Tag Archives: Buyers

First Time Home Buyer Programs

It’s a Real Estate Boom for First Time Home Buyers

It’s a Real Estate Boom for First Time Home Buyers

The subprime mortgage real estate fiasco has created a glut of residential real estate in the real estate market. Foreclosures are on the rise and it doesn’t look like the end is in sight for at least another year. Thousands of home owners are losing their homes because adjustable mortgage rates have adjusted upward and caused increases of monthly mortgage payments so high that the affected home owners just can’t make the payments. It is inevitable, under these circumstances that many homes go into foreclosure and banks have to take them back.

While it is unfortunate that many home owners are losing their homes, the opposite and upside effect is that the real estate market is now a boom for the first time home buyer.

Mortgage interest rates are still low and banks and real estate lending institutions have 30-40 year fixed loans for home buyers. With home values in many areas around the country, such as California, plummeting anywhere from 30-50 percent of what they were a year ago, the market is wide open for buyers who have never owed a home and would like to do so now.

Lending institutions and sellers are very motivated now and are readily lending their ears to home buyers saying “lets make a deal” and deal they will. Here are some of the innovative and sensible ways home buyers can now acquire a home of their own when they are armed with some real estate homebuyer education.

1. Use government grants and loans for down payment assistance.

The federal government in 2003 established the American Dream Down Payment Act. This federal law has allocated 0 Million a year since 2003 to assist with arranging down payments for first time home buyers. This is a good indication of just how serious the government is about helping Americans make the American dream of home ownership come true.

Fannie Mae, one of the many federally supported programs for home buyers has programs such as the MyCommunity Fixed Rate Mortgage. This unique program is ideally suited for the first time home buyer. It provides for low down payment, high loan to value with broad flexibility, including nontraditional credit considerations allowing for the buyer to qualify for the loan. It also has special financial options to serve public servant professions such as teachers, police officers, firefighters and health care workers, and people with disabilities.100% financing is available with 30-40 year fixed rates. Check out the details at http://www.efannie.com.

These funds, in addition to other government funding sources, are made available through federal, state and local government agencies that provide down payment assistance to their citizens on a case by case basis.

Every major city and county has one of these programs. One need only exercise a little initiative and these funds can be acquired. Contact your local housing authority, city managers office or county administration department to find out about them and how to apply.

2. Use non-profit agency down payment assistance

Another little known, but long existing opportunity for first time home buyers to acquire help with down payment assistance is the numerous numbers of non-profit agencies around the country that provide free down payment assistance to home buyers. The Community Reinvestment Act of 1977, enacted by Congress in 1977 and revised in 1995, requires banks located within identified communities to make loans and reinvest the depositors’ deposits within that community.

For decades now and continuing into the future banks have been making huge amounts of funds available to invest in targeted communities. However, the availability of the funds was not publicized in a significant way and many people did not and still do not know about these funds. Many non-profit agencies became aware that they could help in the community revitalization effort by creating a means whereby the banks could channel the funds through various home assistance programs that non-profits created. The non-profits that specialize in this type of program have grown over the years. Some are very large and are nation wide such as the Nehemiah Corporation – www.nehemiahcorp.org.

They get funding from the banks via the Community Reinvestment Act and other funding sources and then provide for down payment assistance and other housing assistance to persons desiring to own a home.

One of the high points of these programs is that the funding is often times not limited to first time home buyers and certainly is not limited to only low income home buyers. This creates yet another source of down payment assistance for the prospective home buyer. Given the numerous avenues of funding to assist in buying a home and the present market swing in favor of home buyers, buyers are now firmly in the driver’s seat.

First Time Home Buyer Programs

Roy Landers is a California attorney and real estate broker with over twenty years of real investing experience. He is also a licensed real estate broker in the country of Mexico. He teaches real estate investment strategies through seminars and some conducts free home buyer education courses for first time home buyers. For information visit the website at http://www.housingamericans.com or contact roylanders@housingamericans.com

Housing Grants

Low Income Housing Grants for First-time Home Buyers in the Down River Area

Low Income Housing Grants for First-time Home Buyers in the Down River Area

The new bill passed by Senate earlier in the year allows states to trade in a portion of their 2009 low-income housing tax credits for Treasury Grants.  These grants would be used to finance the construction, or purchase and rehab of low-income housing, including those with or without tax credit allocations.

The low housing grants will include funding for the following causes:

Pontiac Housing Capital Fund for rehabilitating and retrofitting public housing units, making critical safety repairs and increasing their energy efficiency Community Development Block Grant Program for funding the Neighborhood Stabilization Program Home Investment Partnerships Programs to provide funds to state housing credit agencies for capital investments in low-income housing tax credit projects Assisted Housing Stability and Energy and Green Retrofit investments to provide funds to property owners for rental assistance and grants or loans for energy and green retrofit investments Funds to local governments and non-profit organizations for removal of lead-based paint hazards in low-income housing.

Real estate professionals should be familiar with the many grants and programs that are in effect to help first-time home buyers.  Real estate agents and developers can benefit from many of these programs as well by helping their clients utilize these funds.

