New Tax Credit – 11/6/09

This update on the new tax credit for homebuyers is courtesy of Steve Birk with Element Funding.  I have personally used Steve for the financing of my home and have referred customers to him and they have all been extremely satisfied with his professionalism, knowledge, and service.  For all of your mortgage needs, Steve can be reached at SBirk@ElementFunding.com or at 407.367.5573.  Here is the information:

*First-Time Homebuyers (FTHBs): First-time homebuyers (that is, people who have not owned a home within the last three years) may be eligible for the tax credit. The credit for FTHBs is 10% of the purchase price of the home, with a maximum available credit of $8,000.

Single taxpayers and married couples filing a joint return may qualify for the full tax credit amount.

*Current Owners: The tax credit program now gives those who already own a residence some additional reasons to move to a new home. This incentive comes in the form of a tax credit of up to $6,500 for qualified purchasers who have owned and occupied a primary residence for a period of five consecutive years during the last eight years.

Single taxpayers and married couples filing a joint return may qualify for the full tax credit amount.

*What are the New Deadlines?

In order to qualify for the credit, all contracts need to be in effect no later than April 30, 2010 and close no later than June 30, 2010.

*Tax Credit Versus Tax Deduction

It’s important to remember that the tax credit is just that… a tax credit. The benefit of a tax credit is that it’s a dollar-for-dollar tax reduction, rather than a reduction in a tax liability that would only save you $1,000 to $1,500 when all was said and done. So, if a first-time homebuyer were to owe $8,000 in income taxes and would qualify for a tax credit of $8,000, she would owe nothing.

Better still, the tax credit is refundable, which means the homebuyer can receive a check for the credit if he or she has little income tax liability. For example, if a first-time homebuyer is eligible for a tax credit of $8,000 but is liable for $4,000 in income tax, she can still receive a check for the remaining $4,000!

*Higher Income Caps

The amount of income someone can earn and qualify for the full amount of the credit has been increased.

Single tax filers who earn up to $125,000 are eligible for the total credit amount. Those who earn more than this cap can receive a partial credit. However, single filers who earn $145,000 and above are ineligible

Joint filers who earn up to  $225,000 are eligible for the total credit amount. Those who earn more than this cap can receive a partial credit. However, joint filers who earn $245,000 and above are ineligible.

*Maximum Purchase Price

Qualifying buyers may purchase a property with a maximum sale price of $800,000.

————————

Remember, the new tax credit program includes a number of details and qualifications. For more information or answers to specific questions, please call or email Steve today.

In addition, you may be able to benefit from additional housing related provisions, including the following:

*Tax Incentives to Spur Energy Savings and Green Jobs

This provision is designed to help promote energy-efficient investments in homes by extending and expanding tax credits through 2010 for purchases such as new furnaces, energy-efficient windows and doors, or insulation.

*Landmark Energy Savings

This provision provides $5 Billion for energy efficient improvements for more than one million modest-income homes through weatherization. According to some estimates, this can help modest-income families save an average of $350 a year on heating and air conditioning bills.

*Repairing Public Housing and Making Key Energy Efficiency Retrofits To HUD-Assisted Housing

This provision provides a total of $6.3 Billion for increasing energy efficiency in federally supported housing programs. Specifically, it establishes a new program to upgrade HUD-sponsored low-income housing (for elderly, disabled, and Section 8) to increase energy efficiency, including new insulation, windows, and frames.

*Expanding Housing Assistance

This provision increases support for several critical housing programs. It includes $2 Billion for the Neighborhood Stabilization Program to help communities purchase and rehabilitate foreclosed, vacant properties.

If you have any questions about your specific situation or would like to discuss how you may benefit from this program, please call or email Steve and he will meet with you to discuss your needs.  Again, Steve can be reaced at SBirk@ElementFunding.com or at 407.367.5573.

If you would like to receive a list of homes that have your desired criteria or have any questions about purchasing a new home, please feel free to contact me at 407.592.HOME (4663) or at Sandy@SandySellsFlorida.com.  It would be a pleasure to serve your real estate needs.

 

 

Short Sales, Foreclosures, and Cash-Only ~ Oh My!

Gone are the days when buying real estate was almost as simple as clicking your heels three times to land in the home of your dreams!  Just a few years ago, there was typically one type of seller and seemingly hundreds of mortgage choices!  Today, there are several types of sellers and only a handful of mortgage options!

Every time I am out with a buyer, they are clearly confused about today’s market…it is as if they are traveling down a yellow brick road with a flying monkey or bad witch waiting around the next bend!

Since I aspire to be The Good Witch for those that feel that they are searching for the Land of Oz, I am offering an explanation of the 3 types of sellers in today’s market….

