D.C along with other commuter areas in West Virginia, Virginia, and Maryland may be the place you desire for your bargain home. This area of the country offers one of the lowest unemployment rates in the nation along with culture and a vibrant nightlife. Home prices here dropped 12.5% in 2011, making it a great time to purchase.
Time to Buy?
While inventory is up, prices are down and mortgage rates at historic lows this is a great time to start looking at the available San Diego Homes for sale with one of our highly knowledgeable San Diego Real Estate Agents. Call today (888) 865-5055 toll free to start looking for your new Southern California Dream Home.
In the majority of cases, real estate taxes on your personal residence are only allowable for the property owner listed as owner on the title, which is the same with mortgage interest.
On the other hand, you may be able to deduct the real taxes and mortgage interest paid if you are the "equitable and beneficial owner", even if you are not the titled owner. This is an individual that has the "burden and benefit" of said property and occupies the property, is responsible for maintaining the property, and pays the mortgage payments.
Example Tax Scenario
Let’s look at an example. Tim and Joan were just married and cannot qualify for a mortgage loan to purchase a new San Diego home. Tim’s parents decide to help the young couple and purchase the home for them.
Tim’s parents do not live in the home purchased for Tim and Joan. Tim and Joan are responsible for the mortgage payments and pay them to the lending company; they are also responsible for the real estate taxes, which are placed in an escrow account. The young couple pays all the maintenance needs, insurance, utility and other bills associated with the home.
Tim’s parents may be listed at the titled owner of the home; however, Tim and Joan are the "equitable and beneficial" owners of the home, which allows them to deduct the real estate taxes along with the mortgage interest that was paid on the home. When filling out the tax form, this couple will need to use Schedule A.