Other provisions of the Stimulus Plan include:

First Time Homebuyer Tax Credit

FHA, Fannie Mae and Freddie Mac Loan Limits

Neighborhood Stabilization

Commercial Real Estate

Rural Housing Services

Tax Exempt Housing Bonds

Energy Efficient Housing Tax Credits and Grants

Transportation Investments

Broadband Deployment

Mark Goedert of Goedert Real Estate has been an active professional in the real estate industry for over 50 years, serving realtors and home buyers in South East Michigan and the Down River area.  Mark encourages you to check out his website at http://www.under100000realestate.com/ for local neighborhood and school details, mortgage information, interactive maps, investment property listings, home listings and many more resources.

First Time Home Buyer Programs

Mark Goedert of Goedert Real Estate has been an active professional in the real estate industry for over 50 years, serving realtors and home buyers in South East Michigan and the Down River area. Mark encourages you to check out his website at http://www.under100000realestate.com/ for local neighborhood and school details, mortgage information, interactive maps, investment property listings, home listings and many more resources.

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First Time Home Buyer Programs

Tax Credit to Help Georgia Home Buyers

Tax Credit to Help Georgia Home Buyers

In the midst of one of this countries deepest recessions comes one of it’s greatest opportunities, for new homebuyers. With mortgage rates and housing prices at an all time low, there has never been a better time to buy a new home. And The American Recovery and Reinvestment Act of 2009 has provided yet another tool to help Georgia families on the road to homeownership. Along with securing a home loan and a good real estate agent, Georgia Homebuyers should begin planning now to take advantage of a new tax credit that will supplement, or even provide, the downpayment for that new home.
The following section will provide questions and answers to help new homebuyers understand how the tax credit can, and will, work for them.