Like the Lion, you must find your courage to purchase a short/sale property.  A short/sale is when the current owner of a property is “upside down”…owing more on their mortgage than what their property is worth today.  In lieu of foreclosure, their lender(s) has agreed to accept less than the balance that is due.  There are numerous challenges when dealing with a short/sale property.  First of all, the bank does not reveal how much less they will take at the time that the property is placed on the market.  Therefore, the list price of the property can be very misleading to buyers.  Some real estate agents will price the property based on what similar properties are selling for, but many will place a very low price on the property (even though they know that the bank will, in all probability, not go that low) to entice the buyers into their listing.  It is an unfair practice, in my opinion, but a common one nonetheless.  Secondly, the lenders are so over-whelmed with the massive paperwork that is required on a short/sale, that it often takes months & months & months just to get an answer on your offer.  And…during the time that you are waiting, there is a chance that another offer could come in that is higher than yours and, if the lender has not signed off on the one that you submitted, knock yours out of first position.  Thirdly, there are so many short/sale properties to choose from that it is sometimes difficult to view every one.  If you have the courage to take on the risk and if you have the luxury of time on your side (and are blessed with the patience of Job), you have the opportunity to purchase a home at a very good price.

To purchase a bank-owned property, it helps to have a heart like the Tin Man.  Some of the properties are in bad repair and you are,of course, reminded that someone “lost” the home completely.  But…you can typically get an answer on your offer from the lender within a few days or weeks and the closing typically takes place within one to two months after that.  And…oftentimes the banks are ready to move the inventory out of their possession, so buyers are getting bank-owned properties at really great prices also.  And…it does your heart good to know that you are going to bring love & laughter into a lost property!

When the Scarecrow realized that he had a brain, he was amazed at how he viewed things differently!  What a lot of people are not realizing in today’s market is that they can also get some really great buys from an individual who is selling their property and from a builder who has an overstock of inventory or who is wanting to move on to a different project.  And…the big plus of dealing with an individual owner and builder is that you can typically get an offer accepted and an executed contract back within a few days ( meaning that no-one can take the home by out-bidding you) and you can generally close and be enjoying your home within 30 to 60 days.  And…many builders (and lots of individual sellers) are offering incentives to buyers in this market.

There are instances in all three selling situations, where you must pay cash for your new property.  So…if you are wanting to purchase a condominium or other attached dwelling, be sure and verify that you can obtain a mortgage for a particular area before you spend your time looking there, if you plan to take out a mortgage.

As you can see, there are great deals in every selling situation in today’s market and it’s a great time to buy because interest rates are still low (I will discuss mortgage options in another blog).  So, grab your ruby red slippers and let’s go house hunting…so you can say those famous and fabulous words ~ “There is No Place Like Home”!!!

I can be reached at 407-592-HOME (4663) or at Sandy@SandySellsFlorida.com.

Celebration, Florida

Imagine a place where you can live, work, play, shop, study, & worship… without leaving your neighborhood. A place where you feel safe & secure. A place that is absolutely beautiful to behold. A place that your soul has been searching for. That place is Celebration, Florida.

Celebration is the town that Disney developed and was founded in 1995 with five cornerstones in mind.  These cornerstones are community, education, health, technology, & a sense of place. Each of these are evident as you make your way through this special town.

The homes in Celebration are a mix of Traditional, Coastal, Classical, French & Mediterranean…all with pre-1940’s architectural design.  The town offers condominiums, villas, townhomes, and six types of single family homes…Bungalows, Garden Homes, Cottage Homes, Village Homes, Manor Homes, and Estate Homes.

The prices for condominiums range from $94,900 to $599,000.  Some of the condos are located above the shops/restaurants in downtown Celebration while others are located in condo communities that offer pools & fitness centers.  The prices for villas & townhomes range from $149,000 to $749,000.  Most of the townhomes offer private courtyards.  The prices for the single family homes range from $249,900 to $3,450,000.  Most garages are placed behind the home, accesible by an alleyway and many of the homes have apartments above the garages.  (prices are as of 4/23/09)

The various residences are located in Villages…Celebration Village; North Village; West Village; Lake Evalyn; South Village; East Village; Roseville Corner; Aquila Reserve; and Artisan Park (which is the last residential phase to date and which boasts a fabulous, exclusive clubhouse with a fitness center, restaurant, & resort-type pool).