Am I eligible for the tax credit?
First-time home buyers purchasing any type of home—new, resale or foreclosure—are eligible for the tax credit. A home purchase must occur on or after January 1, 2009 and before December 1, 2009, to qualify for the tax credit. The qualifying purchase date is the date when closing occurs and the title to the property transfers to the new home owner.
Do I qualify as a first-time home buyer?
A “first-time home buyer” is defined as a buyer who has not owned a principal residence during the three-year period prior to the purchase. The definition applies to the homeownership history of both the home buyer and his/her spouse, for married homebuyers. For example, if you have not owned a home in the past three years but your spouse has owned a home in that time, neither you nor your spouse may qualify for the first-time home buyer tax credit. However, unmarried joint purchasers may assign the tax credit to whichever one qualifies as a first-time homebuyer (i.e. a parent purchases a home with a son or daughter). Also, a homebuyer may still qualify as a ‘first-time’ homebuyer if the property they own is a vacation home or rental property, and not used as a principal residence.
How will my tax credit be calculated?
The tax credit is calculated as 10 percent of the home’s purchase price up to a maximum of ,000.
Is there an income limit for the tax credit?
Yes. Single taxpayers have an income limit of ,000; the limit for married taxpayers filing a joint return is 0,000. For homebuyers with a modified adjusted gross income (MAGI) of more than ,000, and filing a single tax return, and 0,000, for married homebuyers filing a joint tax return, the tax credit amount is reduced. As a final adjusted limit, the tax credit amount is reduced to zero for taxpayers with a MAGI of more than ,000 (single) or 0,000 (married) and is proportionally reduced for taxpayers with MAGIs that fall between these amounts.
How do I know my “modified adjusted gross income”?
As defined by the IRS, to find the Modified adjusted gross income, or MAGI, a taxpayer must first determine their “adjusted gross income” or AGI. The AGI is the total income for a year minus certain deductions, not including itemized deductions from Schedule A or personal exemptions. On Forms 1040 and 1040A, the AGI is the last number on page 1 and first number on page 2 of these forms. For Form 1040-EZ, the AGI appears on line 4 (as of the 2007 form). Please note that the AGI includes all forms of income including wages, salaries, interest income, dividends and capital gains. The modified adjusted gross income (MAGI) is determined by adding certain amounts of foreign-earned income to the AGI . Please see IRS Form 5405 for more details.
If my modified adjusted gross income (MAGI) is above the limit, can I still qualify for the tax credit?
Possibly. Depending on your income, you may qualify for a partial credit of less than ,000, even though your MAGI exceeds the qualifying limits.
What is an example of how the partial tax credit is determined?
Assume that a married couple has an MAGI of 0,000. The qualifying income limit for the tax credit is 0,000, therefore the couple is ,000 over the limit. They would Divide ,000 by ,000 (the final adjusted limit range) which yields 0.5. They would then subtract 0.5 from 1.0, the result is 0.5. To determine the final first-time home buyer tax credit amount that is available to them, they would multiply ,000 by 0.5. The result is ,000. Or, assume that a single home buyer has a modified adjusted gross income of ,000. The home buyer’s income exceeds ,000 by ,000. They would Divide ,000 by the adjusted limit range of ,000 which yields 0.65. When they subtract 0.65 from 1.0, the result is 0.35. Multiplying ,000 by 0.35 shows that the home buyer is eligible for a partial tax credit of ,800. Please remember that you should always consult your tax advisor for information relating to your specific scenario, as these examples are intended to provide a general idea of how the tax credit might be applied in different instances.
How is this home buyer tax credit different from the tax credit that was enacted in July of 2008?
The most significant difference is that this tax credit does not have to be repaid. The previous “credit” was in effect an interest-free loan. This new tax incentive is a true tax credit. However, and this is very important, home buyers must use the residence as a principal residence for at least three years or face recapture of the tax credit amount. Although certain exceptions apply.
How do I claim the tax credit? Is there a form or application to fill out?
Claiming the tax credit is easy. You claim the tax credit on your federal income tax return. Specifically, home buyers should complete IRS Form 5405 to determine their tax credit amount, and then claim this amount on Line 69 of their 1040 income tax return. No other applications or forms are required, and no pre-approval is necessary. However, you will want to be sure that you qualify for the credit under the income limits and first-time home buyer tests. Note that you cannot claim the credit on Form 5405 for an intended purchase for some future date.
Is the tax credit only for certain types of homes?
Any home that will be used as a principal residence will qualify for the credit. This includes single-family detached homes, attached homes like townhouses and condominiums, manufactured homes (also known as mobile homes) and houseboats. Principal residence is defined identically to the method used to determine whether you may qualify for the 0,000 / 0,000 capital gain tax exclusion for principal residences.
What does it mean that the tax credit is “refundable”?
The fact that the credit is refundable means that the home buyer credit can be claimed even if the taxpayer has little or no federal income tax liability to offset. Typically this involves the government sending the taxpayer a check for a portion or even all of the amount of the refundable tax credit. For example, if a qualified home buyer expected, notwithstanding the tax credit, federal income tax liability of ,000 and had tax withholding of ,000 for the year, then without the tax credit the taxpayer would owe the IRS ,000 on April 15th. Suppose now that the taxpayer qualified for the ,000 home buyer tax credit. As a result, the taxpayer would receive a check for ,000 (,000 minus the ,000 owed).
If I have already filed to receive the ,500 tax credit on my 2008 tax returns, for a home I purchased in early 2009, can I submit a claim for the new ,000 tax credit instead?
Home buyers in this situation may file an amended 2008 tax return with a 1040X form. You should consult with a tax advisor to ensure you file this return properly.
Do I still qualify for the tax credit if I hired a contractor to construct a home on a lot that I already own?
Yes. For the purposes of the home buyer tax credit, a principal residence that is constructed by the home owner is treated by the tax code as having been “purchased” on the date the owner first occupies the house. In this situation, the date of first occupancy must be on or after January 1, 2009 and before December 1, 2009. In contrast, for newly-constructed homes bought from a home builder, eligibility for the tax credit is determined by the settlement date.
If I finance the purchase of my home under a mortgage revenue bond (MRB) program, can I still claim the tax credit?
Yes. The tax credit can be combined with the MRB home buyer program. Note that first-time home buyers who purchased a home in 2008 may not claim the tax credit if they are participating in an MRB program.
Can I claim the tax credit even if I am not a U.S. citizen?
Maybe. Anyone who is not a nonresident alien (as defined by the IRS), who has not owned a principal residence in the previous three years and who meets the income limits test may claim the tax credit for a qualified home purchase. The IRS provides a definition of “nonresident alien” in IRS Publication 519.
Is a tax credit the same as a tax deduction?
No. A tax credit is a dollar-for-dollar reduction in what the taxpayer owes. That means that a taxpayer who owes ,000 in income taxes and who receives an ,000 tax credit would owe nothing to the IRS. A tax deduction is subtracted from the amount of income that is taxed. Using the same example, assume the taxpayer is in the 15 percent tax bracket and owes ,000 in income taxes. If the taxpayer receives an ,000 deduction, the taxpayer’s tax liability would be reduced by ,200 (15 percent of ,000), or lowered from ,000 to ,800.
Can I claim this tax credit for a home I purchased in 2008?
No, but if you purchased your first home between April 9, 2008 and January 1, 2009, you may qualify for a different tax credit. Please consult with your tax advisor for more information.
If I am in the home buying process, can I access the tax credit money before I file my 2009 tax return?
Yes. Prospective home buyers who believe they qualify for the tax credit are permitted to reduce their income tax withholding. Reducing tax withholding (up to the amount of the credit) will enable the buyer to accumulate cash by raising his/her take home pay. This money can then be applied to the downpayment. Buyers should adjust their withholding amount on their W-4 via their employer or through their quarterly estimated tax payment. IRS Publication 919 contains rules and guidelines for income tax withholding. Prospective home buyers should note that if income tax withholding is reduced and the tax credit qualified purchase does not occur, then the individual would be liable for repayment to the IRS of income tax and possible interest charges and penalties. Further, rule changes made as part of the economic stimulus legislation allow home buyers to claim the tax credit and participate in a program financed by tax-exempt bonds. Some state housing finance agencies, such as the Missouri Housing Development Commission, have introduced programs that provide short-term credit acceleration loans that may be used to fund a downpayment. Prospective home buyers should inquire with their state housing finance agency to determine the availability of such a program in their community. The National Council of State Housing Agencies (NCSHA) has compiled a list of such programs, which can be found here.
If I’m qualified for the tax credit and buy a home in 2009, can I apply the tax credit against my 2008 tax return?
Yes. The law allows taxpayers to choose (“elect”) to treat qualified home purchases in 2009 as if the purchase occurred on December 31, 2008. This means that the 2008 income limit (MAGI) applies and the election accelerates when the credit can be claimed (tax filing for 2008 returns instead of for 2009 returns). A benefit of this election is that a home buyer in 2009 will know their 2008 MAGI with certainty, thereby helping the buyer know whether the income limit will reduce their credit amount. Taxpayers buying a home who wish to claim it on their 2008 tax return, but who have already submitted their 2008 return to the IRS, may file an amended 2008 return claiming the tax credit. You should consult with a tax professional to determine how to arrange this.
If I purchase a home in early 2009, can I choose whether to use the 2008 or 2009 tax credit, depending on which amount is the largest?
Yes. If the applicable income phaseout would reduce your home buyer tax credit amount in 2009 and a larger credit would be available using the 2008 MAGI amounts, then you can choose the year that yields the largest credit amount.