Celebration’s charming downtown area boasts unique shops, a variety of restaurants, a game room next to an ice cream shop, a movie theatre, and a beautiful hotel overlooking water & woods.  All year long, residents and visitors enjoy an assortment of events…from a 4th of July parade & fireworks to “snow” throughout the month of December and lots of other enjoyable functions throughout the year…an exotic car show; a Posch Pooch celebration; a spring art festival; Oktoberfest; and many more including The Great American Pie Festival!  And…on Sundays you can enjoy a stroll down to Market Street to find an array of fresh fruits/vegetables and a variety of home-made goods.

Throughout the town, you will find a hospital, a K-8 grade school, a high school, a center for Stetston University, a fire department, churches, numerous parks, playing fields, tennis & basketball courts, nature trails, and four community pools.

I have a special spot in my heart for Celebration because it has been my hometown for the past nine years and I still enjoy living there.  The community is filled with friendly, fun, & fascinating people that have come from all over the world!  I have enjoyed meeting people over the forums on “The Front Porch”, our town’s community website.  And…I’ve had fun meeting friends, neighbors, and clients for a cup of coffee at Starbucks, a great hamburger at The Town Tavern (where everybody knows your name), or to sit by the lake in an old-fashioned rocking chair!

In 2006, I gave birth to my son, Jake Ryan, at The Celebration Hospital.  At the time, the maternity ward was only a few weeks old.  The staff was so great…they made my experience even more special by allowing me to have five girlfriends in the room with me since I was having my baby as a single Mom. 

Jake loves playing at the tot lots in the parks; splashing at the fountain downtown; or just going for a walk through town!  I am really excited about having the opportunity to raise him in a place that is so beautiful, peaceful, and fun!

If you would like to live in or have a vacation home in the great community of Celebration, please contact me at Sandy@SandySellsFlorida.com or at 407-592-HOME (4663) or (toll free) at 877-495-HOME (4663).  It would be my pleasure to send you more information and to meet with you when you are in the area and give you a tour of the community and the properties that we offer.

There are some really great prices on property in Celebration at the moment.  And…with the low interest rates and home-buyer incentives, now would be a great time to buy a home, townhome, or condo in the town that Walt Disney envisioned.

 

Hurry and take advantage of the $8,000 Tax Credit of 2009

On February 17, 2009…President Obama signed into law the “American Recovery and Reinvestment Act“, which includes a provision for first-time home buyers to receive a credit of up to $8,000 on their income tax return.  To take advantage of this excellent opportunity, you must purchase and close on your new home on or before November 30, 2009, so time is of the essence!

 

A first-time home buyer is defined as someone who has not had any home ownership in the three years previous to the day of their 2009 purchase.  So, even if you owned a home prior to that time, you are still considered a first-time home buyer!

 

Unlike the tax credit enacted in 2008, this credit does not have to be repaid.  And, this is an actual credit on your tax return, not a deduction.  Therefore, if any credit amount remains unused, you will receive the unused portion as a tax refund.

 

You may purchase a pre-existing home, townhome, or condo or you may purchase one that is new construction.

 

There are certain requirements that must be met to qualify for the tax credit…

 

*It must be your primary residence for at least 3 years after receiving the credit (certain exceptions apply)

*The tax credit is equal to 10% of the purchase price of the home, up to $8,000

*Single taxpayers with an income of up to $75,000/Married taxpayers with incomes up to $150,000 qualify

*The home must be located in The United States

 

With this great tax incentive; extremely low interest rates; and the lowest priced homes that we have seen in years….now is the perfect time to purchase your first home or reclaim the benefits and joy of owning your own home again!

 

It would be my pleasure to help you locate the perfect home for you and to help you every step of the way…whether you choose to buy a brand new home or purchase a pre-existing home…and to assist you in obtaining financing too! 

 

Please visit www.SandySellsFlorida.com to preview all of the homes that are listed in the Mid-Florida multiple listing service and then contact me at 407-592-HOME (4663) or (toll free) at 877-495-HOME (4663) or at Sandy@SandySellsFlorida.com. 

 

(Note:  If you purchased a primary residence in 2008 as a first-time home buyer, you may be eligible for the $7,500 tax credit that was offered.  Be sure and ask your accountant!  Also, if you already purchased a home in 2009, before the law was signed into place, you may still qualify for the credit, as it involves all homes purchased between 1/1/09 and 11/30/09).

 

 

My Real Estate Blog

Hi Everyone ~

This is my new real estate blog.  I also blog at www.SandySpeaks.com. 

I am passionate about helping people with all of their real estate needs and, in this ever-changing and challenging market, I realize that buyers and sellers need guidance and up-to-date information.  So, please visit my blog often for current and helpful information.  You can also vist my website at www.SandySellsFlorida.com and contact me at Sandy@SandySellsFlorida.com or at 407-592-HOME (4663) with any real estate questions you may have!

Thanks so much for visiting!