For more information on how the federal tax credit can help make your first home a reality, please contact us via email, with your contact information and desired goal. Or, complete a brief online application.

First Time Home Buyer Programs

Georgia Loan Pro is making homes affordable for individuals and families through our the South. We are offering assistance to homewoners, and buyers, in

First Time Home Buyer Programs

First Time Home Buyers Seminar to be held on Saturday, August 15th at Wellesley Free Library by Massachusetts Association of Buyer Agents

First Time Home Buyers Seminar to be held on Saturday, August 15th at Wellesley Free Library by Massachusetts Association of Buyer Agents

WELLESLEY, MA…

Massachusetts Association of Buyer Agents, (MABA), a non-profit buyer advocate organization will hold a First Time Home Buyers Seminar on Saturday, August 15th at 9 a.m. at the Wellesley Free Library located at 530 Washington Street, Wellesley.

The seminar is FREE and will be held in the Wakelin II room.  The workshop will be 90 minutes long followed by a question and answer session.  Light refreshments will be served.  First Time Home Buyer certificates will be awarded to all who attend.

MABA’s First Time Home Buyer Seminar will address a variety of topics including First Time Home Buyer programs; the loan process; types of mortgages; hidden fees; home inspections; appraisals; disclosure and more.

First time home buyers as well as home buyers who have not gone through the home purchasing process in a number of years will benefit from this educational seminar which will be led by a Buyer Agent, an attorney, a lender and a home inspector.

“Some financing organizations require a first time home buyer seminar certificate, which we will provide.  Our seminar is designed to arm buyers with the most current information available as they seek to make one of the largest purchases of their lives,” explained John Karcher of MABA.

Due to a provision in the American Recovery and Reinvestment Act of 2009, taxpayers who have not owned a primary residence in at least three years time are considered “first time home buyers” and are eligible for a tax credit of up to 10 percent of a home’s purchase price (maximum ,000).  The Federal Housing Administration (FHA) is allowing first time home buyers to use their tax credit towards a down payment or closing costs on a new home.

For more information about MABA’s First Time Home Buyer Seminar, contact 1-800-935-MABA.

About MABA
The Massachusetts Association of Buyer Agents (MABA) is a unique organization realtors and brokers throughout the state who are committed to protecting home buyers.  Founded in 1991, MABA is a non-profit organization recognized nationwide for its
efforts to educate licensees and consumers about agency issues.  The organization is self-regulated and every member must take a pledge of undivided loyalty to the buyer client.

MABA agents are dedicated to providing quality, fiduciary-level services to home buyers and specialize in trying to save buyers time and money.  MABA members never represent both the buyer and the seller in the same transaction and they never ask a buyer client to waive his/her right to full buyer representation.  Members are serious about due diligence and will inquire about non-disclosed property information.

For more information, visit the website at MassBuyerAgents.com or contact 1-800-935-MABA (6222).

First Time Home Buyer Programs

realestatemarketingthisweek.com – Now is a great time for first time home buyers to get into the real estate market – Part 3 – Back in studio of course Brett Fallon are favorite and one of America’s best financial advisors, and a very good friend of mine for a long time also Dan Havey. Dan, what is the name of the book? The name of the book that I am in the middle of writing is called, Real Estates Future. What it is, is a model that I created with a friend of mine. I didnt believe this was possible when it was first brought to me, but after working on it for six months and doing a lot of research I found that we were actually able to predict, in advance, through a whole series of equations and data, we were actually able to predict in advance the top of the last real estate market here in Phoenix by six months. So were doing a lot more research to see if we can take that to a broader national level and see if we can come close to actually giving people an idea in advance of the top and bottom of the real estate market. And this is not the doom and gloom type stuff, this is reality, this is not media spin or anything, correct? No, this is just numbers. That’s all this comes down to, numbers, a lot of different equations. I am not going to bore people with all the complicated stuff. When I was in college I started out with a degree in computers and mathematics and eventually ended up getting a degree in finance, so Ive got a lot of numbers spinning around in my head. The …
First Time Home Buyer Programs
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First Time Home Buyer Programs

First Time Home Buyers

First Time Home Buyers

The housing slowdown has led us back to the basics.  Homes are more affordable, the primary reason for buying is not to cash in on the equity a year from now and you have to qualify for a loan by coming up with a down payment.  In addition the new Housing Recovery Act provides some assistance for first time buyers. 

 

Buyers who have not owned a home in the last three years are eligible for a tax credit equal to 10 percent of the property purchase price up to a maximum o f,500 for married couples  and ,700 for single tax payers. 

 

Here is how it works:

•      A married couple buying their first home with a purchase price in excess of ,000 and with less than 0,000 in adjusted income will qualify for the maximum benefit of ,500.  The benefit phases out as income increases and is not available for married buyers with adjusted income in excess of 0,000.

 

•      For a single tax payer the maximum benefit is ,700 on purchases above ,000 and with adjusted income less than ,000.  The benefit is reduced to zero with adjusted income in excess of ,000.

 

•      The first time home buyers program is actually a loan which the buyers must repay of 15 years at zero percent interest starting in the second year after the home is purchased.  A buyer who qualified for the maximum ,500 credit would repay it at a rate of 0 per year.

 

•      The program covers homes purchased on or after April 9, 2008 and before July1, 2009.  

 

I think this is a very good program and will help may first time home buyers here in the Sacramento area.  If you want to learn more about the Housing Recovery Act of 2008 check out How the housing rescue bill can help you by Louise Buford over at my website, Jalone.com. Louise is with Partner´s Mortgage and one of the best lenders I have worked with.

First Time Home Buyer Programs

Julie Jalone is an experienced professional Realtor® serving the need of buyers and sellers of residential real estate in the Greater Sacramento area including Sacramento,Placer, El Dorado, and Yuba counties. Some of the communities served by Julie include Sacramento, Roseville, Rocklin, Lincoln and Granite Bay. Julie is a wife and mother living in Rocklin. For more information see her website, www.jalone.com, which includes listings, home search, news, resources for buyers and sellers and her daily weblog, “Keep it Real in Sacramento.”

First Time Home Buyer Programs

Obama’s Federal Program Bringing Home Loans into Reach of First Time Home Buyers

Obama’s Federal Program Bringing Home Loans into Reach of First Time Home Buyers

Economic weakness threatens the chances of many Americans to become homeowners and so threatens the nation’s ability to thrive as a nation. Keen to help, the federal government offers the First Time Home Buyer Stimulus Package. It targets first time buyers and those who have not owned a home in three or more years.

Purchases under this program are of pre-owned homes and homes in the new construction phase, stimulating demand in the housing market. Whether indirectly, by boosting buys of pre-owned homes, or directly, by boosting housing starts, this gives builders and their crews more work. As for homeowners, they receive help in three ways, with tax credits, assistance with down payments, and with decreased interest rates.

The initial purpose of the stimulus program was to stave off the economic slowdown of which existence became apparent during the financial crisis of 2008. The developing situation demanded reinforcement of these efforts, which came in the form of a more comprehensive plan from the federal government. In particular, the Obama administration believed that the reluctance to spend money came from the fear of losing home ownership. This, along with the collapse of real estate market, convinced to administration to act to stimulate home ownership.

For any purchase made in the year 2009, a homebuyer may qualify for a 10 percent tax credit. This may for up to ,000, with the basis being the gross purchase price. The home owner may claim this credit either the year of purchase or within two years of purchase. This tax credit provides money to the homeowner, which he may decide to save.

Next is a reduction in the down payment. Usually, these are at least ten percent of the home’s price. The government plan is to pay off part of the down payment. Lower down payments make it easier to purchase the home. Furthermore, reducing the down payment reduces the burdens keeping you from placing money in an investment account or from improving the new home. Also, government help may reduce the interest rate on your home loan by reducing the basis points on the interest rate. Qualification for the tax credit requires that a single person’s income not exceed , 000 and that with a partner income not exceed 0,000.

A third way to encourage home purchases is a tax rebate. In this case, the federal government places the rebate on the amount of interest assessed on the loan. This is not related to the tax credit. Under this stimulus program, homeowners may apply for both the credit and the rebate. Landlords, who buy property for income purposes, may qualify for the rebate. Because the landlord’s maintenance expenses go to the upkeep of the rented property, they are eligible for income tax deductions. Hence landlords are eligible for the rebate.

Economic growth is impossible without continuous improvement of the national infrastructure. However, the collapse in the demand for housing hits precisely here. The Obama adminstration intends to rectify this with tax credits, down payment assistance, and interest rate reductions. Under the First Time Home Buyer program, it intends to place buyers in new homes and stimulate economic activity.

First Time Home Buyer Programs

For tips and facts about how you can benefit from Obama’s Home Stimulus Plan – or to find out if you qualify, visit our no nonsense home stimulus guide: http://ObamasStimulusPackage.net

realestatemarketingthisweek.com – 00 tax credit for first time home buyers with low down payment – Part 3 – We have back in the studio today Mr. Dan Havey. Dan and I have worked together in the mortgage industry for about 14 years and we are happy to have him back. He has seen a lot of changes in the market and thanks again for being here. Michael, here is a question I wanted to ask you, there is so much misconception in the marketplace today as far as what is still available for financing. I think a lot of people have this idea that it is impossible to finance a loan or get a mortgage or that you have to be able to put 20% down or have a 720 FICO score. Can you let people know whats really going on out there? Well you know a lot of things have gone away. There are a lot of those old loan programs that were fancy ways to sell money and finance real property and a lot of thats gone. The reality of it is, if a person has a minimal amount of money down, there is absolutely financing through the Federal Housing Administration with 3.5% down. You can buy up to about 8000 with only 3.5% down. Now with Fannie Mae and Freddie Mac, we actually do have a few investors that will allow us to only put 5% down with those and that loan amount maximum is 7000. So there is still plenty of financing for primary residences. Now in regard to looking at investment properties believe it or not there are actually still some stated income loans out there, but the stated income loan is …
First Time Home Buyer Programs
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First Time Home Buyers Help: 3 Tips to Get You into Your Dream Home

First Time Home Buyers Help: 3 Tips to Get You into Your Dream Home

Buying your first home is likely the largest single purchase you have ever considered, which is why first time home buyers help is necessary. Because of the cost and significance, it is important to understand all of the details surrounding the potential purchase. From finding a realtor or builder to choosing the best mortgage to coming up with the funds necessary to make the purchase, the process may take some research and work on your part, but the result is owning your first home—one of the most important and rewarding investments of your lifetime.

Below are three tips to take you from dreaming about your first home to experiencing the reality of your first home purchase:

1.    Determine if you qualify for special loans or grants. First time home buyers have the unique opportunity to benefit from special programs and incentives, such as significant tax credits, low-interest-rate loans and event government grants. Whether you are able to find a program that cushions your monthly mortgage payment or helps you to pay a chunk off the purchase price of a home, it is worth the time and effort to fully research all options. Simple Internet research may help you to learn more about the opportunities available to you, or you can call a trusted mortgage consultant who specializes in first time home buyer programs.

2.    To buy or to build? For some first time home buyers, building is a great option. Now more than ever, builders and construction companies understand that customers need a great value if they are going to build. Rather than searching for months and months for that perfect house, consider meeting with a new home builder to determine if a custom townhome or home is right for your housing goals and budget. Imagine the excitement of choosing the features and design of your very own home!

3.    Organize your finances. Making sure your bills and finances are in order helps you to be ready to provide the paperwork necessary to close the sale on your new home. If you have been unorganized in the past, now is the time to get a grip on the mass of bills, files and paperwork stuffed into the file cabinet. The last thing you want is to be ready to move forward on the purchase of the home of your dreams, only to find your financial records are a mess and you have to get it together before you can take the next step.  

As a first time home buyer, this is a special time in your life—a milestone that can be a great moment to remember for years to come. However, it is important to go into the process of purchasing or building a home with thoughtful consideration and research, so you fully understand the process and details involved. Don’t be afraid to ask questions and interview experts, such as mortgage consultants, financial advisors, home builders or even a wise relative to obtain the first time home buyers help you need to make the best decision for your future.

First Time Home Buyer Programs

McGuinn Construction Management has been serving Columbia area customers since 1995. For more information about affordable new home builders and the Custom Home System, visit McGuinn’s website at http://www.mcguinnhomes.com/, or call the office at (803) 917-5583.

www.mcguinnhomes.com

First Time Home Buyer Programs

First Time Home Buyers

First Time Home Buyers

In 1994, we set our sights on a house located in a pleasant, quiet suburban enclave called Bixby Knolls in Long Beach, CA.  Although we could barely afford the home’s 0,000 purchase price – a fortune for us at the time – it was a small, neat, modest home situated in a good neighborhood with appreciation potential.  So, we dove into the home buying market.  It was a perfectly manageable house located in a perfectly acceptable neighborhood.

                                                           

We did not have a clue at the time that home prices would slowly begin to climb and climb and climb thanks to an extended period of historically low interest rates. Low interest rates spurred consumer demand, which soon grew to overwhelming consumer demand for homes to call their own.  Consequently, home prices reached stratospheric levels in our neighborhood as well as in most major metropolitan markets (Texas, Oklahoma, the Dakotas and a few other affordable markets being the exception). 

Ten years later, in the middle of April 2004, a devastatingly tragic electrical fire took the lives of our beloved Italian Greyhounds, Ben and Rusty.  Although we rebuilt our home better than it was before, it was still a sad time for us; we ultimately sold our first, “first home”.  The offers made for our modest 1,600 square foot home were obscene – obscene amounts, that is.  It was undeniably the most profitable yet most heartbreaking investment of our lives.

In retrospect, recalling the loan application process and qualifying for the mortgage in order to buy our perfect little house, well, we recollect that process was NOT so perfect. 

In 1994, when we were struggling to qualify for the mortgage, we were not aware of available first time home buyer programs created for folks of low to moderate income.

Furthermore, our loan officer did not introduce us to these options, either because he was as clueless as we were about the existence of such programs or, the bank with whom he was employed at the time elected not to participate in specialty programs for first time home buyers. 

Neither we nor our loan officer had any idea the city of Long Beach, county of Los Angeles and yes, even the State of California all had available specialty loan programs designed specifically for folks like us: first time home buyers, short on cash for a 20%, 10% or even 5% down payment, not to mention funds to cover closing costs. 

We were wholly unfamiliar with mortgage credit certificate programs, below market interest rate programs, mortgage revenue bond programs, and we would have given our left arm for help with no-strings-attached gift money and forgivable grant money provided through city, county and state housing agencies. 

If we only knew . . . the home buying process would have been so much easier and much less stressful.   Driving our decision to buy a home we could barely afford was  exacerbated by our landlord’s demand we vacate the house, which was once rented by my husband and his former wife (the landlord’s daughter), within 30 days.  Great – no pressure there. . .

Fortunately, with the generous help of parents and with a loan borrowed from our 401K, we were finally able to produce a minimal down payment.   Our motivated home seller, an 80 year old retiree who wanted to move closer to her daughter in another town, helped us pay some of our closing costs through seller concessions. Then after all that, we SOMEHOW managed to scrape up sufficient funds to substantiate cash reserves to satisfy our lender and cover our personal moving expenses after escrow closed. 

Did we consider buying new furnishings and/or major appliances to update our 50 year old new house?  Fuggedaboutit!  And THEN we had to take into account recurring costs associated with debt servicing the new mortgage and maintaining our new home like water, electricity, property taxes, etc. 

If your borrowers are anything like we were back in the day, the sticker shock associated with a new home purchase and maintenance costs can discourage even the most motivated buyers.

Timely solutions to the above-described challenges may not be easily found or forthcoming at all.  Notwithstanding the charity of parents, other relatives and/or through the liquidation of assets in order to meet most lenders’ minimum mandatory requirements for down payment and cash reserves, a substantial number of  first time home buying hopefuls will consequently shelve their Dream of Homeownership.

This is the sad, sad shelf upon which dust will gather, accumulate and ultimately completely obscure the light-filled Dream of Home Ownership which once burned brightly in their mind’s eye – snuffed out, extinguished. 

What you must know is it doesn’t have to end this way.

Be the Hero.  With new information provided through the OFFICIAL LOAN OFFICER GUIDE,   solutions to the above-described challenges are placed at your fingertips.

In most real estate markets today, it remains virtually impossible for the average consumer of low to moderate income to qualify for a modestly sized mortgage without benefit of a substantial out-of-pocket investment.  Depending on a variety of qualifying factors, we’re talking a down payment investment equal to  10, 15, 20 or 25% of the home’s sales price plus closing costs (points, title, insurance, etc.). 

Be the Hero.  Be the “Go to Guy” for information about down payment assistance programs and products.

Programs like those that are the focus of the Official Loan Officer Guide will well serve your marginally qualified borrowers and help support the real estate industry overall by providing another way to shore up buyer qualifying and loan viability. 

Be the Hero.  Reserve first time home buyer program funds on behalf of your borrower before your competition does.  When I worked for a major national mortgage bank (a bank  heavily vested in first time home buyer loan programs),  I observed first hand fierce competition between loan officers and competing lenders for the right to secure programs funds on behalf of their constituencies – first time home buyers. 

I observed borrowers anxiously await word from their loan officer for assurances that they too would get their piece of the first time home buyer mortgage assistance pie.  Anything less could, and often did, jeopardize the borrower’s ability to qualify for a mortgage and close escrow on time (if ever).

A growing number of city, county and state housing finance agencies/authorities/corporations are creating new and/or fully funding existing programs to assist first time home buyers with cash money for down payment and closing costs.  Monetary assistance can be quite substantial, ranging in amounts from ,000 to 0,000+ (amounts vary by city, county and state) or calculated as a percentage of the home’s sales price or a percentage of the first mortgage loan amount. 

Be the Hero.  Be the first in line to procure program information, educate your customer and secure funds for your stressed out client base – first time home buyers. 

Please note, programs addressed in the OFFICIAL LOAN OFFICER GUIDE are primarily used exclusively in conjunction with purchase money first mortgage loans with 30 year fixed loan terms.   Alt-A, sub-prime and non-traditional hybrid loan first mortgage loans types are strictly prohibited.

Bottom line?  There is hope, and it begins with this quick read, bare-bones approach to assisting the neophyte loan officer and veteran loan officer to better understand how such first time home buyer programs work in tandem with step-by-step processes and procedures and ways to pinpoint available programs in your borrower’s selected subject property city, town and/or surrounds.   Some first time home buyers may elect to buy (or not to buy) in a particular city or county based on the availability (or lack thereof) of first time home buyer programs. 

The OFFICIAL LOAN OFFICER GUIDE provides a fast track to inside knowledge regarding useful specialty programs created specifically to assist first time home buyers of low to moderate income on a NATIONWIDE scale.

There is a dearth of information available to educate loan officers on a nationwide scale about the many beneficial programs that are the focus of this guide.  As I complete the writing of my first book on this topic, it is my hope, desire and intention that the OFFICIAL LOAN OFFICER GUIDE: Below Market Interest Rate Programs – Down Payment Assistance Programs, First Edition, will serve to educate and empower you to help cash strapped first time home buyers produce tangible results in the form of new, affordable housing that falls within the budgetary means of all eligible citizens nationwide.

To you guys and gals in the mortgage finance trenches, you are amazing!  This book was written for you.  May you make many a first time home buyer and real estate agent happy, satisified clients by your effective utilization of the information contained within this book.

  

Best of luck to you all and happy down payment assistance hunting!

Esperanza J. Creeger

Author

www.FTHBGuru.com

First Time Home Buyer Programs

Esperanza Creeger currently resides in Dallas, TX. A mortgage industry veteran for 21 years and counting, Esperanza is currently working on her manuscript for film \”An Akashic Tale\”. Inquiries: Contact Ecreeger@hotmail.com or (469) 438-9659. Esperanza’s book “First Time Home Buyers’ Guide” is available for purchase at FTHBGuru.com 96 pages

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First Time Home Buyer Programs

Cash Home Buyers Program In Milwaukee

Cash Home Buyers Program In Milwaukee

Everywhere you go you can see signs that say we buy houses, cash buyers, and cash for your home. A home owner might be curious to know exactly how that works, and want to be reassured that there is no scam involved. The process is simple and makes a lot of sense. By coordinating with investors these companies have tremendous buying power that works to help homeowners who need to sell quickly due to a move, foreclosure, or other emergencies. Investors are looking for properties they can make a profit on and usually homes that need to be sold quickly can be bought at a lower price.

As a homeowner, there is a great benefit to this cash home buyers Milwaukee program. There are many homeowners who for one reason or another need a quick sale. The reasons range from needing to move, needing to get rid of an investment property, avoiding foreclosure, a divorce forced sale, or maybe a home has been inherited and it needs to be sold. Whatever the reason, this option is great for those who really don’t want to spend months on end waiting for a potential buyer. Those who buy the homes, want a deal, but are usually very fair and offer a great price.

For the investor purchasing homes through the cash home buyers Milwaukee program, gives the investor a great avenue to get great returns on their money. Reasons for quick sales are usually irrelevant and the benefit is being able to pick up an investment property for less money and it usually will include the repairs that may be needed to fix up the home. The fact that investors have a reputable company backing their investment helps them to feel better about themselves staying away from a scam. A little research and an investor can feel confident about their investment program.

The cash home buyers Milwaukee program really knows their stuff and the laws pertaining to these kinds of quick sales. While the benefit for the homeowners and the investors are great, it’s also nice for each party to know that they are doing business with a system that works and has been proven over and over. It’s also comforting for the parties to know that they are not alone in their transaction, that there is a whole group of people with experience and knowledge backing them every step of the way.

First Time Home Buyer Programs

When come to selling your house Fast! You need a local Professional in the area go to
http://www.SellHouseMilwaukee.com/

realestatemarketingthisweek.com – First Time Home Buyer’s Beware, Home sales double in last year – Part 5 – So we are back in studio today with Dan Havey. Dan and I have known each other for many years and we have worked very close over the years in real estate. Dan and I are not necessarily 100% in agreement with where the market is today and whether we are at the bottom or not. I tend to believe that we are. Let me tell you my thinking on this. Dan uses actual facts and figures to make his prognostications. Heres what I know, I know that Fannie Mae and Freddie Mac have put a moratorium on foreclosures. What that means is that they are slowing the supply of repos. What that means is that they are putting fewer homes on the market, which means the supply has been reduced to a 9 month supply of resale homes on the market. The builders are gearing up, getting ready to start building again, but they are not building again just yet. Thats a great indicator. Interest rates couldnt be better. They havent been better than they are now, so not only can you buy a house at the same price you would have paid for that house in 2002, but you are going to get a significantly lower interest rate then it would have been then. Effectively a house today is going to cost you less than it would in 2002, with the interest rate and the home value being what they were. Now if property values do continue to increase and the average rate of 4%, your internal rate of return on your investment will …
First Time Home Buyer Programs
Video Rating: 5 / 5

First Time Home Buyer Programs

Tax Credit for First Time Home Buyers – Down Payment Assistance – RealEstateMarketingThisWeek.com

realestatemarketingthisweek.com – Interest rates hit bottom, first time home buyers should buy before the prices go back up – Part 1 – We have a special guest back in the studio today. Dan Havey has been a great promoter for Velocity Financial . Dan and I have been working together for about 14 years now. Dan has brought with him some really, really interesting facts and figures for people who are wondering whats happening, wondering if we are at the bottom of the market, wondering how much further we are going to have to go. We are going to talk about lots of different things like that. Hes got some really good information, in my opinion some good stuff, some good solid data to make some good decisions about whether or not you should or should not buy right now. So, Today was the official day that President Obamas Plan was rolled out. It was designed to help some 8 to 9 million homeowners, responsibly homeowners they called them, people who purchased homes at the peak of the real estate market with 20% or more down. The plan is just so darned convoluted, it is very complicated, people are calling wondering whats real, whats not real, whats going to happen. The bottom line is about 19% of all the homes were financed utilizing Fanny Mae or Freddie Mac financing. People, who have Fanny Mae or Freddie Mac loans, these conventional type loans, that put 20% down, that used full documentation, which means tax returns to qualify for the loan, those are the only people that are …
First Time Home Buyer Programs

Visit www.slideshare.net to view and download this special report that highlights programs you may not have heard about. You will find that it IS possible to purchase a home with as little as 0 down. If you are in Minnesota, you can visit www.VentureLoanApp.com to begin to get pre-qualified for a loan or http to find begin an online MLS search to find a new home.
First Time Home Buyer Programs